Irish people are increasingly ditching physical gifts in favour of cash, research from payments company Paypal has found.
The study found 46 per cent of consumers prefer to send money to family and friends, avoiding buying Christmas gifts. Almost two-thirds will split bills or pool their resources to buy gifts and have nights out this year, and more than three-quarters said they would rather spend quality time with their friends and family rather than buy pricey gifts.
The cash option was most popular among Gen Z, with 50 per cent saying they would prefer to give money, and 81 per cent said they prized quality time over material goods.
The average person will spend €525 on Christmas gifts, with people from Carlow, Kildare and Meath spending the most, at up to €780.
Your work questions answered: Can bonuses be deducted pro-rata during a maternity leave?
Palantir, company at centre of row surrounding TD Eoin Hayes, is no stranger to controversy at home or abroad
Tips for avoiding a January credit-card hangover
Can I work for my foreign employer from my home in Ireland?
But despite this, 49 per cent said they felt under pressure to spend more than they planned, influenced by others’ spending habits.
Almost half of consumers surveyed said they expected to spend more this year on social events and gatherings with the average spend estimated at €339. Costs were set to be higher for people living in Kildare, Dublin and Mayo.
[ Just 10% of consumers planning to spend more this ChristmasOpens in new window ]
Only 14 per cent said they would leave things to the last minute, with two-thirds saying they would be done shopping by the second week in December.
“While it is a time of year when people are spending and when some are feeling more financial pressure than usual, people’s preferences and behaviours are changing. As well as more convenient and cost-effective ways of treating friends and family at this time of year, people are also opting to do activities with, rather than buying things for, their loved ones,” said Jonas Breding, general manager Northern Europe, PayPal.
“Consumers in Ireland want to make the most of the festive season, but they also want to be smart and realistic regarding their budgets. We know that being able to send money or split bills via person-to-person payments is important, as well as feeling empowered and vocal when it comes to priorities for this festive season.”
- Sign up for the Business Today newsletter and get the latest business news and commentary in your inbox every weekday morning
- Opt in to Business push alerts and have the best news, analysis and comment delivered directly to your phone
- Join The Irish Times on WhatsApp and stay up to date
- Our Inside Business podcast is published weekly – Find the latest episode here
