- This is the first year since before the pandemic that shoppers expect to make more of their holiday purchases in stores (46%) than online (45%).
- “After more than two years of heavy online shopping, consumers are ready to get back to the sport of shopping.”
- 44 percent of customers plan to shop at mass merchants this year, compared to 42 percent in 2021.
by The NPD Group
The number of consumers planning to shop online for the holidays fell from 85 percent last year to 80 percent this year, which is the largest ever shift favoring stores, according to the annual holiday purchase intentions survey from The NPD Group.
Getting Back Into the Sport of Shopping
This is also the first year since before the pandemic that shoppers expect to make more of their holiday purchases in stores (46%) than online (45%). Checkout receipt-based insights from NPD also support these new findings, as in-store sales revenue grew one percent in September compared to last year, while online sales were flat.
“After more than two years of heavy online shopping, consumers are ready to get back to the sport of shopping,” Marshal Cohen, chief retail industry advisor for NPD, said. “Despite saying they plan on scaling back holiday spending this year, sales revenue through October fell one percent below last year’s levels, which shows that shoppers are still willing to spend money on general merchandise, even as prices continue to rise.”
Ecommerce Sales are Declining
Nearly 80 percent of consumers still plan to do at least some of their holiday shopping online, but plans to shop pureplay ecommerce retailers declined since last year. Fewer than three-quarters of customers expect to shop online-only sites during the holidays, down from 79 percent last year. Among those planning to shop online, 16 percent anticipate picking up their purchases in stores or curbside, compared to 14 percent last year, which will increase foot-traffic at brick-and-mortar stores.
Perhaps due to rising cost-consciousness among consumers, mass merchants stand to gain the most from decreasing focus on ecommerce over the holidays. In fact, 44 percent of customers plan to shop at mass merchants this year, compared to 42 percent in 2021.
“Impulse and self-gifting are an integral part of the holiday mix. Without them, it is hard to achieve growth,” Cohen said. “Success this season depends on the ability of retailers to leverage promotions and exciting products that play to feelings of shopping cheer. Increasing in-store shopping levels will deliver greater benefits to retailers that can entice consumers into buying on impulse, which could help move excess inventory out the door while also giving store bottom-lines a boost.”