Canadians are ready and excited for 2024 holiday shopping. The Retail Council of Canada (RCC) issued their annual Holiday Shopping Survey results. Shoppers across Canada want to make the most of this holiday season, even with financial pressures. Many Canadians are planning on spending more money. Black Friday deals, Cyber Monday sales, and Boxing Day steals are appealing. This holiday season will see the shopping experience stay upbeat, but Canadians are being more strategic with their purchases this time. The retail industry is expected to earn a lot of money from this year’s holiday sales. Learn more about the forecasted spending of Canadians below.
RCC’s survey
The Retail Council of Canada’s (RCC) Holiday Shopping Survey polled 2,500 Canadians. On average, they plan to spend $972 each this holiday season. In 2023, they planned on spending just under $900. That’s an anticipated increase of 8% from the 2023 holiday season spend. Each year, Canadians spend more than they plan to. Expect averages across the country to be over the anticipated amount. Ninety percent of Canadians – more than last year – are trying to be more mindful of their budgets. Affected by inflation and increasing costs of goods, they prefer to find good deals. The biggest intended purchases are expected to be clothing, food, and home essentials. In previous years, toys and personal electronics featured as top choices, but this year they’re lower on the list, as Canadians focus on fewer but more thoughtful gifts. This year, gift cards are also becoming more popular for their flexibility. Most Canadians are eager to do more in-store shopping.
Inflation has changed shopping behaviours
Despite financial pressures, Canadian shoppers seem determined to make the most of this holiday season. While Canadians are planning to spend more overall, they are focusing on mindful shopping plans and fewer gifts. Indeed, 71% of Canadians are changing their shopping habits. These changes are mainly because of inflation, as Canadians navigate sales, budgeting, and planning further in advance than they usually do.
Ever since the COVID-19 pandemic happened, more people have gravitated towards online shopping. This seems to be the case for the 2024 holiday season as well. Shoppers are taking advantage of the convenience of shopping methods the pandemic has streamlined. Sixty-two of Canadians still prefer in-store shopping experiences, but a big chunk, 38%, prefer shopping online due to the deals and convenience.
Expect Black Friday to be one of the busiest shopping days
Forty-eight percent of Canadian shoppers plan to buy on Black Friday. Canadians are also looking forward to Cyber Week deals. Black Friday is the biggest single-day total sales of the year. It’s typically the biggest shopping day of the year.
More Canadians than before are waiting for Black Friday and similar deals. Thirty-eight percent prefer to postpone their purchases till peak sale days arrive, up from 34% in 2023. Forty-one percent said they plan to start holiday shopping in November, with only 14% leaving it until December. For stress-free holiday shopping, plan to shop earlier, start shopping now.
Canadian concerns, and what categories they’re choosing
To avoid crowds and out-of-stock goods, Canadians are planning. Seventy-five percent of Canadians are planning to maintain, or even increase, their holiday spending budget. Even so, they’re choosing fewer gifts. Shopping for this holiday season has become more mindful across the board, and people across provinces have chosen similarly. In fact, Atlantic Canada has dropped their budget by 19% compared to last year. They are most likely to cut down on holiday travel to meet this new number.
Many shoppers have their hearts set on popular products and brands. They are buying early to make sure they have the right gifts. Clothing (including accessories) and food/alcohol purchases for the holidays get the highest share at 16% each. There is also a greater focus on gift cards this time round, with 42% of respondents opting for this as part of their holiday budgets. This is up from only 16% in 2021. If the gifts shoppers really want are not on the shelf, this percentage may rise.
Most significant regional differences
Ontario
Ontarians will be spending $1,158 on average, the highest in the country. Compared to the national average of $972. Forty-one percent of this budget is anticipated to be spent online, with Ontario leading in online shopping across all the provinces.
Quebec
On average, Quebecers will be spending $770, which is the lowest average in the country. Budget-conscious Quebec will focus more on home entertaining. Fifty-nine percent also intend to stick to their budget and spend in a more steady fashion.
Prairies (incl. Manitoba / Saskatchewan)
Residents of Manitoba and Saskatchewan will be pending an overage of $816. These provinces are likely to spend on clothes, toys, and furniture.
Alberta
In line with the national average, Albertans will be spending an average of $970. Seventy-two percent of Albertans are looking forward to Cyber Week deals. They also prefer to shop online for food and decor.
Atlantic Canada
With a $904 average anticipated spend, shoppers are planning to spend 27% of their holiday budget at big box stores. The only region to have a lower anticipated spend compared to last year.
British Columbia
Those in British Columbia will be spending an average of $893 this year. They favour shopping in-store, and 39% use flyers to plan and look for good deals.
Holiday debt management tips
If you are in debt, here are a few resources to navigate this financially tricky time of year.
- Enjoy the holidays with a holiday debt plan.
- Budget for the 2024 holiday season according to your current financial state.
- Reduce debts all while celebrating and enjoying yourself.
If you are struggling to manage your money or would like additional support navigating your finances, consider contacting Consolidated Credit Counseling Services of Canada. You can speak to a trained credit counsellor for free.
