NEWS
5 Holiday Shopping Trends Small Businesses Should Watch in 2026
October 26, 2026
The holiday season presents opportunities for small businesses, but changing consumer spending habits can also create challenges. Understanding when customers shop, what influences their purchases, and how they manage their budgets can help business owners make informed decisions about pricing, inventory, and cash flow.
According to the National Retail Federation (NRF), holiday retail sales are projected to reach $1.013 trillion in November and December 2026, a 4.2% increase over last year. While spending is expected to grow, affordability remains a priority for many shoppers.
Here are five trends New Jersey small businesses should consider this holiday season.
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Holiday Shopping Is Starting Earlier
According to the NRF’s 2026 Holiday Consumer Survey, 43% of shoppers plan to begin shopping before November.
Small businesses can take advantage of this early demand by promoting seasonal products and services, reviewing inventory, and communicating ordering deadlines. Creating a simple marketing calendar can also help businesses stay visible throughout the season.
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Shoppers Are Focused on Value
Affordability continues to influence purchasing decisions, with 56% of surveyed consumers saying economic conditions will affect their holiday spending plans.
Businesses can respond by offering products at different price points, highlighting quality, or creating bundled promotions. Before offering discounts, review costs and profit margins to ensure promotions support your financial goals.
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Online Visibility Remains Important
The NRF reports that 53% of holiday shoppers plan to shop online this season.
The U.S. Small Business Administration (SBA) recommends keeping websites, social media profiles, and online business listings updated. Accurate holiday hours, product information, and contact details can help customers find your business and make purchasing decisions.
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Gift Cards Create Opportunities Beyond Retail
Gift cards remain a popular holiday option, with 47% of surveyed shoppers saying they would like to receive them.
For restaurants, salons, fitness centers, and other service-based businesses, gift cards can attract new customers and encourage future visits. Consider promoting them alongside seasonal offerings while clearly communicating redemption terms.
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Small Business Saturday Encourages Local Shopping
Small Business Saturday falls on November 28, 2026, providing an opportunity for businesses to connect with customers and encourage local spending.
Businesses can participate by highlighting their products and services, collaborating with neighboring businesses, or offering special promotions. The SBA provides free marketing resources to help businesses prepare.
Plan for the Season and Beyond
Understanding consumer spending trends can help small businesses anticipate demand, manage expenses, and make informed financial decisions. Reviewing sales performance and cash flow throughout the season can also provide valuable insights for planning in 2027.
Whether you’re managing seasonal expenses or preparing for future growth, UCEDC offers financing, training, and business resources to help small business owners plan for what’s next.