As households look to make Christmas budgets stretch further, shoppers are taking an increasingly strategic approach to festive spending.
New research of 2,000 adults commissioned by PayPal reveals consumers have been deliberately postponing major purchases and are using Black Friday as a key opportunity to stretch Christmas budgets further, with spending across Black Friday and Cyber Monday estimated to reach £6.7 billion this year.
Black Friday shoppers are taking an increasingly strategic approach to festive spending, with almost half (48%) admitting to waiting two months or more for a specific item in this year's sales.
To illustrate the purchases driving Black Friday spending this year, PayPal has created a "Black Friday Basket" featuring some of the most popular items shoppers hope to buy during the sales. The basket also reflects how the event has increasingly become a planned opportunity to make Christmas budgets go further.
Beauty and fragrance products top consumers’ wish lists (44%), followed by fashion and trainers (39%), toys (38%), Christmas decorations (30%) and holiday bookings (27%). Larger purchases such as mobile phones (22%), laptops or tablets (20%), games consoles (20%) and smartwatches (20%) also feature on shopping lists.
Almost half (45%) of Brits say they are planning to shop the Black Friday and Cyber Monday sales this year, and as households look to balance festive spending with ongoing cost pressures, many are also turning to more flexible ways to pay like PayPal Pay in 3 and Pay in 30 Days.
While debit cards remain the most popular choice for shoppers' Black Friday purchases (30%), 12% plan to use digital wallets such as PayPal and almost one in ten (9%) intend to use Buy Now, Pay Later services (from any provider).
The research suggests that, as part of the mix of options available to them, consumers are combining discounts with a range of ways to pay in the run-up to Christmas.
Dave Jones, Head of UK Consumer at PayPal said, "Black Friday has increasingly become one of the biggest moments in the festive shopping calendar, as shoppers look for ways to make their money go further. Payment flexibility is becoming just as important as finding the right deal, and some are considering a range of options, including Buy Now, Pay Later, alongside traditional payment methods.
"Many shoppers want three things: value, flexibility and control. They're planning ahead and waiting for discounts on the items they want and choosing payment options that fit their budget. Whether that's paying upfront, using a digital wallet or, where it is affordable, spreading the cost over time, consumers are taking a more deliberate approach to how they shop during the festive season."
With the rise in everyday costs, Black Friday has become a more planned moment for many households, with some shoppers becoming more selective about how they buy and pay.
The PayPal Black Friday Basket highlights the categories consumers are most hoping to secure deals on this year, spanning everything from beauty and fragrance products to fashion, toys, technology and holiday bookings.
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The top ten categories shoppers say they are hoping to buy:
- Beauty or fragrance (44%)
- Fashion or trainers (39%)
- Toys (38%)
- Christmas decorations (30%)
- Holiday or travel bookings (27%)
- Gaming accessories (25%)
- Headphones or earbuds (23%)
- Mobile phone (22%)
- Other kitchen appliances (22%)
- Laptop or tablet (20%)
- = Games Console (20%)
- 10 = Smartwatches (20%)
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