Shoppers are stressed about their holiday budgets this year and say they're planning to spend less, shifting their shopping habits to stores they don't always frequent. That's according to our survey of more than 2,598 consumers in November 2024. (See survey methodology*).
Our results show which parts of holiday spending are causing the most stress and which stores budget-conscious shoppers are turning to.
To make things easier on yourself while holiday shopping, use our new Deal Planner™ feature in the free Krazy Coupon Lady app to set alerts for all the last-minute holiday sales! We'll remind you when they start so you don't miss out. Download the KCL app now.
Gifts are the most stressful part of holiday budgets in 2024.
By far, presents are causing shoppers the most stress this year, our survey shows. Worries about being able to afford gifts are much bigger than worries about holiday food, travel, home essentials, and decorations.
Which holiday expense is causing you the most stress?
Gifts: 73%
Holiday food: 15%
Holiday travel: 5%
Holiday home essentials: 4%
Holiday decorations: 3%
Our data shows that gift expenses dominate holiday budget stress. So it's no surprise that shoppers say they're trying to cut down on the gift budget this year, which brings us to our next result.
More than half of shoppers say they'll spend less on gifts this year than last year.
According to our survey, gift budgets are shrinking in 2024. More than half (54%) of shoppers say they're planning to spend less on gifts this season than they did last year. Meanwhile, 38% say they're keeping their gifting budgets the same. Just 8% say they're going to spend more.
Budget-conscious holiday shoppers are shopping at Amazon, big box stores, discount chains, and dollar stores.
So to recap: shoppers are feeling stressed about gifts. They're trying to spend less. And that's getting them to look closely at where they're shopping. We asked our survey takers to tell us where they're shopping more this year than last year in order to save money.
Which stores are you most likely to shop at more this holiday season than last to save money?
Amazon leads, with 76% planning to shop there more.
Big box chains like Walmart and Target follow closely at 71%.
Discount fashion/home retailers (HomeGoods, TJMaxx, etc.) will see 42% of shoppers spending more.
Discount online retailers (Shein, Temu, etc.) have become more attractive for 37% of shoppers.
Dollar stores and discount grocery chains (Aldi, Lidl, etc.) also see increases, with 35% and 31%, respectively.
Drugstores (CVS, Walgreens) and secondhand/refurbished goods stores will see smaller boosts, at 22% and 21%, respectively.
Amazon and big-box stores are drawing the most budget-curious shoppers, according to our survey. And we've noticed these retailers have been making efforts to court budget-conscious shoppers. In fact, Amazon just launched a budget-friendly storefront called Amazon Haul to compete with the likes of Shein and Temu, full of giftable items and stocking stuffers for as little as a few dollars. Over on the big box side, Walmart has been making headlines for luring in shoppers who didn't shop there in the past. And Target has been running Deals of the Day, offering up to 50% off specific products to Target Circle members.
Ultra-cheap online Chinese retailers like Shein and Temu aren't attracting quite as many new recruits, according to our survey. But 37% is still nothing to sniff at. In fact, a retail expert we spoke to about Black Friday trends told us these stores are starting to steal major retailers' thunder more and more.
Rounding out the list are dollar stores and discount grocery chains. Inflation attracted more shoppers to these types of stores in 2022 and 2023, and these stores are doing a lot to keep shoppers around. Dollar General, for example, entered the holiday sale game this year with its brand-new 24 Days of Savings event, offering deals on everything from speakers to bacon.
So what's a stressed shopper to do? We've got three tips:
Shoppers are stressed out about gifts and clearly willing to go off the beaten paths to save money. That open-mindedness is a good thing. And KCL is here to help you find coupons, deals, and hidden savings, no matter where you choose to shop. Here are some ways you can save in the next few weeks.
1. Shop at the last minute.
According to our survey, 89% of shoppers say they've already started their holiday shopping. But if you still have some gifts left to buy or Black Friday deals didn't tempt you, good news — there are plenty of deals to be had in the coming weeks. Retailers tend to start their holiday clearance deals in mid- to late-December and offer 50% - 90% off. Check out the holiday clearance schedules for major retailers in 2024.
2. Take advantage of after-Christmas sales.
Whether you're celebrating with family the weekend after Christmas, shopping for yourself, or stocking your gift closet for the year, after-Christmas deals are legit. In fact, we found that the average discount during after-Christmas sales is higher than during Black Friday and Prime Day. True, the biggest discounts will be on seasonal decor and holiday gift sets. But retailers tend to discount other stuff too, knowing shoppers out there are making returns and using their gift cards. So in addition to bagging ornaments and garlands for super cheap, you'll probably find clothing and home goods marked down too. Check out the best stores for after-Christmas markdowns.
3. Use discounts, offers, coupons, and KCL tips to save every shopping trip.
If you're shopping somewhere you're not familiar with in order to save money, it might take a while for you to get in the rhythm of saving there. KCL can help. For example, you can set up alerts in our app for the stores you're hitting up more frequently, and we'll let you know when they have a really good deal. Or shop by category in our app, and we'll tell you which store happens to have the best price on what you want.
Depending on which store you're planning to shop at more, each one has its own savings quirks. If, like 76% of our survey takers, you're planning to shop more online, check out the hidden Amazon promo codes that can save you up to 50%. Trying a discount store like Aldi for the first time? Familiarize yourself with the Aldi weekly ad.
Related Reading:
* Survey Methodology
We surveyed 2,598 of our KCL app users between Nov. 15 and 18, asking them about their holiday shopping plans and budgets.
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