Despite economic uncertainty and inflation, 75% of luxury consumers plan to spend the same or more this holiday season than last year, according to a new report from Saks.
This report tracks with the NRF predictions, that consumer spending at retail will remain steady with a 3-4% year-over-year growth over last year.
The Saks Luxury Pulse survey found notably that luxury consumers plan to shop later this year with more consumers in this demographic planning to start shopping after Thanksgiving compared to last year, differing from consumer behavior predicted in other categories. Additionally, 64% of luxury consumers plan to shop mostly online this holiday season, up 15% from last year.
Self-gifting continues to be popular this year with luxury consumers spending 46% of their luxury holiday spending on themselves. Interestingly, millennial respondents are most likely to spend money on themselves, spending half of the budgets on self gifts, while older demographics will spend more on luxury goods for others.
The report also found 69% percent of luxury consumers will or already have booked travel in the near future, down 5% from the past year. Additionally, 83% of luxury shoppers will attend parties this holiday season, 84% plan to dress up and 81% plan to buy new attire for the holiday season.
The report also noted that luxury consumers reported a decline in economic outlook, with concern about the economy up 9% this year. While 64% of luxury consumers still feel optimistic about personal finances, concern increased 4%.
“At Saks, we’re committed to building lasting and meaningful relationships with luxury consumers and serving them with innovative experiences that drive engagement and brand loyalty,” stated Emily Essner, chief marketing officer at Saks. “The latest Saks Luxury Pulse helps us better understand luxury consumers’ holiday spending plans and reinforces our confidence in our strategy to provide them with content, experiences and merchandise that will inspire their holiday shopping. We’re pleased to see the continued appetite for luxury and look forward to delighting our customers throughout the holiday season and beyond.”
