Holiday retail spending is expected to break records this year, but a surprising number of consumers will pinch pennies, a new survey found.
Roughly 44 percent of shoppers will spend less than $500 this holiday season, according to a recent survey of 1,000 adults from market research firm In-Store Marketplace. Approximately 26 percent of shoppers expect to spend $250 to $499, the biggest group of the seven spending tiers In-Store Marketplace tracked.
The survey noted that those spending $250 to $999 are the “promotional sweet spot for bundled deals” that offer savings if shoppers buy specific products together.
Some 20 percent of consumers will spend at least $1,000 this year, the survey found.
Holiday shopping sales figures are projected to pass $1 trillion this year for the first time ever, according to an October study from industry advocate National Retail Federation.
As big as that figure is, shoppers still seem intent on spending as little as possible amid an ongoing nationwide affordability crisis.
The In-Store Marketplace survey found that shoppers want to see deals and promotions advertised within stores more than anything else, including gift ideas and product recommendations.
Other seasonal studies confirm that this year’s holiday shopper is looking for bargains after a year where gas prices and inflation have forced more than 60 percent of those making less than $50,000 to live paycheck to paycheck, a September Goldman Sachs study found.
Online holiday shoppers will be on the lookout for discounts on essentials such as personal hygiene products, where software and data firm Adobe expects consumers to spend 150 percent more from November to December than they did in September 2026.
For the 44 percent of shoppers who say they’ll spend less than $500 this year - and even those who spend more than $500 - intentional strategies to keep costs low are key.
Some 30 percent of holiday shoppers plan to shop during sales to avoid overspending, while 27 percent say they’ll set a “firm” spending limit, according to a Bank of America survey released Thursday.
Another 21 percent of shoppers said they’ll use credit card rewards, points or cash back to make purchases, the survey said.
