In a previous poll conducted by Consumer Reports at the conclusion of the last holiday shopping season, shoppers estimated they spent on average $811 – 16 percent higher than what they had planned. The majority of those recently surveyed plan to use cash as often and about four in ten will cut back on credit and debit card spending. That's probably a good thing. In 2009, Americans who paid with credit cards charged more than they anticipated – $180 more on average.
Another problem with using credit cards is that consumers tend to carry debt for a long time. The latest Consumer Reports Holiday Shopping Poll revealed some 13.6 million Americans remain saddled with last years' leftover holiday debt.
Additional findings from Consumer Reports first Holiday Shopping Poll of 2010 include:
'Tis Better to Give Than Receive
- Nearly a third (31%) of adults reported that they plan to cutback on gifts for themselves. Overall, they expect to spend more on charitable giving and gifts for others.
Tackling Holiday Shopping
- Most people haven't begun shopping. As of mid-October, only about a quarter (28%) of Americans had started. Twenty percent do not expect to finish until after December 23rd.
Budgets on the Decline
- Nearly half (47%) of Americans are planning to set a budget for their holiday purchases. That's down 12 percentage points from the height of the recession in 2008.
- Making a budget and sticking to it are two different things. Of the 36 percent of consumers who made a budget last year, 39 percent reported that they exceeded it; five percent said they went way over budget.
Happy Holidays Are Here Again
- Holiday optimism continues to grow. Forty percent of adults expect their holiday season to be happier than last year. Households with kids under 12 (53%) and younger adults aged 18 – 34 (58%) are particularly optimistic about the upcoming holiday season.
