PayPal Survey Shows Shoppers Adjust Spending Habits Amid Financial Concerns
According to PayPal's 2026 Holiday Shopping Survey, nearly six in ten Americans feel greater financial concern heading into the holidays. Despite this, 64% expect to spend the same or more than last year. To manage their budgets, shoppers are starting earlier and seeking value through rewards, cashback, and flexible payment options like Buy Now, Pay Later (BNPL). Over half of consumers plan to shop before Thanksgiving, with many prioritizing budgeting and price comparisons. The survey also highlights a shift in consumer behavior: 75% of those who have used or considered BNPL may use it for holiday purchases. Shoppers are willing to trade dining out and personal gifts to preserve their gift-giving budgets. Top shopping categories include clothing, toys/games, and beauty products. PayPal is responding by offering more flexible payment options like Pay Later in its app. Frank Keller of PayPal notes that the change lies not in spending desire but how consumers approach it—seeking deals and rewards while prioritizing meaningful purchases.
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Topics: BNPL consumer spending payment solutions retail