November 21, 2016
Millennials dominate peak shopping days, while Baby Boomers and retirees avoid them, according to latest Vantiv ShopTalk Survey
Generations also differ in amount they plan to spend this holiday season from $646 to $865
CINCINNATI -- It’s the most wonderful time of the year. Regardless of age, it is a time for celebration, visiting loved ones and of course, shopping. But who is going to be shopping after eating turkey on Thanksgiving and who is going to be staying at home? According to the latest Vantiv ShopTalk survey, conducted by Socratic Technologies, only one in five people (20 percent) plan to shop in stores on Thanksgiving Day, and only 31 percent on Black Friday. Millennials will be making up the biggest portion of that group, with 34 percent of Millennials saying they will shop on Thanksgiving and one out of two (51 percent) in malls and stores on Black Friday. Gen Xers are not as enthusiastic, with 29 percent planning to shop on Turkey Day and 36 percent venturing out on the day after Thanksgiving. The survey also found only 23 percent of Boomers and eight percent of Retirees plan to be in stores on Black Friday.
“We find it is a generational issue with Retirees and Boomers staying home and Millennials shopping in stores,” said Sayid Shabeer, vice president of merchant product at Vantiv. “The reason is over the last few years, shopping at home online has revolutionized holiday shopping. More and more people are choosing to shop online, available 24 hours a day, over the hustle and bustle of shopping malls.”
Vantiv contracted Socratic Technologies to survey 500 consumers on their holiday shopping preferences. The ShopTalk survey found in-store spending will comprise 40 percent of total holiday spending, while one-third of the total spend will be done online.
Millennials also make up more of the last minute shoppers, with 60 percent of Millennials saying they will be out in full force the week leading up to Christmas, compared to 54 percent of Gen Xers, only 35 percent of Boomers, and 27 percent of Retirees. It turns out that as age increases, the likelihood of shopping in-store during peak shopping days decreases.
“In an effort to improve in-store user experience and boost sales, brick and mortar businesses need to invest in the latest payment technologies including Apple Pay and Android Pay,” added Shabeer. “Younger generations will be driving in-store purchases during peak shopping days this holiday season and merchants need to be prepared to accept these emerging mobile payments options.”
Not only are younger generations the most likely to visit brick and mortar shops during peak shopping days, Millennials and Gen Xers are also planning to spend the most on holiday shopping. The ShopTalk survey shows the average planned holiday spending is $753, with Millennials planning to spend the most at $865 and Retirees the least at $646. And while Millennials are spending the most this holiday season, they are also the most financially responsible. According to the Vantiv ShopTalk Survey, two-thirds of Millennials have a firm budget, compared to 18 percent and 20 percent of Boomers and Retirees respectively.
Who does Santa struggle the most to fill their stocking? The survey found spouses and significant others are considered the toughest to buy for, with other relatives, children over the age of 18, and parents next in line of difficulty.
When it comes to specific gifts shoppers plan to buy, the survey found that nearly one-third of consumers plan to purchase gift cards and an additional 45 percent are uncommitted. Respondents said the main reason for purchasing gift cards is that it gives the recipient the option to get something of their choosing. The ShopTalk survey revealed that gift cards are most frequently purchased for relatives and children over the age of 18.
Vantiv ShopTalk also asked shoppers what types of payments they will be using this holiday season, and the survey revealed that cash is no longer king for holiday shoppers. Rather, credit takes the title for the most popular payment form for holiday shopping, both online and in-store. For more on the survey visit ShopTalk on www.vantiv.com . Next month’s ShopTalk survey will report on online shopping features consumers want by retailer type.