The Countdown to Christmas.

As a nation we are a generous bunch with the average British adult spending around £476 on gifts, meaning over all, the UK is forecasted to spend around a massive £24.2bn pounds on gifting. In terms of which consumer group are reported to spend the most, Gen X take the crown. 

For many of us Christmas can be an expensive affair with other festive costs throughout the season including; nights out, food and clothing totalling around £1,116 per person each year. 

After a disappointing Christmas period last year, with much of the country in lockdown, as well as a rocky start to 2021, mood around the nation was low. However as we approach this years’ festive period,  it is reported that 39% of consumers are feeling more positive about Christmas 2021. 

As expected, Christmas is the busiest time for major retail centres, with footfall sky rocketing as shoppers head out to get their all-important Christmas shopping done and dusted, but what exactly is this colossal amount of money being spent on? 

General top Christmas shopping gift categories include; clothing & accessories, food & beverages, health & wellness and of course, toys & hobbies. It is important to note that besides being generous with gift shopping for their loved ones, the public are also spending their money on gifts for themselves. Some top items consumers are buying for themselves include; food, alcohol, clothing, shoes and books. 

Research from the Bank of England has revealed that spending on furniture also rises within December as we rush to get them extra seats for the family on the big day, and also music & video equipment, guests do need to be entertained after all! 

It is looking like for Christmas 2021, many consumers are choosing a hybrid method of shopping, with 67% saying they are planning to shop both in store and online this year. 

Online shopping has become big business with its value doubling in just 5 years and according to DHL, the 13th December is the busiest day for Christmas shopping. In 2019 online spending rose to 21% of the overall spend in the December. It is clear that the consumer journey can now start offline, finish online and vice versa. 

It is also important to note that although during Christmas 2020 a lot of the UK was under Covid restrictions, cash spending did rise by +2%, following the trend of YOY growth and is set to continue to grow this year. With a reported 13% of people planning to spend more on gifting this year than usual, we could see a true resurgence of our High Streets as shoppers want to get out and about to feel that longed-for Christmas feeling that many missed out on last year.