US Sees 11% Rise in Female Consumer Spending in 2023

By: GWL Team | Thursday, 14 December 2023

Despite fears about inflation, a recent PwC study shows that US consumers are gearing up for a holiday shopping binge, with a solid 7% increase projected in 2023. The typical consumer's gift, travel, and entertainment spend is expected to be $1,530. Female consumers are expected to lead the drive, with an 11% increase in spending compared to 2022.

Nearly 40% of consumers expect to exceed their previous year's budgets, particularly those with family incomes of more than $120,000, who are expecting to spend more than the average of $3,000. Newer generations, frequent travelers, and IT aficionados are all expected to contribute considerably to the economic increase this year.

Despite persistent inflationary fears, roughly 80% of consumers want to maintain or raise their spending levels from the previous year. Some people are changing their buying habits, selecting non-branded items in response to a decrease in discretionary expenditure, notably on clothes.

The Gen Z cohort, aged 17 to 25, is expected to spend 15% more, spending $1,275 on presents and leading the way in the adoption of emerging trends such as mobile payments. This generation prefers in-store and social media browsing for gift ideas, comparative purchasing, and information about sustainability.

While more than 75% of customers actively seek Christmas offers to offset price increases, a sizable fraction waits for the best deals. Home delivery remains popular, and a mix of physical and digital channels for each shopping trip is the preferred method across all generations.