For several weeks, there have been lots of "doom and gloom" press reports regarding the state of the U.S. economy and consumers holiday spending...predictions of desperate retailers "hoping" that holiday sales will get and/or keep them in the "black" for the year; stories of mortgage troubles; evaluations of the subprime bailout; and laments of high gas prices. According to the media, these numbers all but guarantee consumers won't be able to spend what they want to for gifts this year. Absolutely, there are financial challenges facing our country this holiday season. Absolutely, individual families are juggling multiple financial priorities while the shopping season is in full swing. When it comes to purchasing holiday gifts, do we really believe what the press says about how, when, where and how much to spend? I don't think so! We spend what we want to spend. Here's how I know...
- We lack self-control. Very few of us can claim extensive experience in delayed gratification. We want what we want when we want it how we want it where we want it! Much of the time, we get it. Because of this "habit", our holiday spending can be more extensive and financially irresponsible than spending during other times of the year. After all, it's Christmas.
- comScore, Inc. reports there is an 18% gain in online spending during the same time period from 2006. Additionally, Monday, December 10, 2007 was recorded as the heaviest online spending day ever recorded. We ARE spending more than we ever have. No matter what the projections and the "experts" tell us.
- To what lengths are we NOT willing to go (reasonable or unreasonable) to guarantee that our children, spouses, etc. have their Christmas wishes come true? (buy a Wii for way too much on eBay? pay extra for expedited shipping? camp outside a store waiting for a delivery of the "hot item" that someone on your list wants?) In the spirit of the season, we are more willing to open our wallets for the "perfect" gift. We get caught up in the fun and festive atmosphere and lose sight of the limits of our bank accounts!
- We struggle to find unique gifts ("She already has EVERYTHING.") and are willing to pay more for them when we do! We have fallen prey to the idea that all the gifts we give (and receive) should be special and momentous. Honestly, that is too much of a job for every gift to fulfill! Nevertheless, we spend "whatever it takes" in an attempt to have our gifts convey meaning and significance.
- Shopping is more than a "utilitarian" exercise. Especially for women, shopping is considered to be an entertaining and social experience. A recent study, "Men Buy, Women Shop", conducted through the Wharton J.H. Baker Retail Initiative, found that shopping can be an emotional experience and that, women and men, develop and maintain shopping loyalties based on personal interaction, availability of desired products and customer service, NOT price! Certainly price is a factor but not necessarily the main one.
I am not finished with my Christmas shopping (4 days and counting). As I am finishing up, I notice full roadways and parking lots. Shelves are starting to empty; checkout lanes are backed up; and my wallet weighs less and less with each stop I make. Maybe the economy is not where the experts want it to be and the retail industry is in for a disappointing year. But that's not what I see...no matter what gas costs and what our houses appraise for, it's Christmas. When we spend what we want to spend anyway!
