Survey: Cash back, 'deep discounts' poised to drive extra holiday spending
The majority of consumers are setting a budget this holiday season – but increased promotions may lead some to spend more than they planned.
Nearly six-in-10 (58%) consumers are setting a holiday budget, with more than a quarter 26% planning to be strict about their spending, according to a new survey from deal platform RetailMeNot. The average planned holiday spend this year is $913 total ($611 on gifts for others, $302 on themselves).
Despite budgeting efforts, shoppers will go over budget when the value feels worth it. According to the survey, deep discounts (54%), cash-back rewards (34%) and easy-to-find promo codes (30%) are the top triggers pushing people to spend more than planned. A boost in income or household finances (42%) is also a major factor for those planning holiday budgets.
[READ MORE: ‘Deal’ is key word for holiday season; free shipping, easy returns also key]
Cash-back rewards are especially powerful for holiday shoppers, according to the survey, as 80% of respondents say it influences their choices, with more than one-third (36%) saying it strongly drives where and how they shop.
When it comes to eyeing down holiday deals, Black Friday is still the most popular shopping day, with 59% planning to shop on the day after Thanksgiving. Cyber Monday (54%), Amazon’s October Prime Day (48%) and pre-Black Friday sales (37%) are also expected to be key for holiday shoppers.
Additional highlights from the survey include the following:
- Almost half (45%) of consumers plan to split their shopping being online and in-store, while 41% plan to shop mostly online.
- Inflation-driven price hikes (53%) are the top stressor for holiday shoppers. Tariff-driven increases are also especially disruptive. Forty percent of respondents said they would switch brands if prices were too high, while 31% would shop earlier, and 30% would shift to domestic/local retailers.
- Friends and family (45%) are the top sources for gift ideas, followed by social media (33%) and retailer apps/sites (32%). AI gift lists will be used by 13% of consumers and 19% of Gen Z shoppers.
“Holiday 2025 is not just about shopping earlier. It is about shopping with a plan,” said RetailMeNot. “From cash back to layered discounts, shoppers are building their own savings strategies and using tools that help them feel confident in every purchase. We’re calling it precision shopping. And it is already reshaping the season.”
RetailMeNot’s survey was fielded by Ziff Davis on Aug. 28, 2025, and featured 1,064 consumers.
