Christmas spending expected to remain steady in Finland

IT and electronics retailers are most optimistic about increasing their sales during the holiday season.

Most Finnish consumers expect their Christmas spending to remain at a similar level to last year, according to a survey by the Federation of Finnish Commerce. Both households and retail stores believe that expenditure during the Christmas season will not fall despite the uncertain prospects facing the economy.

The survey results reveal some differences between households. For example, childless working couples intend to spend more on Christmas preparations and food. “Retailers predict increased demand for the more expensive Christmas food and drinks this year,” says Jaana Kurjenoja, chief economist at the federation. Pensioners also expect to spend slightly more on presents this year, while families with children may spend slightly less than last year.

Some retailers predict sales growth

According to the survey, 41% of retailers expect more than 3% sales growth in the Christmas period, while 30% believe their turnover will remain at the same level as the year before. IT and electronics retailers have the most optimistic expectations, especially regarding the sales of smartphones, entertainment goods and small electronic products. Cosmetics gift sets are also expected to sell briskly.

The survey results show an interesting difference between people using only traditional stores and those using online stores. From the consumers who only use traditional stores, 11% are planning to increase their Christmas spending, while the corresponding figure for online consumers is 19%.

The consumer research was conducted by the federation in cooperation with Innolink Research Oy.

Source: Federation of Finnish Commerce