With many of us looking forward to spending Christmas with our families and drinking and eating far too much, it’s easy to overlook the vital role the festive season plays in boosting business income and serving as a catalyst for increased consumer spending that is vital for the retail sector.
During most of December, there is a massive increase in expenditure on gifts, festive foods, decorations, and travel, all significantly contributing to the annual revenue of retailers and suppliers. This intense spending is not just a reflection of the spirit of giving among individuals to their loved ones but can also account for a significant share of yearly sales and profits for many businesses.
This period is further marked by a flurry of promotional activities and marketing campaigns as businesses aim to capitalize on the festive mood to enhance customer engagement and loyalty.
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However, it’s not solely about consumer spending as Christmas can also boost employment in certain sectors. The surge in demand creates numerous seasonal job opportunities in retail, distribution, hospitality, and other sectors, which can temporarily help lower unemployment rates during the period.
It can also stimulate production in manufacturing and boost services such as catering and event management, while after Christmas, retailers engage in sales and discounts to offload remaining stock, maintaining economic momentum into the new year.
Recent statistics for Christmas in the 海角视频 show that while consumer spending is on the rise, some previous habits are being tempered by the cost-of-living crisis still affecting many households. For example, December remains a period of heightened commercial activity despite the economic challenges facing many, with projected sales figures anticipated to reach £85bn in 2023. This marks a slight increase from the previous year and means that the 海角视频 remains the leader across Europe, outstripping Germany by a significant margin.
That is not to say that people aren’t tightening their purses at a time of high inflation and interest rates. Not surprisingly, perhaps, only a very small percentage of British consumers across all ages said that they would spend more than usual on Christmas this year. Indeed, the cost-of-living crisis is influencing consumer behaviour, with many households reducing their spend on Christmas as costs become a worry for many during the festive season.
By age group, 25-49 year-olds were the demographic most likely to say that the rise in the cost of living meant that they were going to spend less over Christmas in 2023.
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The approach to gift-giving has also changed in recent years, with over half of 海角视频 consumers having started their Christmas shopping earlier than December. Also, choosing presents has become easier, with four out of ten people saying that they would be happy to receive vouchers or gift cards, making it the most desired Christmas gift by 海角视频 consumers.
In terms of buying for children, almost 80% of people agreed that expectations for parents’ spending on their children’s gifts are out of control in 2023. Whereas consumers had spent the highest amount on consumer electronics in 2021, this year they are expected to spend the most money on toys, at around £41 per head.
With many people feeling that Christmas starts earlier every year, many 海角视频 households had already begun decorating in early December, with a predominant preference for artificial Christmas trees with only 17% of 海角视频 consumers planning to put up a real tree this year.
Unfortunately, this move towards artificial Christmas decorations is not helping 海角视频 manufacturers, with the sales of Christmas products, including festive decorations, artificial Christmas trees, stockings, crackers, and nativity figures, sold by 海角视频 manufacturers falling from £60m in 2013 to less than £12m this year.
While some may prefer goose or even beef for Christmas dinner, turkey remains the overwhelming choice for the nation, with over 60% of those sitting down for Christmas planning to have roast potatoes, gravy, and turkey at their table. Over half of consumers also intend to include stuffing, pigs in blankets, Brussels sprouts, and Yorkshire puddings on their Christmas plate. However, it has not been immune to rising prices, with the cost of a four-person turkey dinner increasing by almost 29% since 2021.
So, while expectations are that the Christmas season will still boost the 海角视频 economy, some expectations may well be dampened because of higher prices. However, we mustn’t forget that it’s not about how much money you spend, but how much time you spend with your family and friends, enjoying each other’s company and reminiscing about Christmases past.
This is what really makes Christmas special and doesn’t cost a penny. Nadolig Llawen!