2025 marks the 40th year of the Deloitte Holiday Retail Survey, and the retail transformation over that time has been remarkable. Holiday shopping has shifted from crowded malls and print circulars to a world of omnichannel convenience, digital discovery, and artificial intelligence-powered tools. Yet one constant remains: The holidays are when consumer behavior reflects both the realities of the economy and the desire to celebrate.

This year, the season is unfolding against a backdrop of economic uncertainty. Three-quarters of surveyed shoppers (77%) expect higher prices on holiday goods, and over half (57%) expect the economy to weaken in the next six months—the most negative outlook since we started tracking economic sentiment in 1997. Many shoppers across all income groups remain highly attuned to value, with promotions and deals shaping when and where they spend. But it’s not just about price. As noted in our recent report, “The value-seeking consumer,” surveyed shoppers also report seeking quality, trust, and meaningful experiences from the brands they choose. Retailers that can provide high value at both low and high price points this holiday season may be best positioned to attract value seekers.

Younger generations, particularly Generation Z, appear to be reshaping how holiday shopping happens. Not only are they more likely to seek deals (95%), but they’re also turning to influencers and social media (74%) and AI (43%) for inspiration and product discovery, and are using digital tools to find the best prices. This season, they’re planning to spend 34% less than last year, which means it will likely be important to provide shopping experiences that are entertaining, authentic, and seamlessly integrated into the platforms where they already spend time.

For retailers, this holiday season isn’t just about offering deals; it’s about meeting shoppers where they are—digitally, socially, and emotionally. Winners will likely be those who stand out by providing value, offering seamless technology to reduce friction, and delivering experiences that feel worth the spend. Forty years on, holiday shopping keeps evolving, but the magic of connection and celebration never fades.