A Third (33%) of Canadians Went Over-Budget During the Holidays
Toronto, ON, February 3, 2022 – As many Canadians were excited to celebrate the holidays with loved ones this year, a third (33%) went over-budget in their gift-giving excitement, up eight points since last year, according to an Ipsos poll conducted on behalf of RBC. Though, despite these shoppers spending an average of $414 more than intended, this was less than the previous year’s average of $588.
Looking at a provincial breakdown, those in Quebec and BC spent the most over their budgets ($476 and $454 respectively). Those who reside in Saskatchewan/Manitoba and Atlantic Canada overspent the least ($320 each).
For their holiday season purchases, most Canadians used debit/cash for their payment method (48%). However, this payment method has dropped by 7 points since the previous year, while credit card use increased by 6 points (43% vs 37%).
As holiday-spending credit cards come due, Canadians are beginning to assess their financial health for 2022. One-quarter (22%) say they aren’t saving anything right now, and don’t think they will be able to set aside anything extra in 2022.
Fewer Canadians are feeling positive about their financial health in 2022 after their holiday spending. Those who say they feel great dropped from 48% last year to 42% this year, with the highest proportion of those who feel great living in BC at 51%. Those who feel good dropped from 30% to 26%, with the highest in Saskatchewan/Manitoba at 36%. Furthermore, those who simply feel okay about their finance rose to 24% from 18%, with the highest in Quebec at 29%.
Canadians who went over-budget this year are now looking at ways to manage their holiday debt. A third say they are using their credit cards to carry these expenses (29%), and they intend to spend less on entertainment and other discretionary costs (28%). One in ten (7%) say they don’t yet know how they’ll be paying off their holiday debts.
This season’s most popular gift categories shifted this year since last year – gifting experiences to family and friends jumped to the top of the list ($160 vs $91 in 2020), followed by gift cards ($115 vs $121) and electronics ($90 vs $104).
Looking at the differences in gift giving by men and woman, male shoppers spent the most on giving experiences ($198), followed by electronics ($130), and gift cards ($129). Women also spent the most on giving experiences ($123), followed by gift cards ($101), and toys ($76).
|
RBC 2022 Post-Holiday Spending & Saving Insights Poll – Regional & Gender Comparisons |
|||||||||
|
ALL RESPONDENTS |
CAN |
BC |
AB |
SK/MB |
ON |
QC |
AC |
M |
F |
|
Yes, I overspent during the holiday season |
33% |
28% |
26% |
35% |
36% |
32% |
35% |
32% |
34% |
|
Average overspent |
$414 |
$454 |
$436 |
$320 |
$390 |
$476 |
$320 |
$452 |
$378 |
|
PURCHASE PAYMENT METHOD |
|
|
|
|
|
|
|
|
|
|
Cash/Debit |
48% |
40% |
42% |
55% |
47% |
52% |
59% |
49% |
48% |
|
Credit card(s) |
43% |
49% |
50% |
37% |
46% |
38% |
32% |
43% |
43% |
|
Gift cards |
4% |
5% |
3% |
3% |
3% |
5% |
4% |
4% |
4% |
|
Reward points |
3% |
5% |
4% |
1% |
3% |
1% |
1% |
2% |
3% |
|
Line of credit |
1% |
* |
1% |
2% |
1% |
1% |
1% |
1% |
1% |
|
Annual bonus |
1% |
* |
* |
1% |
1% |
1% |
2% |
1% |
1% |
|
OVERSPENDERS: PAYING OFF HOLIDAY SEASON COSTS |
CAN |
BC |
AB |
SK/MB |
ON |
QC |
AC |
M |
F |
|
Carry costs on credit cards and pay off balance right away |
16% |
8% |
19% |
18% |
19% |
14% |
13% |
18% |
15% |
|
Carry costs on credit card and pay off the balance within two months or more |
13% |
13% |
18% |
10% |
14% |
9% |
10% |
14% |
12% |
|
Cut discretionary costs (entertainment, etc.) |
27% |
24% |
28% |
30% |
29% |
30% |
16% |
24% |
31% |
|
Save in other areas |
28% |
31% |
23% |
25% |
29% |
26% |
28% |
27% |
28% |
|
No idea how to pay these costs yet |
7% |
5% |
7% |
6% |
7% |
9% |
8% |
6% |
8% |
|
ALL RESPONDENTS: FEELINGS ABOUT 2022 FINANCIAL HEALTH |
CAN |
BC |
AB |
SK/MB |
ON |
QC |
AC |
M |
F |
|
Great |
42% |
51% |
43% |
37% |
42% |
38% |
41% |
42% |
42% |
|
Good |
26% |
25% |
24% |
36% |
25% |
24% |
27% |
27% |
25% |
|
OK |
24% |
17% |
26% |
16% |
24% |
29% |
22% |
23% |
24% |
|
Bad |
6% |
4% |
3% |
7% |
6% |
7% |
7% |
5% |
6% |
|
Terrible |
3% |
2% |
5% |
3% |
4% |
2% |
3% |
3% |
4% |
|
ALL RESPONDENTS: SAVE EXTRA $ PER MONTH |
CAN |
BC |
AB |
SK/MB |
ON |
QC |
AC |
M |
F |
|
Not saving anything now |
22% |
27% |
25% |
23% |
22% |
19% |
24% |
19% |
25% |
|
ALL RESPONDENTS: USE FOR ‘FOUND’ $ |
CAN |
BC |
AB |
SK/MB |
ON |
QC |
AC |
M |
F |
|
Add to general savings |
33% |
35% |
33% |
27% |
36% |
28% |
38% |
32% |
34% |
|
Pay down debt |
32% |
26% |
34% |
30% |
28% |
40% |
39% |
32% |
33% |
|
Save for a particular purpose |
25% |
28% |
29% |
25% |
27% |
21% |
24% |
22% |
29% |
|
Invest |
21% |
16% |
22% |
23% |
26% |
18% |
13% |
27% |
15% |
|
Treat myself |
20% |
17% |
16% |
14% |
19% |
29% |
14% |
22% |
19% |
|
Give to charity |
7% |
8% |
8% |
5% |
8% |
4% |
4% |
8% |
5% |
|
No idea |
6% |
5% |
3% |
9% |
4% |
8% |
8% |
6% |
6% |
|
ALL RESPONDENTS: AVERAGE AMOUNT SPENT/CATEGORY |
CAN |
BC |
AB |
SK/MB |
ON |
QC |
AC |
M |
F |
|
Toys |
$89 |
$94 |
$74 |
$81 |
$94 |
$86 |
$90 |
$103 |
$76 |
|
Electronics (mobile devices, gaming consoles) |
$90 |
$75 |
$66 |
$175 |
$105 |
$73 |
$59 |
$130 |
$53 |
|
Entertainment (books, video games, iTunes) |
$58 |
$123 |
$54 |
$38 |
$54 |
$39 |
$46 |
$79 |
$39 |
|
Giving experiences to family, friends |
$160 |
$386 |
$163 |
$116 |
$138 |
$86 |
$135 |
$198 |
$123 |
|
Gift cards |
$114 |
$82 |
$115 |
$93 |
$140 |
$99 |
$112 |
$129 |
$101 |
|
Gifts for pets |
$26 |
$21 |
$33 |
$19 |
$32 |
$18 |
$21 |
$20 |
$30 |
|
Giving to charities |
$70 |
$265 |
$83 |
$20 |
$50 |
$16 |
$24 |
$99 |
$43 |
About the Study
A total of 2,000 surveys were completed online by Ipsos among Canadians aged 18+ from January 4th to 6th, 2022 using the Ipsos I-Say Panel for this poll, which has been conducted on behalf of RBC since 2011. Quota sampling and weighting was employed in order to balance demographics and ensure that the sample’s composition reflects that of the actual population of Canadians, according to Census data. The precision of online polls is measured using credibility interval. In this case, the results are accurate to within ±2.5 percentage points, 19 times out of 20, of what the results would have been had the entire population of adults in Canada been surveyed. Credibility intervals will be wider for smaller subsets of the population. Where appropriate, tracking has been included to past years.
For more information on this news release, please contact:
Sean Simpson
SVP, Ipsos Public Affairs
+1 416 324 2002
[email protected]
About Ipsos
Ipsos is the world’s third largest market research company, present in 90 markets and employing more than 18,000 people.
Our passionately curious research professionals, analysts and scientists have built unique multi-specialist capabilities that provide true understanding and powerful insights into the actions, opinions and motivations of citizens, consumers, patients, customers or employees. We serve more than 5000 clients across the world with 75 business solutions.
Founded in France in 1975, Ipsos is listed on the Euronext Paris since July 1st, 1999. The company is part of the SBF 120 and the Mid-60 index and is eligible for the Deferred Settlement Service (SRD).
ISIN code FR0000073298, Reuters ISOS.PA, Bloomberg IPS:FP
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