More Than Half of Shoppers Have Not Set a Christmas Budget, Despite Cost of Living Crisis

More than half (55%) of UK shoppers haven’t set a budget for their Christmas spending, despite high inflation and the cost of living crisis pinching consumers’ purse strings, according to new insight from Airtime Rewards1.

A poll of Airtime Rewards customers in December 2023, reveals that just 45% of UK shoppers have set a budget for Christmas spending. Of those, two thirds (66%) have agreed this with their family or partner, compared to 31% who haven’t. More than half (55%) expect to keep within their budget when making Christmas purchases. Whereas, a fifth (21%) of shoppers expect to blow it.

When asked how much money they intend to spend on Christmas purchases this year, three in 10 (30%) said between £251-£500, and a further 22% said between £501-£1,000. Three fifths (59%) are planning on dipping into their savings to pay for festive purchases, while 21% plan to pay with credit cards. A small number (3%) plan to go into their overdraft to fund their holiday spending.

Josh Graham, Chief Marketing Officer at Airtime Rewards, commented: “As we approach the Christmas break, shoppers across the country will be searching their favourite retailers’ websites or stores, filling their baskets with gifts for family and friends. However, with many keeping their cards close to their chests and sticking to a budget, it’s important that retailers are creating an enjoyable and spendable experience. The addition of loyalty schemes is one way in which retailers can support their budget conscious customers by creating personalised awards, ensuring they step into Christmas feeling confident and comfortable about their shopping and spending.”

1 Airtime Rewards polled 2731 members, who are active UK shoppers between 7-11th December 2023 via a typeform member survey.  Airtime Rewards defines ‘active’ UK shoppers as members who have engaged with the app and made purchases from our partnered  brands  in the past 60 days.