Holiday spending trends shift toward experiences and home decor

Consumer spending patterns for the holiday season are shifting away from traditional gift-giving toward home decor, dining, and experiential activities. According to a JLL study, Americans plan to spend an average of $1,243 this season, a 9.7% increase from last year. While gift budgets have seen only a modest 3.1% rise, spending on food, decorations, entertainment, and dining out has increased significantly, with those categories rising by 16.0% and 17.3% respectively.

Research from the B2B marketplace Faire indicates that Gen Z and Millennials are expected to account for half of holiday spending. These younger generations are driving trends such as ‘grannycore’—a revival of analog hobbies like knitting, embroidery, and crochet—and a preference for nostalgic, screen-free activities. Data shows substantial year-over-year increases in wholesale orders for crafts, hobbies, games, and puzzles.

Retail patterns also suggest that shopper engagement is tied to variety; consumers planning to visit seven or more different retail categories budget over $2,000, compared to approximately $570 for those visiting only one or two categories.