GRAND RAPIDS, Mich. — The final week before Christmas is shaping up to be a retail bonanza, with the National Retail Federation predicting holiday sales will surpass $1 trillion this year.
According to an NRF holiday spending survey, consumers are budgeting an average of $890 for gifts and seasonal items in 2025. That's down slightly from $902 in 2024.
If you haven't finished your shopping, you're not alone. A record 159 million consumers are expected to shop on the last Saturday before Christmas.
Price pressures affecting holiday purchases
An AP-NORC poll indicates some U.S. consumers have noticed higher-than-usual prices for holiday gifts. The Associated Press reports games and toys were particularly susceptible to tariff-related price increases, since the majority sold in the U.S. are made in China.
Holiday spending reports are often impacted by what part of the population is doing the most shopping. A CNN report citing Gallup says while many higher-income consumers are shopping aggressively, some less affluent Americans are cutting back as they deal with higher costs and rising unemployment.
West Michigan businesses see positive trends
In West Michigan, economic leaders suggest a busy season for small businesses. While we'll have a better idea of the numbers when the holidays are all said and done, early indicators point to strong performance.
I reached out to several chambers of commerce in our neighborhoods to see what they're experiencing.
Rich App, the retail retention and attraction specialist with the Grand Rapids Chamber, says he's hearing there's been more foot traffic this year than in years past. During these last several days before Christmas, they expect an even bigger push.
It's a similar sentiment from the Michigan West Coast Chamber of Commerce. Jodi Owczarski, president and CEO, says their outlook is optimistic. She said their partners have done a great job this season and expect more positive days ahead.
This story was reported on-air by a journalist and has been converted to this platform with the assistance of AI. Our editorial team verifies all reporting on all platforms for fairness and accuracy.
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