The time of year has come where the holiday season is now in session. With it comes the joy of giving to family and friends, and trying earnestly to figure out what would make a great gift. According to the National Retail Federation (NRF), holiday spending is set to reach a new record in 2024 between $979 and $989 billion.
So what are people buying the most? In a survey also conducted by the NRF, data shows that clothing remains the most popular category of expected gifts this season at 54%, followed directly by gift cards at 44%. Other categories worth mentioning include toys at 36%, books, games and media at 31% and personal care/beauty products at 28%.
In terms of how these categories are spread amongst different generations, research done by Experian has shown that 45% of millennials are buying health and beauty items, 69% of Boomers/Gen X are buying gift cards, and 72% of Gen Z are buying clothing.
“It’s pretty hilarious how clothes used to always feel like the lame type of present to get as a kid.” senior Aaron Aguilar said. “Now I’m older and look forward to it the most.”
When it comes to Gen Z, the TikTok Shop (which launched only last year) has surged to dominant levels of popularity for products in fashion/beauty, sports, home goods, and more. This year alone, an estimated 54% of Gen Z shoppers are using the platform for their holiday gifts. TikTok recently ran a holiday shopping campaign from Nov 13 to Dec 2, and released a post showing what was purchased most during the event.
Some of the most popular categories included makeup, skincare, fragrances, fitness products, and kitchen appliances. When it came to brands, names such as Crocs, Fenty, Comfrt, Estee Lauder, The Ordinary and others were listed.
In a CNBC news segment exploring how Gen Z is spending during this time of the year, consumer trends expert Casey Lewis points to budget and convenience being the reasons platforms like TikTok Shop, Shein and Temu thrive, especially during the holidays.
“They help them get more for less,” Lewis said. “And look, I don’t know if you’ve spent any time on TikTok Shop, it is so easy to buy things on there.”
In the electronic realm of gifts, items such as smartwatches, wireless headphones, speakers, and gaming consoles do massive sales annually during the holidays. This year, products like the Apple Watch Series 10, PlayStation 5 Pro, and AirPods 4 are at the forefront of newest tech presents.
Also on the eyes of many for electronic spending are Hatch Alarm Clocks, which currently have a massive presence online and did roughly $140 million in sales in 2023.
As an array of gifts are purchased and the joy of giving is shared once more this year, 2024 will conclude with a record breaking holiday season of happiness and connection for millions.
