Alabama holiday shoppers are expected to spend 3% more this year over a year ago compared to national expectations of as much as a 5% increase.
The Alabama Retail Association forecasts Alabama shoppers will buy $12.4 billion in goods this holiday shopping season. The National Retail Federation is predicting U.S. holiday shopping will rise between 3.8% and 4.2% to total between $727.9 billion and $730.7 billion.
A new online survey from The Harris Poll and advertising exchange OpenX is even more optimistic, calling for a 5% increase this season. The online survey was conducted in the U.S. in August and comprised about 2,000 adults.
Harris/OpenX is calling for shoppers nationally to spend $862 per household compared with $819 in 2018.
“Recession may seem to be on everyone’s lips based on what we are seeing in the media, but consumers are still confident in their economic situation, and this holiday season should be a good one for retailers,” said Dallas Lawrence, Chief Brand Officer at OpenX.
Millennials are expected to spend close to $1,000 this year. This is a 15% increase from 2018 and at least $200 more than the amount baby boomers are projected to spend. Millennials spend more than older Americans in every category except on their children.
The Harris/OpenX poll also found that although it’s not yet Halloween, half of U.S. consumers have already started their holiday shopping. One of every two consumers is looking for items on his or her friends’ and families’ wish lists, according to the poll.
In Alabama, the growth in holiday spending would continue a strong year for retail sales.
Through July of this year, Alabama averaged 5.5% growth in regular sales tax collections each month over the same month last year, the Alabama Retail Association said. When you add in what Alabama has collected in sales taxes from out-of-state, online-only retailers that growth jumps to 11% in total taxed sales through July. In the prior two years, Alabama’s taxed sales during the holiday shopping period has grown an average of 2.75%.
(Alabama NewsCenter staff contributed Alabama Retail Association data to this report. Contact the reporter at [email protected].)
