Boxing Day is expected to be bigger this year with “deeper discounts” as retailers are left with more seasonal stock than expected.
According to research by PwC Promotions, although nearly 90% of retailers offered Black Friday sales, the majority were not as significant as in former years, meaning businesses are likely to have more seasonal stock remaining after Christmas than anticipated.
The accountancy giant’s research covered 200 UK online retailers.
PwC consumer markets leader Lisa Hooker said: “Whilst Christmas shopping started earlier this year, the majority of presents are still bought in December.
“But if shoppers do spend less, coupled with weaker autumn sales and less interest in Black Friday, there could be deeper discounts as retailers clear seasonal stock after Boxing Day.”
Hooker noted that this was especially likely to be true for categories such as electricals, home and toys, as research showed these were less important to shoppers this Christmas.
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PwC also predicted that overall spending on presents and festivities will drop to £20bn this year, down from £23bn in 2022, as one in six households intends to spend less.
Shoppers are forecast to splash out around £400 per head for Christmas gifts and festivities this year, making it £40 less than last year.
Consumers reported they would be prioritising food, drink and Christmas dinner this year.
Meanwhile, 6% of shoppers said they did not plan to spend anything.
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