The 2025 holiday season reflects a growing economic divide. Rising inflation and SNAP benefit changes continue to tighten budgets for millions of Americans. At the same time, a substantial group maintains strong spending power. This split is reshaping shopping behaviors and requires brands to rethink how they engage consumers.
The Holiday Shopping Divide: Who’s Buying and Who’s Budgeting?
Retail spending remains solid, with forecasts expecting total holiday sales near $1 trillion and continued growth in online commerce driven by mobile devices. But beneath the headline numbers are two very different consumer realities.
Middle- and higher-income households are increasing their holiday budgets, often focusing on premium categories such as apparel, beauty, and general merchandise. Surveys show these consumers plan to spend more despite economic uncertainty.
In contrast, lower-income families, especially those impacted by SNAP benefit reductions and rising food prices, face tighter budgets. Research highlights rising food insecurity and reduced discretionary spend among this group. Yet, holiday giving remains a priority, leading these consumers to rely more on discounts, delayed purchasing, and flexible payment options like Buy Now, Pay Later.
Together, these trends create “Two Holiday Americas”… one marked by financial caution and constrained budgets, the other by more traditional or aspirational shopping. Brands that recognize this divide and adapt will connect more effectively.
Different Shoppers, Different Motivators
Deal Seekers prioritize savings. Most consumers actively seek coupons, cashback, and deals, with nearly 25 percent of online sales using discount codes, especially in apparel, beauty, and general merchandise. They often start shopping early to take advantage of promotions.
Premium and Aspirational Shoppers focus on quality, exclusivity, and experience. Influencer endorsements, limited editions, and AI-driven recommendations influence their purchases. Many combine in-store browsing with online buying, using loyalty benefits and personalized offers.
How Retailers Respond: Tactics Reflect Economic Realities
Retailers use deep discounts, dynamic loyalty rewards, and extended promotions to appeal to deal seekers. Flexible payment and fast delivery options support cautious consumers.
Premium brands invest in influencer marketing and experiential events to build trust and exclusivity. AI and conversational commerce help offer early, personalized discovery to aspirational shoppers.
Shopnomix’s Approach: Connecting Brands to Both Segments Through Intent-Driven Commerce
In a holiday market divided by economic realities, reaching the right consumers at the right moment is more important than ever. Shopnomix’s platform specializes in intent-driven marketing—connecting brands with shoppers who are actively demonstrating purchase intent early in their journey.
For budget-conscious consumers, Shopnomix delivers placements on deals and coupon sites, loyalty portals, and cashback platforms. These channels attract shoppers explicitly seeking savings and value, helping brands capture incremental sales from an audience that might be missed through typical search or social ads.
For premium and aspirational buyers, Shopnomix offers AI-powered answer engines, influencer-amplified content, pre-search tiles, and app preloads. These placements engage consumers who are exploring brands and products with genuine interest, often before turning to traditional search engines or marketplaces.
By leveraging exclusive inventory combined with proprietary data signals of shopping intent—such as browsing behavior, loyalty program activity, and purchase signals—Shopnomix enables brands to target audiences precisely. This targeted, intent-driven approach means advertisers can avoid wasted spend, reduce competition with their own campaigns, and maximize incremental revenue across all consumer segments.
What Brands Should Do This Holiday Season
To succeed, brands should:
- Segment audiences and tailor messaging for deal seekers and premium buyers.
- Use Shopnomix’s placements to reach consumers where they discover and shop.
- Offer dynamic, personalized incentives to boost engagement.
- Continuously monitor and optimize campaigns in response to consumer behavior.
The Net Gain
The economic divide shaping the 2025 holiday season presents clear challenges, but also distinct opportunities. Brands that recognize the “Two Holiday Americas” and tailor their strategies accordingly can connect with consumers more effectively and drive meaningful incremental growth.
By leveraging intent-driven marketing platforms like Shopnomix, advertisers gain the ability to reach both budget-conscious deal seekers and premium shoppers with precision and relevance. This approach minimizes wasted spend and competition within saturated channels, delivering new customers and higher returns.
The net gain is stronger marketing performance, deeper customer relationships, and a competitive edge in a complex market. As you plan for the holidays, embracing this nuanced, data-driven strategy will position your brand to win—no matter which side of the divide your customers fall on.