PORT WASHINGTON, N.Y. Consumers will approach this holiday shopping season with care, according to the NPD Group.
According to NPD's annual holiday survey, 9% of consumers surveyed planned to spend more this year, compared with 11% last year. The majority of consumers (61%, up two points from last year) said they planned to spend about the same as last year.
“Even though the recession is technically over, lingering concerns are keeping consumers in a cautious frame of mind,” said Marshal Cohen, chief industry analyst at NPD. “We are seeing what I call ‘calculated consumption,’ and I believe that it is a consumer mindset that will be around after holiday shopping is over. Again, this year the real challenge is the absence of newness and excitement,” Cohen added. “The more progressive brands will learn from mistakes of the recent past and ramp up the excitement in their product offerings. And in turn, retailers will be looking for those products to ignite consumers’ passion to spend this holiday.”