Macy’s officials said this week that they expect another early start to holiday shopping this year and they might not be far from the mark. Some surveys indicate about half of shoppers intend to do just that, with some saying they’ve already gotten started amid worries about rising prices. However, many shoppers indicated they haven’t set aside the money for holiday purchases yet, and more than a fifth suggested they might take on debt or use buy now, pay later to buy gifts they don’t have the cash for. A recent report by Morning Consult found that some shoppers are also responding to inflation or “shrinkflation”—when producers shrink product sizes and weights rather than raise prices—by buying in bulk. Getting started early could give you more time to consider purchases and search for the best deals, while bulk purchases can help drive down unit costs. It’s also worth noting that borrowing costs are expected to become more expensive as the Federal Reserve raises interest rates to cool inflation, and it might not be a good time to make any large purchases you’re not sure you’ll be able to pay off. If you don’t have one already, it can also help to create a plan and budget that fits you to guide your choices.
