U.S. adults are planning to spend $720 on gifts for the Christmas season, according to Gallup's latest survey, representing a 3 percent increase from 2013, but a decrease of about 6 percent compared with 2012 and 2011. Forty-six percent of those surveyed expect to spend $500 or more, 39 percent plan to spend $499 or less, 9 percent do not celebrate Christmas and 6 percent were not sure how much they will spend, according to the survey.
Gallup observed that spending intentions have softened since October, when U.S. adults estimated their gift budgets at $781, which the firm likened to the "cold feet" syndrome.
Nonetheless, Gallup estimates a broad retail spending increase of between 2.2 percent and 3.5 percent for the November and December holiday period. Barring a major economic crisis or winter weather event that could curb Christmas spending, the forecast is near the 14-year average of 3.1 percent growth. Christmas season retail sales rose 1.5 percent in 2013, Gallup stated.