Over the River and Through the Woods: Travel and Experiences Set to Take Biggest Share of Holiday Spending

Whether socializing with others outside the home or traveling, experiences lead the charge this holiday season

News provided by

Deloitte

Nov 05, 2019, 07:31 ET

NEW YORK, Nov. 5, 2019 /PRNewswire/ --

Key takeaways

The bulk of spending (an average of $596 per household) will go to spending on experiences and celebrations including entertaining at home and traveling/socializing away from home.
Sixty-one percent of consumers are willing to share personal information in exchange for a deal (promotion, discount, etc.).
Shoppers are slow to adopt alternative delivery models (curbside pickup, locker delivery, batching orders).

Why this matters
Deloitte commissioned a national survey of 4,410 consumers to better understand spending for the upcoming holiday season. Conducted online, Sept. 6-13, by an independent research company, the survey provides key insights into consumer behavior and what retailers can expect from shoppers as they tackle their holiday shopping.

Heading home for the holidays
Travel and experiences are drawing the largest share of holiday spending this year. Whether entertaining at home, enjoying a meal at restaurant, or traveling, the bulk of consumer spending will relate to experiences.

Sixty-six percent of holiday shoppers plan on socializing away from home this holiday season.
These consumers will spend approximately $391 (26% of overall budget) on travel hotel, restaurants, etc.
Of those who plan on socializing away from home, 59% will likely dine at restaurants, spending an average of $280.
Seventy percent of holiday shoppers plan on purchasing food or beverages/health and wellness this holiday season.

Key quote
"This holiday season, consumers are looking to make memories. Whether that means sharing a meal with friends, hosting a festive holiday celebration, or traveling to visit family members, most shoppers plan on socializing this holiday season. Not only that, consumers are also turning to food and beverages as holiday gifts; 43% of those surveyed noted that they plan to purchase food or liquor for someone else. It's also the No. 1 item people plan to buy for themselves."

-Rod Sides, vice chairman, Deloitte LLP,
and U.S. leader, retail, wholesale and distribution

Sharing data in exchange for deals
Consumers are willing to share their data with retailers in exchange for benefits, but still feel like they have little control over what is done with those details.

Sixty-one percent of consumers will share personal information in exchange for promotions or discounts.
More than one-third of consumers (34%) will share their data with retailers to help resolve an issue related to a product or service faster.
Seventy-nine percent of shoppers are concerned about shopping at retailers with either multiple data breaches or recent data breaches.
Seventy percent of shoppers would be more comfortable if they had more control over their data.

Emerging tech has yet to gain favor among consumers
Despite smartphones becoming a point-of-sale anywhere at any time, consumers are unlikely to see the value in emerging technology when shopping.

Fewer than 1 in 5 consumers (17%) find visual search tools useful.
Only 7% of those surveyed see the value in using curated subscription products.
Just 6% of consumers find voice-assistants via smart speaker or mobile app a helpful tool; only 5% see virtual assistant chat bots as useful.

Signed, sealed, delivered
Consumers have more delivery options than ever. However, they are slower to adopt newer delivery models.

Standard delivery is the preferred method of shipping, with 62% of consumers noting they will use it during the holiday season.
Only 17% of consumers will use same-day delivery while shopping.
Eleven percent of those surveyed will take advantage of curbside pickup.
Just 8% of consumers will choose to use a delivery locker for holiday shopping.

For additional information, visit: https://www2.deloitte.com/us/en/insights/industry/retail-distribution/holiday-retail-sales-consumer-survey.html.

Connect with us on Twitter at @DeloitteCB or on LinkedIn @RodSides.

About the Center
Deloitte Insights Consumer Industry Center (the "Center") provides a forum for innovation, thought leadership, groundbreaking research, and industry collaboration to help companies solve the most complex industry challenges.

Technology is changing at a rapid pace, and so are consumers. How will these changes impact the way our clients do business in the future? The Center provides premiere insights based on primary research on the most prevalent issues facing the Consumer industry to help our clients run effectively and achieve superior business results.

The Center is your trusted source for information on leading trends and research that connect insights, issues, and solutions for Deloitte's four consumer sectors: automotive; consumer products; retail, wholesale and distribution; and transportation, hospitality and services.

About Deloitte
Deloitte provides industry-leading audit, consulting, tax and advisory services to many of the world's most admired brands, including nearly 90% of the Fortune 500® and more than 5,000 private and middle market companies. Our people work across the industry sectors that drive and shape today's marketplace — delivering measurable and lasting results that help reinforce public trust in our capital markets, inspire clients to see challenges as opportunities to transform and thrive, and help lead the way toward a stronger economy and a healthy society. Deloitte is proud to be part of the largest global professional services network serving our clients in the markets that are most important to them. Our network of member firms spans more than 150 countries and territories. Learn how Deloitte's more than 312,000 people worldwide make an impact that matters at www.deloitte.com.

Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited, a UK private company limited by guarantee ("DTTL"), its network of member firms, and their related entities. DTTL and each of its member firms are legally separate and independent entities. DTTL (also referred to as "Deloitte Global") does not provide services to clients. In the United States, Deloitte refers to one or more of the US member firms of DTTL, their related entities that operate using the "Deloitte" name in the United States and their respective affiliates. Certain services may not be available to attest clients under the rules and regulations of public accounting. Please see www.deloitte.com/about to learn more about our global network of member firms.

SOURCE Deloitte