Holiday spending is expected to spike 15% versus last year, according to the latest Leger Holiday Shopping Survey from Retail Council of Canada (RCC).

The annual survey of over 2,500 respondents reveals that Canadians predict to spend an average holiday expenditure of $898, a rise from last year’s $782, of which 80% will be allocated to gifting.

Replicating previous results, Maritimers will lead the country in generosity with an expected average spend of $1,110, while Quebeckers’ spending will potentially fall below the national average at $663.

The top spending categories are clothing, constituting 17% of the holiday budget, followed by home entertainment and essentials like food and alcohol at 16% of the planned spend.

“Even with prevailing financial concerns on Canadians’ minds, their determination to shop and celebrate during the festive season remains undeterred,” says Diane Brisebois, president and CEO of Retail Council of Canada. “Retailers across the nation recognize these needs and will be providing Canadians with unique holiday shopping experiences, bolstered by exceptional products and engaging, value-added promotions.”

The data also reveal major shopping days like Black Friday and Cyber Monday are rising in popularity due to economic concerns such as inflation and cost of living hikes.

The numbers reveal that 88% of those surveyed – compared with 83% of respondents last year – are turning to proactive holiday shopping tactics including deal hunting (52%), preparing in advance (41%) and adhering to a specific budget (40%).

Shoppers are prioritizing holiday sales and promotions (66%) and free shipping (55%). They are also looking for in-store exclusives (48%) and distinct online promotions (60%) to provide additional value.

The shopping survey also reveals that in-store shopping will benefit from value bundles (26%) and product sampling (25%). Online shopping will be amplified by unique product offers and extended return policies (both at 33%).

Also, 45% of shoppers are leaning towards purchasing gift cards for others this season, with a notable 37% of Canadians (up from 32% last year) expressing a preference for receiving gift cards over traditional presents. Dining gift cards top the list (42%), followed by big-box retailers (33%) and food outlets (27%).

Finally, a growing number of Canadians are delaying significant purchases in anticipation of expected deals around popular shopping occasions. The survey highlights anticipated increases in shopping intentions for Black Friday (40%, up from 28% in 2022), Cyber Monday/Week (37%, up from 21% in 2022), and Boxing Day (32%, up from 18% in 2022).