IGD’s ShopperTrack found that 75% of shoppers are planning to spend more or the same on their Christmas meal compared to last year. However, over a third of shoppers (36%) are planning to spend less on Christmas presents and 38% will not spend as much on going out to restaurants, pubs and bars.
Those most likely to reduce their spending over the festive period - apart from on their Christmas dinner - are shoppers from the ABC1 socio-economic groups who have children. Shoppers from C2DE groups with children are more reluctant to reduce spending.
Joanne Denney-Finch, chief executive of IGD, said: “The general economic uncertainty is creating nervousness about splashing out. But the belt-tightening doesn’t extend to all areas.
“The wintery weather means shoppers are likely to go out less and to concentrate on food shopping. If they’re already at the supermarket they may choose to do the majority of their Christmas spending there, including presents.”
She said it was even more important to demonstrate value and to target a broad range of customers, given shoppers’ general thriftiness.
“Looking ahead to next Christmas, the trend to prioritise the main Christmas meal over going out could continue and should be taken into account when developing themes and product development,” she added.