- Canadians plan to spend less overall this year (47%) or the same as last year (41%) on their holiday shopping
- The fight for retail dollars will intensify as a result, and retailers should take ample opportunities to double down on sales, incentives, and deals
TORONTO, Nov. 19, 2020 /CNW/ - With Cyber Monday approaching, more than ¾ of Canadians indicated increased deals and sales are what is most likely to drive them to make online purchases, while just over half (52%) want more diverse payment options at checkout, according to PayBright's first annual Holiday Trends Report.
The report also found that Millennials and Gen Z shoppers are particularly hungry for diverse payment options, with 63% of 25- to 34-year-olds and 60% of 18- to 24-year-olds indicating it is an important purchase driver. The new report includes the most recent holiday shopping trends data available to provide timely insights.*
PayBright is Canada's leading provider of installment payment plans. Its first annual Holiday Trends Report is designed for merchants seeking to understand and anticipate Canadian consumer behaviour this holiday season, nine months into the pandemic.
"PayBright maintains a laser-focus on any emerging consumer trends that better prepare our retail partners to meet the needs of Canadians during a truly unique holiday shopping season," says Vassil Chalashkanov, Senior Vice President Revenue, PayBright. "We are excited to release this commissioned report with the most recent data available as we head into the height of the retail season, and give merchants actionable insights into Canadian's shifting shopping habits in 2020 and beyond."
Key insights from the report include:
1) Canadians will spend less, and save more, during holiday 2020
47% of respondents anticipate a decrease in their holiday budget compared to previous years due to overall financial concerns, and a desire to save dollars and cull down debt. 60% of those collecting CERB said changes/reductions to the program are likely to impact their holiday spending, particularly among 25- to 34-year-olds (70%). In a slightly optimistic trend for retailers, 1 in 3 Canadians (31%) actually plan to spend more this holiday season - while they have not been actively saving for it, they have been spending less during COVID-19 overall.
2) Canadians will have the health of themselves, and their loved ones, top of mind during the holidays
From supply chains to savings, logistical issues weigh heavily on the consumer's mind. 77% of consumers surveyed are concerned about protecting the health of themselves and their loved ones over the 2020 holiday season.
Their top concerns include:
- The status of the economy (68%)
- No to low stock on inventory (41%)
- Personal financial status (40%)
3) Despite concerns about COVID, in-store shopping still matters, with 47% of respondents plan to do their shopping in-store for big-ticket items like electronics and furniture at a bricks-and-mortar location
Only 10% of those surveyed planned to shop purely online and, overall, 45% will mix in-store and online shopping this holiday season, so retailers need to ensure they make in-store shopping safe and appealing to Canadians during these difficult times.
When asked what matters to them most for in-store shopping, Canadians indicated they were looking for:
- Hand sanitizing stations (73%)
- Fully stocked shelves (64%)
- Contactless payment (60%)
Overall, PayBright's survey found that 2020 is the year of 'Spend the same - or less.' But the survey indicated specific categories where Canadians anticipate spending more, even minimally: basics, hobbies, and the home.
Read the full PayBright Holiday Trends Report to gain full insight into how Canadians are planning to shop this season, and into the new year.
PayBright is Canada's leading provider of installment payment plans for e-commerce and in-store purchases. Through partnerships with over 7,000 domestic and international retailers, PayBright allows Canadian consumers to buy now and pay later in a quick and easy experience. PayBright is fully integrated with leading retail partners including Lenovo, The Source, Samsung, Wayfair, and Endy. PayBright's installment plans range from 4 biweekly payments for smaller purchases up to 60 months for larger purchases, with interest rates as low as 0%. Headquartered in Toronto, PayBright has provided Canadians with over $2 billion in spending power since inception. For more information, visit www.paybright.com.
*Survey took place in October 2020
For further information: Media Contact: Rachael Collier, Rachael Collier PR - [email protected], 416-995-1432