More Than Half Of Respondents Plan To Spend the Most On Children;
Nearly One In Four Intends to Spend the Most Money on Consumer
Electronics
RIVERWOODS, Ill.--(BUSINESS WIRE)--Dec. 6, 2007--Discover
Financial Services (NYSE:DFS) today released its annual Holiday
Shopping Survey, which assesses consumers' spending trends and gift
intentions for the 2007 holiday season. The findings show that almost
half of shoppers (44 percent) plan to spend between $100 and $500 this
holiday season and more than a quarter (29 percent) intend to spend
from $500 to $1,000.
Key survey findings include:
- Consumer spending intentions over the holidays are slightly
higher than last year, when 42 percent of consumers planned to
spend between $100 and $500 on gifts, and 26 percent planned
to spend from $500 to $1,000.
- Seventeen percent of respondents ages 18 to 24 said that money
was no object. This is significantly higher than the majority
of age groups interviewed, including 25 to 34 year olds (three
percent), 35 to 44 year olds (four percent), 45 to 54 year
olds (three percent), and 55 to 64 year olds (one percent).
- Almost a quarter of respondents (22 percent) said they think
and plan for the gifts they'll purchase this holiday season
all year round. At 27 percent, significantly more female
respondents than male respondents (17 percent) think and plan
for holiday gifts throughout the year.
- When asked on whom they anticipate spending the most this
holiday season, 55 percent of respondents said children.
Fifteen percent said a spouse, while 11 percent said their
mother. Friends and fathers came in at three and two percent,
respectively. At 22 percent, significantly more male
respondents said they would spend the most on their spouse,
compared to female respondents at 10 percent.
- Fifty-five percent of respondents plan to purchase a gift card
for someone this holiday season. The same number said that
they would be thrilled if they received a general purpose gift
card, which would allow them to buy anything they want.
- When asked to indicate all the places they prefer to shop this
holiday season, 60 percent of respondents said department
stores, while an equal percentage said discount stores.
Thirty-seven percent said they preferred specialty stores,
while 34 percent said they preferred to shop online.
"The Discover Card Holiday Shopping Survey provides both consumers
and merchants with insightful trends that can help them plan for the
shopping season accordingly," said Margo Georgiadis, executive vice
president and chief marketing officer of Discover Financial Services.
"Shoppers clearly are planning in advance and are likely to stay
within their budgets this year, but they still plan to spend about as
much as last year."
Consumers Sticking to a Budget
The survey revealed that the majority of shoppers (65 percent)
plan to spend within their budget and more than half (53 percent)
believe that it is very realistic that they'll stay within their
budget this season.
In terms of planning how they'll manage their budget this holiday
season, more than a quarter of respondents (28 percent) said they do
so all year round - significantly more female respondents (32 percent)
than male respondents (23 percent) spend all year round thinking and
planning for budgeting for the holiday season.
Popular Gifts This Holiday Season
Discover Card's Holiday Shopping survey also revealed popular
gifts and spending categories, both in terms of giving and receiving:
GIFTS SHOPPERS PLAN TO SPEND THE TOP GIFTS RESPONDENTS WOULD MOST
MOST MONEY ON LIKE TO RECEIVE
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23% Consumer electronics 26% Consumer electronics
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17% Apparel 15% Apparel
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16% Toys 1% Toys
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15% CD's/books/DVD's or video 18% CD's/books/DVD's or video
games games
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10% Home items 17% Home items
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7% Jewelry 12% Jewelry
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"At Discover, we're hoping to spread extra holiday cheer this
holiday season by giving cardmembers the opportunity to earn extra
cash rewards," said Georgiadis. "Through our online shopping portal,
ShopDiscover, they can earn 5%-20% Cashback Bonus(R) when they spend
at top online retailers. Cardmembers also can earn 5% Cashback Bonus
on restaurants, movies and grocery stores, and even an instant $20
gift card when they spend $200 on their Discover Card at 160
participating malls nationwide."
Returning and Re-Gifting
Discover Card's survey also revealed that consumers are relatively
split when it comes to returning and keeping gifts:
- When asked how often they return gifts, 49 percent of
respondents said they keep most gifts, but every once in a
while, they receive something that they return.
- An almost equal amount of respondents (45 percent) said that
they never return gifts.
- Forty-seven percent of respondents were horrified by the idea
of "re-gifting," or giving a gift they've received to someone
else.
About the Discover Card Holiday Shopping Survey
For Discover Card's Holiday Shopping Survey, a telephone survey
was conducted with a total of 1,017 nationally representative adults
(502 males and 515 females). The research was conducted from November
9-12, 2007 by Opinion Research Corporation.
About Discover Financial Services
Discover Financial Services (NYSE:DFS) is a leading credit card
issuer and electronic payment services company with one of the most
recognized brands in U.S. financial services. The company operates the
Discover Card, America's cash rewards pioneer, with more than 50
million cardmembers. Since its inception in 1986, the company has
become one of the largest card issuers in the U.S. Its Third-Party
Payments business consists of the Discover Network, with millions of
merchant and cash access locations, and PULSE, one of the nation's
leading ATM/debit networks. Discover also operates the Goldfish credit
card business in the United Kingdom. For more information, visit
www.discoverfinancial.com.
CONTACT: Discover Financial Services
Mai-Lee Ua
Public Relations
(224) 405-3082
maileeua@discover.com
SOURCE: Discover Financial Services