Experian Consumer Holiday Shopping Survey

EDELMAN BERLAND

Experian Holiday Shopping Survey

October - November 2015

2 © Copyright 2015 Daniel J Edelman Inc. Intelligent Engagement

WHO HOW MANY ACCURACY WHEN HOW

Adults (18+) nationwide N=1,035

Margin of Error =

± 3.1%

Data Collection Occurred

October 28-November 3,

2015

Online Survey

Research Methodology


• While the holiday season often inspires positive emotions like “excitement” and “cheer”, half of consumers say that they also experience negative emotions like “stress” and “anxiety” when they think about holiday shopping.

• Majorities agree that they feel stressed about their finances during the holiday season and that holiday shopping puts a strain on their personal finances, primarily because they do not have extra money to spend on gifts or do not want to add to their debt.

• Additionally, many shoppers admit that they tend to spend even more than they anticipated, with just 1 in 10 consumers coming in “under-budget” on their holiday spending.

• However, when considering how much they will likely spend on gifts this year, consumers have only saved up about half of what they need, and they estimate that they will wind up charging about a quarter of their overall spending to a credit card.

• Looking ahead to 2016, the top three New Years’ credit resolutions are 1) to pay off a credit card, 2) to pay their full credit card balance each month, and 3) to pay off their credit card debt on time.

Key Findings

HOLIDAY SHOPPING EMOTIONS


Shoppers are excited for the upcoming holiday season, but more than half also experience negative emotions like stress and anxiety

Q1: When you think about holiday shopping, which of the following emotions do you feel?

75%NET POSITIVE

EMOTIONS

53%NET NEGATIVE

EMOTIONS

Holiday Shopping Emotions


Shoppers are far more likely to be “generous” than “stingy” during the holiday season, which can put a strain on consumers’ finances

Q1: When you think about holiday shopping, which of the following emotions do you feel?Q7: To what extent do you agree or disagree with each of the following statements?

Holiday shopping puts a strain on my finances

I feel stressed about my finances during the holiday season

I feel obligated to spend more than I can afford when buying holiday gifts

60%

52%

41%

Feelings Towards Spending(Shown: % Agree)

35%GENEROUS

-VS-4%

STINGY

Subgroups Most

Likely to Agree:

• Parents• HHI <$50K• Millennials


Q8 Which, if any, of the following best describes why holiday shopping can be financially stressful for you personally? (Asked if stressed about finances / strain on finances, n=666)

Adding to one’s existing debt and staying within budgets are the primary causes of financial stress during the holidays

Financial Stress of Holiday Shopping

Don't want to add to my debt

Difficult staying in budget

No extra money to buy gifts

Don't want more credit card debt

No cash to buy gifts

No credit to buy gifts

38% 38%35%

26%

13% 11%

37% 35%

47%

18% 18%15%

43% 42%

27% 28%

11% 9%

31%35%

30% 32%

8% 6%

Total HHI <$50K HHI $50-$99K HHI $100K+

HOLIDAY SHOPPING BUDGETS & SPENDING


Consumers are more concerned about finding the “right” gifts than staying within their budgets and often spend more than anticipated

Q2: In your opinion, what – if anything – is the worst part about holiday shopping?Q6: Which of the following best describes how much you spend during the holiday season?NOTE: TOTALS MAY NOT ADD TO 100% DUE TO ROUNDING

Expected vs. Actual Spending

50%

11%

More than expectedExactly as expectedLess than expected

38%SPEND MORE

THAN EXPECTED

Biggest Holiday Shopping Concern

Crowds

Picking the right gift

Sticking to a budgetHaving cash/credit to buy

giftsPrices/Deals

Keeping gifts a secret

Risk of identity theft

27%

20%

14%

12%

9%

4%

4%


Q3: Which, if any, of the following have you… Ever done in the past / Plan to do this holiday season?

Moreover, many consumers do not even set aside a specific budget for their holiday shopping

53%Have shopped

without a budget

Have Gone Holiday Shopping Without a

Budget

43%Plan to set

aside a budget this year

Plan to Set Aside a Holiday Shopping Budget

this year


The average consumer anticipates spending about 6% more year-over-year on holiday gifts – highest among parents and more affluent consumers

Q9: Approximately, how much do you plan to spend on holiday gifts this season?

Anticipated 2014 Anticipated 2015

$758 $806

Anticipated Holiday Spending(Shown: Mean USD Amount)

HHI <$50K HHI $50-99K HHI $100K+

$396 $787 $1,338

Parents Non-Parents

$989 $683

Men Women

$866 $734

CREDIT USAGE FORHOLIDAY SHOPPING


Consumers have only saved half of the money they need for holiday shopping and already expect to charge nearly a fourth of overall spending

Have already saved Will save in coming months

Will charge to a credit card

52%

25% 23%

Percentage of Budget Saved vs. Charged(Shown: Mean percentage of total budget)

$


53%49%

45%

22%18%

9%6%

After cash, credit cards will be the most common form of payment for holiday purchases

Q4: How do you plan to pay for your holiday gifts this year?Q5: How many major credit or store credit cards do you plan on using to complete your holiday shopping? (Asked if using credit cards or store credit cards, n=568)

Shopping Payment MethodMost Likely to Use

Major Credit Cards:

-HHI $100K+ (71%) -55+ (55%) -Men (53%)

TOTAL AVG. # OF CARDS: 2Most Likely to Use

Store Credit Cards:

-Parents (26%) -Millennials (23%) -Men (21%)

TOTAL AVG. # OF CARDS: 2


Holiday shopping charges have a significant impact on consumers’ credit

Q3: Below is a list of shopping behaviors. Which, if any, of the following… Have you ever done in the past? / Do you plan to do this holiday season?Q11: To the best of your knowledge, has holiday shopping ever negatively affected your credit score (i.e., your score dropped)?

Open a store credit card for the discount and then immediately close it

Open a new credit card for holiday shopping

Pay off holiday shopping credit card charges late

9%

12%

9%

17%

18%

22%

Have Ever Done Plan To Do This Season

Holiday Shopping Behaviors

10% OF CONSUMERS

AND

18% OF MILLENNIALS

SAY HOLIDAY SHOPPING HAS

NEGATIVELY AFFECTED THEIR CREDIT SCORE

Millennials: 30%

Millennials: 31%

Millennials: 21%


Looking ahead to 2016, consumers’ top resolutions are to pay off a credit card or to start making monthly payments on time or in full

Q16: Which of the following are your 2016 New Year’s credit resolutions?

28%25%

21%18%

14% 14%

7%

New Year’s Credit Resolutions

HOLIDAY SHOPPING & IDENTITY

PROTECTION


Consumers are moderately concerned about identity theft this holiday season

Q13: Please rate how concerned you are about identity theft this holiday.

Concern About Identity Theft

28%

22%

50%

Very concerned Somewhat concernedNot concerned

50%NET CONCERNED

Millennials: 57%


Respondents plan to do more than half of their shopping at brick-and-mortar stores, which is where they feel slightly less vulnerable

Q12: What percentage of your holiday shopping do you anticipate doing… (Shown: Mean percentage)Q14: Where do you feel that your identity is most at risk this holiday season? (Asked if shopping both in-store and online this holiday season, n=799)NOTE: TOTALS MAY NOT ADD TO 100% DUE TO ROUNDING

Identity is Most Vulnerable in…

14%

55%

In a retail store When online shoppingBoth equally

30%FEEL MORE AT RISKWHEN SHOPPING

ONLINE

Anticipated Shopping Locations

55%

36%

9% Millennials: 42%

45%NET

ONLINE


Shop only on personal internet connections / networks

Check to see if the site is secure

Log out of personal accounts after shopping

Go to websites directly instead of clicking on links

Don't click on links sent in emails

Don't store payment card info on retailers' websites

Pay with a credit card dedicated to online shopping only

54%

52%

51%

48%

45%

35%

25%

Protecting Against Identity Theft

Among those that plan to shop online, the most common precautions are using personal networks, secure sites and logging out of accounts

Q15: Which, if any, of the following actions do you take to protect your identity when shopping online? (Asked if shopping online, n=864)

18-34 55+

46% 67%

49% 63%

44% 63%

45% 50%

34% 59%

33% 37%

28% 26%

21

Date post:	21-Jan-2017
Category:	Business
Upload:	experianus
View:	2,148 times
Download:	0 times

Experian Consumer Holiday Shopping Survey

Business