Holiday stress: Shoppers Plan to Spend Less This Christmas

According PayPal’s 2023 Holiday Survey, 75 percent of Australians are planning to spend less this Christmas, up from 40 percent last year. Shoppers plan to make savings in a mix of areas, 39 percent are set to spend less on gifts, another 39 percent will be saving by spending less on decorations and lights, 35 percent will be cutting their alcohol and drinks budget for the holidays, and 34 percent are planning to stay local this year and cut back on their travel and fuel spend.

With the stress of the holiday season, 20 percent of Aussies are worried about their financial situation going into the holiday season. 44 percent of shoppers are increasingly concerned by how much Christmas costs. Stacking up the spending, the largest concern for Australians this Christmas is the increased cost of groceries (63 percent), followed by the high cost of fuel (52 percent) and cost of energy and utility bills (51 percent).

The top strategy Australians are using to keep Christmas costs in check is to shop online during  the sales periods. 38 percent of Australians are set to shop over the coming weeks with sales events season in full swing. 4-in-5 Australians, at 81 percent, plan to buy gifts online, with 62 percent saying they will buy at least half their gifts online. According to the report, other than better sales options, Australians shop online for a faster and easier shopping experience. 47 percent of shoppers say the worst thing about Christmas is the overcrowded stores in the weeks leading up to the big day.

More than a third of Australians say that they like the festive season but are relieved  when it’s over. PayPal’s research shows that Aussies use a number of tactics to manage the  madness of the holiday period. 35 percent say they set a budget and stick to it. Other tactics involve  making sure they don’t eat or drink too much (29 percent), make sure they get enough sleep (27 percent)  and creating a Christmas ‘to do’ list to help stay organised (27 percent).

PayPal’s research also revealed the most wanted gifts this holiday season. The gift of choice reigns supreme with 52 percent of Australians wanting to receive a gift card. With the pressures of increasing food and beverage costs, this was the second most wanted gift category at 33 percent, followed by experiences such as spa treatments, sky diving, dining etc. at 31 percent. On the other end of the spectrum, the present least wanted by Aussies this Christmas is overwhelmingly self help books with 51 percent not wanting that gifted. Any household chore items including cleaning products followed behind on the most unwanted list, along with a new pet, and anything diet related.