What's Happening?
As the holiday shopping season progresses, U.S. consumers are increasingly focusing on quality rather than discounts when purchasing gifts. According to Adobe Analytics, online spending reached $187.3 billion between November 1 and December 12, marking
a 6.1% increase from the previous year. However, the growth rate is expected to slow as delivery deadlines for Christmas approach. Retailers have observed a shift towards thoughtful, quality-driven gifting, with brands like Alo Yoga and Quince experiencing significant search growth. This trend is also reflected in the popularity of experience-based gifts and subscriptions, which offer a 'deadline-proof' option for last-minute shoppers.
Why It's Important?
The shift towards quality-driven purchases indicates a change in consumer behavior, with shoppers willing to invest more in fewer, high-quality items. This trend could have long-term implications for retailers, encouraging them to focus on product quality and brand reputation rather than relying solely on discounts to drive sales. As consumers become more discerning, brands that emphasize quality and unique experiences may gain a competitive edge. Additionally, the rise in subscription-based gifts suggests a growing interest in non-traditional gifting options, which could influence future holiday shopping strategies.
