2021 holiday retail outlook
Holiday spirits prove resilient
It’s been a challenging year and a half for consumers and retailers alike. While some Canadians have been able to weather the pandemic well, others have faced challenges. Yet Canadians’ holiday spirit is resilient, and this year’s holiday outlook finds them making plans to celebrate—and, in many cases, spend.
About Deloitte’s 2021 holiday retail outlook
Deloitte’s 2021 holiday retail outlook explores consumers’ shopping behaviours, attitudes, and preferences for the upcoming holiday season. The findings are based on a survey of more than 1,000 Canadian consumers across age groups, financial situations, and geographic regions. Read on for some key insights and download the full report to explore the findings in detail.
Holiday spending rebounds
Canadians’ holiday spending is set to return to pre-pandemic levels. Shoppers’ average holiday spend is estimated to hit $1,841 this year, bouncing back 31% from 2020 and rising 8% over 2019’s average spend.
Shopping season will start earlier due to supply-chain worries
Rising concerns over supply-chain issues and potential product shortages will persuade many Canadians—especially those who have weathered the pandemic well—to start shopping early. These same concerns may drive consumers to try new products and brands if their desired items are out of stock.
Financial impact of COVID-19 continues to shape holiday plans
Canadians who weathered the pandemic well financially are poised to spend an average of $2,118 this holiday season. Those who have had a more challenging time financially are more likely to reduce their holiday spending to an average of $1,400, citing inflation concerns and a desire to increase their savings. Retailers that have invested in their customer data and analytics capabilities should be able to better curate offers based on individual needs.
E-commerce helps customers achieve their shopping goals
Canadians continue to take advantage of online shopping to avoid crowded stores and mitigate their exposure to COVID-19. Many consumers intend to visit stores for transactional reasons this holiday season, such as picking up or returning items or to save on shipping costs. This will increase pressure on retailers, which are already experiencing hiring challenges.
Download our holiday retail outlook from years past.
2020 Deloitte holiday retail outlook
Fundamental shifts in holiday shopping habits of Canadians accelerate
2019 Deloitte holiday retail outlook
Tills will ring this holiday season!
2021 Deloitte holiday retail survey (US)
For the past 36 years, our holiday retail report has allowed us to keep a pulse on how consumers and retailers have evolved
Deloitte State of the Consumer Tracker
Establishing the road to a global consumer recovery in the era of COVID-19
National Retail Leader
Marty leads the National Retail Consulting practice for Canada. For the past 20 years, he has advised retail clients on developing and implementing enterprise-wide retail transformation and operational improvement programs that impact business processes, organization designs and technology enablement. These programs result in his clients realizing significant improvements to sales, margin, SG&A and working capital in a world of retailing where traditional ways of operating are no longer sufficient.