Festive gifts being purchased was down against 2021 as consumers continue to tighten spending amidst the cost-of-living crisis, research from Barclays found.
Cyber-Monday spending increased by 1% year-on-year powered by a growth in e-commerce sales by 4.3%.
“People might be taking advantage of deals for essential goods” Barclays stated.
Luxury consumers decreased their spending by 12% on the Monday, despite a recent upsurge in youths purchasing high-end products.
However, discount consumer purchases rose by 3% versus 2021 indicating value-based consumers helped push trade during the electronic deals period.
Reduced spending over the Christmas period appears to be an issue for businesses, gift card seller Moonpig saw a 90p reduction in target price to 280p by investment bank Jefferies.
“While card revenues have remained relatively robust, Moonpig has seen customers trading down to lower gifting price points” the US bank added.
The London based company reduced full year guidance by 7% to £320mln following the tougher than expected circumstances.
Moonpig Group PLC (LSE:MOON) are currently trading at a 113p share price, down 37% in the last month.