The busiest retail season of the year is quickly approaching but with economic headwinds still strong, one company’s research indicates Canadians are keeping a closer eye on their wallets.

In September, global omnichannel ad exchange Sharethrough set out to give brands an idea of what to expect in Q4. The company surveyed 1,000 adults, 57% female and 43% male, in the U.S. and Canada about their holiday shopping behaviours and habits.

The research found that Canadians plan to be more conservative this year, with only 13% saying they planned to increase their spending while 28% of U.S. consumers plan to spend more. Some of the key findings include that 58% of consumers say they plan to buy gifts online and 56% say online ads influence their shopping decisions and behaviours.

While only 13% of Canadians plan to increase their holiday spend, 73% of the respondents overall (US and Canada) said they are likely to spend more or the same as last year. Women are more likely to spend less (30%) compared to 22% of men. The majority (52%) expect to spend at least some of their budget on Black Friday or Cyber Monday. The amount of consumers who will do most of their holiday shopping on Black Friday or Cyber Monday (9%) is a 64% increase over 2022 and is mainly male and aged between 18 and 24.

Nearly half (49%) of shoppers plan to start their gift quest in October, a 46% increase over 2022, and 84% plan to start during or before Black Friday and Cyber Monday. A majority of consumers engage in online price tracking “sometimes or always,” although those in the 55-plus age group are less likely to do online price comparison.

Online shopping (58%) is set to trump brick-and-mortar (42%) this year, with most of the buying on mobile devices by all age groups. This includes 55% of respondents shopping by phone, 31% via computer and 10% on tablets. Adults 55-plus favour computers (51%) over phones (30%).

When it comes to buying gifts, 81% of shoppers, mainly younger consumers, say they would consider purchasing sustainable gifts with Gen Z most interested at 38%. Consumers in the U.S. are 16% more likely to buy sustainable brands than Canadians.

The types of gifts shoppers want to receive themselves differ by gender. Males are 19% more likely to prefer physical goods, while females are 94% more inclined to appreciate DIY or handmade gifts. Respondents prefer to offer physical gifts (77%) while 59% prefer to receive physical gifts. Those 18 to 24 are three times more likely to offer donations to charity in the recipient’s name compared to other age groups and twice as likely to want to receive donations as gifts.

Online platforms have the biggest influence on consumers’ gift purchase decisions. YouTube, Facebook and blogs/websites are the most influential with blogs/websites first for those 55-plus and second for 16-to-24 year-olds.

Ads on websites seem to be the one type of ad most inclined to have an impact on all age groups, with 78% ranking them in their top three choices of marketing medium. Social media is most influential for 18-to-34-year-olds, followed by ads on websites and TV. TV ads are most influential (55%) by those over the age of 55.

Pricing and promotion have the greatest influence on purchase decisions online. Better price is in the top three influences for 61% of consumers while free shipping is in the top three for 58% and promotions and deals in the top three for 54% of consumers.

Sharethrough’s insights come alongside two other major surveys out this week. Deloitte’s 2023 Holiday Retail Outlook – The weight of the season: Financial strain expected to curb holiday spending found that 41% of Canadians intend to be more cautious and selective in their holiday spending this year, citing an anticipated slowdown in the global economy.

Both surveys, however, are in contrast to the Leger Holiday Shopping Survey from Retail Council of Canada (RCC), which found holiday spending expected to spike 15% versus last year. The annual survey of over 2,500 respondents revealed that Canadians predict to spend an average holiday expenditure of $898, a rise from last year’s $782, of which 80% will be allocated to gifting.