NPD: Online Shoppers Plan to Spend 70 Percent More Than In-Store Shoppers this Holiday

The following article contains excerpts from a press release, “Online Shoppers Plan to Spend 70 Percent More Than In-Store Shoppers This Holiday, Reports NPD,” issued on October 17, 2017by the NPD Group.

October 17, 2017 | U.S. consumers anticipate doing nearly 40 percent of their 2017 holiday shopping online, up from one-third just two years ago, reports The NPD Group, a leading global information company.

According to NPD’s 2017 Holiday Purchase Intentions Survey, consumers who will shop online are planning to spend roughly 70 percent more than their in-store-only counterparts, spending an average of $793 this holiday season compared to an average of $467 for those who will only shop in brick-and-mortar stores.

“Online is going to play an increasingly critical role in the 2017 holiday shopping season,” says Marshal Cohen, NPD’s chief industry analyst. “Retailers, big and small, recognize online retail’s importance and have been turning up the volume on their online strategy this year, which will only intensify during the holidays.”

Almost three-quarters of holiday consumers plan to do some of their holiday shopping online this year, with Millennials and Generation X shoppers leading the way. Topping the list of anticipated holiday shopping destinations were online-only sites, like Amazon, eBay, and Etsy, noted by 66 percent of consumers in this year’s survey. Mass merchants/discount stores, and their websites, were the second most popular planned destination, followed by national chains and department stores.

“New online competition is emerging every day giving consumers more options, but also creating more noise and shopping confusion,” adds Cohen. “The key for traditional retail continues to be an omni-presences approach that muffles that noise, synthesizes brick and click strategies, and keeps your brand top of mind for consumers throughout the holiday season.”