New research from the Consumer Technology Association (CTA)® shows that 65 percent of all Americans, roughly 160 million people, are planning to buy tech gifts this holiday season, a steady increase over last year. According to the22nd Annual CE Holiday Purchase Patterns Study, emerging technologies continue to drive growth in the tech industry, with one in three holiday shoppers (33 percent) looking to purchase an emerging tech product- such as smart home devices, wearable activity trackers and drones- during the 2015 holiday season.
According to CTA’s holiday retail outlook, overall spending this holiday season is expected to increase 3.4 percent to reach $788.5 billion. Further, spending on tech during the holiday season is expected to reach nearly $34.2 billion, a growth of 2.3 percent.
“Consumer Technology Association’s 2015 holiday forecast suggests the holiday shopping season that lies before us will be the biggest on record,” said Shawn DuBravac, CTA’s chief economist and senior director of research. “Coupled with general holiday buying, Americans are showing a strong propensity for tech this holiday season.”
Top Holiday Tech Wish List
According to the new CTA study, the tech products that U.S. consumers most want to receive as a gift this holiday season are:
1. TVs
2. Tablets
3. Smartphones
4. Notebook/laptop computers
5. Videogame consoles
Top Tech Gifts to GiveÂ
CTA expects headphones and earbuds (28 percent and 27 percent of consumers, respectively) to be the most popular tech given during the 2015 holiday season. Tablets (26 percent) will also be popular this year, followed by portable Bluetooth speakers (25 percent), smartphones (24 percent) and notebook/laptop computers (25 percent).
More than half of shoppers (58 percent) plan to purchase a tech accessory this season. Videogame accessories will see one of the largest increases in popularity with one in five shoppers (23 percent) likely to purchase – a seven percentage point increase from last year (16 percent). Three new accessories categories tracked this year include digital toys or videogame figurines (21 percent), selfie-sticks (nine percent), and action camera accessories (seven percent).
More and more consumers – 33 percent – will opt to purchase a new, emerging technology product this holiday season – the category’s highest total ever. The most popular 2015 holiday gifts among emerging tech will be smart home devices (15 percent), wearable fitness activity trackers (12 percent), smart watches (12 percent), action cameras (12 percent) and drones (seven percent).
“Whether Americans want the latest upgrade of their favorite tech device or to try out the newest emerging tech on the market, it’s apparent that consumer enthusiasm for tech will be substantial this holiday shopping season,” says DuBravac.
Earlier and Earlier Holiday Shopping
CTA’s study says more consumers plan to shop later in the season, consistent with a belief that the best deals are at or after Black Friday. More consumers (71 percent, a 10 percentage point increase from 2014) plan to wait until November or December to start their holiday shopping, while 24 percent (down from 31 percent in 2014) indicate they anticipate shopping in October or earlier. Women (31 percent) are much more likely than men (17 percent) to start their holiday shopping in October or earlier.Evolving Holiday Retail Channels
CTA’s study also found more than half (55 percent) of consumers are likely to shop for tech online this year. However, traditional retail channels remain essential sources of tech gift purchases, with 77 percent of consumers – on par with the past four years – likely to purchase from a brick-and-mortar location. Households with children are significantly more likely to shop online (69 percent) than households without children (56 percent).
Mobile not just for Millennials
The mobile channel continues to grow in importance each holiday season. More than two-thirds of consumers who plan to spend money on consumer tech, likely using a mobile device, such as a smartphone or tablet, to help them shop.
Mobile is now starting to connect with audiences of all different ages. In 2014, 69 percent of 35-54-year-olds planned to use a mobile device to help with holiday purchases. This year, that number rose to 74 percent, approaching the 79 percent of millennials who plan to use a smartphone to shop.
“Holiday shopping patterns are evolving significantly,” said Steve Koenig, senior director, market research, CTA. “More consumers outside of the traditional early adopter and millennial generation are using tech to buy tech. They’re relying heavily on online shopping and mobile devices in an effort to have a more informed and convenient holiday shopping experience.”
CTA Holiday Research
To keep up to date with all of CTA’s holiday research throughout the season, visit CE.org/holiday. CTA will also release a mid-season holiday update on Nov. 10 at the Innovate! conference and its annual Post Black Friday Survey results following the Thanksgiving shopping weekend on Nov. 29.
The 22nd Annual CE Holiday Purchase Patterns Study was designed and formulated by CTA Market Research, the most comprehensive source of sales data, forecasts, consumer research and historical trends for the consumer electronics industry. Please cite any information to the Consumer Technology Association (CTA)®. The complete report is available free to CTA member companies at members.CE.org. Non-members may purchase the report in the CTA Store.
About Consumer Technology Association:
The Consumer Technology Association (CTA)TM, formerly the Consumer Electronics Association (CEA)®, is the trade association representing the $285 billion U.S. consumer technology industry. More than 2,200 companies – 80 percent are small businesses and startups; others are among the world’s best known brands – enjoy the benefits of CTA membership including policy advocacy, market research, technical education, industry promotion, standards development and the fostering of business and strategic relationships. CTA also owns and produces CES® – the world’s gathering place for all who thrive on the business of consumer technology. Profits from CES are reinvested into CTA’s industry services.
