Shoppers looking to spend less on holiday gifts with high cost of living

The holiday shopping season is around the corner and many are looking for ways to save.

Canadians are projected to spend a lot less on gifts this year as the rising cost of living continues to impact people in the Capital.

“I feel like with the mortgage and interest rates that have been climbing, we have had to cut back on Christmas shopping a lot,” said Jacinthe Kota, a local resident.

Natalie Staubin says she is opting out of presents all together.

“Day-to-day expenditures have gone through the roof and my partner and I have actually decided to not buy each other gifts this year because we can’t afford them,” she said.

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Others are still assessing their budget ahead of the holidays before putting together a shopping list.

“It’s a little hard to know because things are tough these days and inflation is causing us to close our pockets,” said Richard Himbaza, an Ottawa resident.

Canadians plan to spend $1,347 over the holidays, down 11 per cent from last year according to a survey from Deloitte Canada.

“We are trying to save by allotting one person at a time type of thing, like this year I’m shopping for my mom, my mom is shopping for my sister and she’s shopping for me because it kind of gets expensive if you tally everyone up at the end of the year,” said Pina Falcone, an Ottawa resident.

Experts say not only are people cutting back and going to discount stores to price match, but shoppers are also getting creative as a way to cut back.

“It can include finding something like a thrift item that you can give to someone or make a craft and make something for them,” said Bruce Winder, a retail analyst.

“This is the year where it’s the thought that counts and that’s what I think people are going to be really thinking about.”

Local retailers are also trying to keep up with the demands and competition from big box stores.

“In terms of sales, we will be marking some stuff down in the coming weeks, more than we have so, we will be doing a few sales,” said Colton Hroncich, a manager at the Crazy Moose of Ottawa store on William Street.

The Deloitte report predicts that gift card sales and charity spending will also be down 40 per cent.