Concert tickets in your stocking and a travel itinerary under the tree? No way: It’s 2020, and stuff is back in style.
While spending on experiences was the rage in recent years—sparking a number of retailers to rethink their central business strategies—COVID-19 has disrupted the trend, data from Deloitte’s holiday survey confirms.
Average U.S. household spending this holiday season is expected to decrease 7% from 2019, with a sharp 34% drop in travel spending accounting for most of the decrease, according to Rod Sides, a Deloitte vice chairman. Some of the money normally spent away from home will go toward non-gift purchases, like home furnishings and seasonal decor.
“We’re seeing a shift in terms of what people are buying,” Sides said. “Folks are focused on the home and a little more decorating. Destination travel isn’t there like it has been in the past.”