Inflation, Deals, and Divide: What’s Driving 2025 Holiday Shopping

The holiday shopping season continues to creep earlier each year, and 2025 is no exception. According to new Five9 consumer survey data, nearly 20% of consumers say they’ve already started shopping for the holidays, while another 31% plan to start in the coming weeks - well before Black Friday. Inflation and the search for deals are driving holiday shopping consumer behavior and inspiring shoppers to spread out their spending and lock in savings where they can. 

This trend reflects broader consumer sentiment surfacing in the media. As CNBC recently reported, inflation concerns, tariffs, and uncertainty around the economy are reshaping how and when shoppers spend. 

Inflation, Deals, and Generational Differences 

While all consumers are feeling the impact of rising costs, generational data tells an important story: 

• Gen Z and Millennials are leading the early-shopping trend, often motivated by finding deals and stretching budgets across multiple pay cycles. 

• Gen X and Boomers, by contrast, are more likely to anchor their spending around traditional shopping milestones like Black Friday or December promotions. 

This underscores a critical shift: younger consumers are not only shopping earlier but are more deal-driven than ever before. 

Confidence Gaps and Budget Realities 

The survey also reveals striking differences in financial confidence between men and women: 

• 76% of consumers feel financially confident about the next six months. 

• But when broken down by gender, just 24% of women feel very confident, compared with 38% of men. 

• Nearly a third of women (30%) fall into a gray zone - not confident, but not fully unconfident either. 

• Women are also more likely to have reduced discretionary spending, with 48% cutting back on entertainment, versus 34% of men. 

These insights highlight the importance of recognizing how economic realities are shaping holiday shopping trends and consumer behavior in nuanced, demographic-specific ways. 

What This Means for Retailers 

The implications are clear: 

• Start engaging early: Younger, deal-focused consumers are already shopping, and waiting until November may mean missing out. 

• Tailor by demographic: Men and women are experiencing the economy differently -retailers should consider messaging and promotions that acknowledge these gaps. 

• Focus on value and flexibility: From promotions to customer service, transparency and trust will be key in winning over cautious shoppers. 

Holiday shopping is no longer a one-size-fits-all season. Inflation concerns, generational differences, and gender divides in consumer confidence are shaping how people plan, spend, and save. By listening closely and adapting strategies, retailers can not only meet customers where they are but also earn lasting loyalty in an uncertain economy.