For the past six years, US holiday spend has grown 6 percent annually. But the momentum that typically drives consumer spending in the final quarter of the year should not lead retailers and consumer-packaged-goods (CPG) players to be complacent. This year, there’s more confusion than ever about whether consumers will finally pull back on spending, given relatively low consumer confidence in the US economy. This ambiguity could hamstring consumer players, who are left wondering whether to increase inventory availability and operational capacity or pull back.
Fortunately, there are clues in the data indicating a soft landing through the end of 2024, which could further encourage consumer spend. So how can retailers and CPG players prepare? This video explores the state of the US consumer, which categories will be most popular this holiday season, and how executives can best serve consumers until the final presents are wrapped.
Watch the video to learn more about the following:
- “value seeking” consumers and which categories are top of mind for them
- which demographic groups are most likely to splurge
- the differences between the holiday shopping season this year and in 2023
- why consumer businesses may need to reconsider their loyalty program strategy
For more on US consumer sentiment and behavior, check out our quarterly US ConsumerWise updates and read “Consumers: Spending more to buy less” and “Rescuing the decade: A dual agenda for the consumer goods industry.”
