Executive Summary:
The 2024 holiday season is poised for growth, driven by a robust economy and changing consumer confidence, with U.S. online sales projected to reach $241 billion—a year-over-year increase of 8.4%. Retailers are adapting to a longer shopping season as consumers, especially Gen Z and millennials, begin holiday gift-hunting earlier than Black Friday.
Generational attitudes significantly influence gifting behaviors. Gen Z and millennials, optimistic about their finances, prioritize online shopping and rely on social media for deals, with many willing to reduce everyday expenses to increase their gift budgets. Sustainability also plays a role for Gen Z, with younger consumers valuing eco-friendly options. Baby boomers, on the other hand, focus on value and price, especially those on fixed incomes, while high-earning Gen Xers find joy in the entire gifting experience.
Retailers are encouraged to tailor their marketing strategies to these diverse preferences, from social media ads for younger generations to promotions emphasizing savings for older shoppers. By aligning with these distinct consumer trends, retailers can provide a personalized experience that resonates across generations, fostering repeat business and a successful holiday season.
