Holiday spending intentions up in Canada, but not in Quebec

'Uncertain consumer behaviour' the norm as spending flatlines Payment data expert Sean McCormick explains how despite inflation and rising costs, consumers are not spending more at the till.

Canadians seem determined to celebrate and spend during the holidays despite high inflation rates, according to a Léger survey released Tuesday by the Retail Council of Canada (RCC).

The data indicates that respondents expect to spend about $898 this holiday season, compared to $782 last year.

However, Quebecers say they intend to spend well below the national average, at just $663 -- though they say they are more likely to buy gifts for themselves and spend more of their budget on entertainment at home.

Nevertheless, respondents say 80 per cent of their forecasted spending this year is expected to go to gifts.

Due to recent economic uncertainties, 88 per cent of Canadians say they will adopt proactive shopping tactics, 52 per cent will hunt for sales and 41 per cent will shop in advance.

The number of people intending to buy on Fridays has jumped from 28 per cent to 40 per cent compared to last year, while those planning to buy on Cyber Monday and Cyber Week have risen from 21 per cent to 37 per cent.

Of those surveyed, 40 per cent say they intend to stick to their pre-set budget.

Clothing accounts for 17 per cent of intended purchases, the biggest category, followed by food and alcohol at 16 per cent.

In addition, 45 per cent of consumers say they are tempted to give gift cards to their loved ones; the survey also shows that 37 per cent of Canadians prefer to receive gift cards.

Quebecers say they are more likely to be influenced by messages about sustainable development and faster delivery services.

The Léger survey also reveals a sharp increase in local purchases and support for local businesses, which has risen from 74 per cent to 82 per cent since last year.

The survey was conducted between Aug. 14 and 23 among a sample of 2,500 Canadians aged 18 and over.

-- This report by The Canadian Press was first published in French on Oct. 18, 2023.