Americans' holiday gift-giving trends hide these money-making opportunities

It is learned that the US economy is showing signs of recession, and the "gift economy" triggered by the holiday season may become the next "lipstick index". This index refers to the sales of cheap non-essential goods that serve as "comfort" for consumers during economic depression, and their sales are rising against the trend.

Gifts not only meet the condition of being non-essential goods, but also play a role in comforting consumers. And related signs also show that American consumers will also be more inclined to "affordable" gifts when choosing gifts. This means that during this holiday season, American consumers will also show the "lipstick index" effect in their gift purchasing trends.

Based on data from previous recessions and even the Great Depression, here’s what we can expect from U.S. consumer gift buying trends this holiday season.

1. Practical gifts will become mainstream

In a recession, gift recipients often prefer "practical gifts." Data shows that during the last recession in 2010, children asked for more necessities such as socks, shoes and coats rather than Barbie dolls or Nintendo toys.

2. “Family” and “group” gifts become the gift-giving choices of more people

Research shows that during the pandemic, when it comes to office gift giving, Americans mostly choose gifts for "groups," such as food baskets, while individual gifts for individuals have fallen out of favor because most employees may not be working in the office.

During this year's holiday season, holiday gift giving may continue this trend due to a new wave of epidemics caused by the mutant virus.

3. Consumers will shop more online

The 2010 recession gave a strong impetus to online shopping, and online shopping also made it easier for consumers to compare prices. The significant improvement in online shopping user experience over the past decade, coupled with the online shopping habits formed during the recession, is expected to further accelerate this trend in the fourth quarter.

4. Gift givers will start shopping earlier

According to data from the last recession, more than half of consumers began their holiday shopping before Black Friday weekend in 2009, with 22% starting in October and 29% starting in November. The same phenomenon will occur with corporate gifts.

5. Purchases of durable goods will decline

In previous recessions, purchases of durable goods such as furniture and appliances fell sharply. Bank of America credit card data shows that furniture purchases as a percentage of credit card spending have been declining since December 2020 and have not returned to 2019 levels.

6. Gifts will be more colorful

Despite the tendency to believe that bad economic times call for somber colors like gray and black, the opposite is true, with bright colors like purple, green and bright orange being favored during the 2009-2010 recession.

In fact, returning to the lipstick effect, in the first quarter of 2022, women have already begun to choose brighter, more impactful colors instead of soft, natural makeup this year.

Editor✎ Ashley/

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