by Ray Schultz , Columnist
Source: www.mediapost.com, October 2023
Consumers are down on the U.S. economy. Only 22% have a positive view of it, versus 59% who are negative and 20% who are neutral, according to 2023 Consumer Spending Trends, a study by Klaviyo and Qualtrics.
Moreover, 53% believe the economy is on its way down. But Gen Z and Millennials are more optimistic.
Still, most feel the impact of inflation now, with these results:
- Inflation is affecting my spending now, but I don’t believe it will in the future — 22%
- Inflation is affecting my spending now and I believe it will continue affecting it in the future — 69%
- Inflation is not currently and will likely not affect my spending decisions — 9%
The overall negativity is reflected in peoples’ shopping patterns: 32% expect to spend less this year, only 16% are planning more. Another 52% are holding steady. The average estimated spend is $745.
Those who are spending less expect to see these changes:
- Less gifting overall — 59%
- Purchasing fewer gifts per person — 49%
- Buying more gifts when they are on sale — 41%
- Purchasing gifts for fewer people — 39%
- Take advantage of online discounts — 30%
- Buying gifts earlier in the year — 24%
- Purchasing from off price retailers — 16%
This year, people are spending more on food and beverages, and less on luxury items like jewelry.
Retailers need to be ready for ecommerce: Consumers are planning to buy primarily online this season, although older shoppers are more likely to shop instore.
Email is the preferred brand-marketing method for online shoppers:
- Email — 49%
- Social media — 18%
- Mail (i.e., flyer or catalog) — 16%
- Text message — 14%
Gen X and Boomers are way more likely to choose email than other generations. Gen Z equally prefers email and social media at 35% each, followed by text at 22%.
Klaviyo surveyed 3,008 U.S. consumers between August 3 and August 17, 2023.
