By Janet Álvarez - CNBC + Acorns
Although Christmas spending is projected to increase by as much as 5.2% this year, the general categories in which people are spending their money are changing dramatically.
Money that was spent on travel in previous years is being saved or used to buy gifts, for example, according to a study by the economic analysis consultancy PWC.
That means savvy consumers can find many ways to save this holiday season, and enjoy one of the few positives of the coronavirus pandemic.
[Follow our coverage of the coronavirus pandemic]
Christmas trips
A marked decrease in travel due to the pandemic means that
many Americans will not shell out extra money on expensive vacation airfare to visit friends or family.
Zoom meetings, phone calls, and gifts by mail are all the rage this season, creating ample savings opportunities for many families.
How to avoid getting (and infecting others) with COVID-19 at Christmas?
Dec. 20, 202002: 34
Still, those traveling can find fares up to hundreds of dollars cheaper this year than in previous seasons.
The cheapest time to travel during the holidays can be here: December 19-26 shows the lowest average airfares of the Christmas season.
[Medical experts urge not to travel amid the worst spike in infections and deaths since the beginning of a pandemic that has claimed the lives of more than 324,000 people in the United States alone.]
[USA. faces an atypical Christmas with record deaths from coronavirus and amid fear of the new strain]
If you plan to travel as early as 2021, booking your flight in advance now can bring you significant savings.
Most airlines, hotels, and cruise lines offer cancellation fees or the ability to rebook without penalty, or are flexible if you decide to postpone or cancel your trip, making the cost savings even more valuable.
Tips to save on online purchases
When doing your Christmas shopping, keep in mind that an increase in online purchases prolongs transit times for gifts and increases shipping costs.
So if you haven't already bought and shipped your holiday gifts this year, it may be worth waiting until after Christmas to do so.
Some ideas to maximize your online shopping savings this season include:
• Buying virtual gifts, such as
gift cards
, online subscriptions, or other
gifts that can be sent by email or online,
eliminating shipping costs and ensuring your gift arrives on time.
• Avoid gift categories that are in
high demand due to COVID-19, such
as home gym or health equipment, home office
supplies,
and other electronics.
Instead, items like traditional clothes, books and toys are given away this year.
• Request
free or reduced-rate shipping in the 'chat'
with a representative or in the 'help' section while shopping online.
Alternatively, if a coupon is offered instead of free shipping, negotiate or request a coupon that is as close to your shipping costs as possible.
• Start your shopping online, but don't finish the purchase right away,
leave your shopping cart full.
Often times, retailers will offer you a code for a coupon or free shipping to entice you to come back and checkout.
• Wait to shop until Christmas Day - Many retailers
slash prices on Christmas,
and the reality of the pandemic means that your adult family and friends will be able to understand that your gifts are arriving later.
• Redeem airline miles or
points from your credit cards
to boost your savings.
Some credit cards, such as
Bank of America
cash rewards
, allow you to choose to participate in online shopping categories that increase your cash back on your holiday purchases.
• Use apps like Honey or Ibotta to
compare prices
and find the best coupon codes online.
• Don't forget
the discounted membership programs
: Amazon Prime members, as well as members of major retailer memberships, can enjoy free or lower-priced express shipping.
So, if you haven't joined some membership programs yet, this may be the time to do so.
These are the recommendations to avoid getting COVID-19 during Christmas
Dec. 17, 202001: 58
Lastly, keep in mind that you have
unprecedented flexibility
to celebrate the holidays in the safest and most convenient way for your family.
A renewed focus on experiences, on virtually reconnecting with loved ones near and far, and being grateful for our ties and values reinforces the Christmas spirit in what has been a tough and very unusual year.
