Spaniards are tightening their belts this holiday season, with spending on gifts and festivities down by 8% compared to last year, according to a survey by the Spanish Organisation of Consumers and Users (OCU).
The average holiday budget now stands at €684, equating to roughly a third of the average monthly income.
Gifts and travel budgets shrink
The biggest reductions are in gift and travel expenditures. Spending on gifts has dropped to €359 from €391 in 2023. Holiday travel and planned trips also saw a decline, with budgets shrinking from €107 to €86 this year.
Changing spending habits and search for bargains
Many Spaniards are adopting new spending habits to avoid falling into debt over the festive period. The rising popularity of bargain shopping during Black Friday and January sales reflects a shift towards more cost-conscious consumer behaviour. According to the OCU, 27% of respondents prefer to delay gift shopping until January to take advantage of post-holiday discounts. Black Friday has also become a significant shopping event, offering a chance to save on Christmas purchases.
Festivities and lottery spending also cut
Smaller reductions are seen in spending on Christmas parties, dinners, and meals. Spaniards expect to spend €173 on festivities this year, slightly down from €178 in 2023. Investment in the popular Christmas lottery is also declining, with budgets reduced from €69 to €64.
Fewer visits to Christmas events
Participation in traditional Christmas activities is decreasing. While 63% of respondents plan to visit Christmas markets, this is down from 68% last year. Similarly, attendance at the Epiphany Parade has fallen to 53% from 60%, and work-related meals are less popular, dropping from 50% to 47%. Despite these reductions, 82% still plan to attend meals with friends and family outside their household, though this is lower than 89% last year.
Stress and financial concerns during the holidays
The financial pressure of the holiday season is a growing concern. Half of the survey’s respondents anticipate exceeding their budgets, while 35% report significant stress related to buying gifts. Fear of falling into debt is another factor influencing spending habits, with many families looking for ways to celebrate more affordably.
Online shopping continues to gain traction, with 37% of Spaniards preferring to shop online, compared to 30% who favour physical stores. Online platforms often provide better deals and eliminate the stress of crowded shops, making them an attractive option for cost-conscious consumers.
Economic pressures behind the trend
The reduction in spending reflects broader economic challenges, including rising living costs and financial uncertainty. As a result, many households are prioritising essential expenses and seeking opportunities to save, even during the festive season.
This shift in spending habits highlights how Spaniards are adapting to economic pressures by finding smarter ways to celebrate the holidays while staying within budget.