NPD: More Consumers Will Shop Online During The Holidays

More than seven in 10 consumers will shop online for at least some of their holiday season needs, with nearly 80% of Millennials saying they will use the Internet to address their gift-giving needs, according to The NPD Group’s 2016 Holiday Purchase Intentions Survey.

Consumers anticipate doing an average of 38% of their holiday shopping online in 2016, with that number rising to 42% among Millennials and Generation X.

“Online continues to change the game for retailers because it goes beyond convenience by bringing value and timing into the equation,” said Marshal Cohen, chief industry analyst, The NPD Group. “Brick-and-mortar retailers still have the benefit of drawing the majority of holiday shoppers with the in-store experience, but it is clear they are going to have to put their best foot forward in order to maintain a hold on holiday 2016 and future seasons.”

In addition, NPD also found that mobile apps are expected to be utilized by more shoppers this holiday season. According to the NPD survey, 14% of U.S. shoppers— including 29% of Millennials— said they would use their mobile phones to buy gifts this year, up more than 130% from 2015.

“We are at a point where retail must embrace the online shopping culture, not just try to battle it, especially during the critical holiday shopping season,” added Cohen. “There are opportunities to be had in the relationship between brick and click. Maximizing the emotional component of shopping in-store, while utilizing the convenience and flexibility of shopping online, will create a complete shopping experience for the consumer and a happy year-end for retail.”