By Troy Media
Canadians plan to spend an average of $1,706 this holiday season and Amazon will be their top shopping destination, says a report released on Tuesday.
According to Deloitte’s 2019 Holiday Retail Outlook, 60 per cent of consumers plan to research holiday purchases on the Amazon website.
“There’s a strong connection between Canadians’ economic optimism, personal financial outlook, and holiday spending intentions,” said Marty Weintraub, partner and national retail practice leader at Deloitte Canada, in a news release. “Despite the economic uncertainty, Canada shows remarkable stability – consumer spending is growing at a moderate pace, unemployment rates are at a 40-year low, and wage growth is outpacing inflation. This could explain why Canadians are feeling optimistic about this year’s holiday season, which makes for an enticing period for Canadian retailers.
“While online shopping continues to grow in popularity, it’s clear that Canadians aren’t ready to abandon bricks-and-mortar stores any time soon. To thrive in an intensely competitive arena, retailers need to capitalize on their omnichannel investments to deliver an optimal customer experience that consistently exceeds shoppers’ expectations. Retailers need to focus on customers as individuals, by understanding their needs and preferences and enhancing capabilities to be able to guide and support them along the path to purchase—whether the actual purchase is completed in-store or online.”
While 52 per cent of survey respondents prefer to shop in a physical store, 60 per cent say they will begin their gift research on Amazon this holiday season, and 58 per cent will shop on its website, said the report.
The report’s highlights include:
- 68 per cent of Canadians believe the economy will perform the same or better in 2020;
- 78 per cent of respondents also expect their personal financial situation to stay the same or improve over the next year;
- 79 per cent plan to spend the same or more this holiday season – an average of $1,706 on gifts, travel, food, alcohol, and cannabis;
- 49 per cent of respondents expect to start their holiday shopping before Black Friday, more than double the number getting an early start five years ago (23 per cent), and 17 per cent see Black Friday and Cyber Monday as the kickoff to their holiday shopping;
- 22 per cent of Canadians say they expect to spend most of their holiday budget at Amazon;
- 51 per cent of respondents say they will purchase gifts from mass retailers’ omnichannel platforms, which include physical stores and websites;
- 69 per cent of Canadians will be scoping out potential gifts in-store – higher than either Amazon (60 per cent) or Google (54 per cent).