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USA TODAY
HOWELL — Consumers and business owners feeling the pinch of inflation this holiday season might be looking to save money on unique items for family and friends, even as spending is expected to rise.
There are numerous holiday shopping estimates, but PwC, a professional advisory firm, forecasted last month that the typical American would spend $1,638 on holiday purchases, a 7% increase over last year. A study by Deloitte predicted consumers would spend an average of $1,778, up 8% from 2023.
Chocolate Boutique and Bakery Owner Teresa Challfour says some customers are looking to spend under $10. Her store offers a variety of items designed to leave a sweet impression without breaking the bank. The Chocolate Boutique and Bakery can also customize boxed items to fit any budget and taste.
“We try to give customers a good price and quality of product every day,” Challfour said. “With inflation it’s hard for consumers. And it’s hard for business owners.”
The General Store in downtown Howell started to sell artwork and handmade items from local featured artists in August and has since expanded those offers. Owner Toni Burghardt said some of the items range from seasonal holiday paintings and portraits and clay snowmen to homemade jewelry and uniquely made reusable paper towels. Burghardt believes these types of items offer an affordable, personalized option for shoppers. It also can bring more people into her store for other items.
“We’re competing with, not just big box retailers, but Amazon and other online retailers,” Burghardt said. “We need to offer something different, and I believe consumers are increasingly looking for personal items that really are unique and meaningful. The artists must be willing to sell their items for less than they normally would as part of this arrangement.
Some county households are on particularly strict budgets. There are more than 17,500 households in Livingston County that face financial hardship under the category, “asset limited, income constrained, employed,” or ALICE according to Amy Johnson, community collaborative planner with the Livingston County Hunger Council. This refers to households that earn more than the federal poverty level but less than the basic cost of living for the county. Holiday shopping for these households may be more restricted or reliant on donations.
Challfour understands that holiday shopping budgets can be tight, whether by choice or an established rule among family, friends and co-workers. For example, she encounters customers during the holiday shopping season who may need to purchase 10 gifts all at $5 or less.
“Everyone seems to be setting budgets, and you understand why,” Challfour says.
Consumers who shop locally owned businesses in downtown Howell and elsewhere have an expectation that they will pay more for similar items than at large retailers. Yet locally owned businesses still need to stay somewhat competitively priced.
“We work really hard to keep things as affordable as possible,” Burghardt said.
One way to do that is to promote the savings that consumers will realize from not having to pay for shipping costs.
“We can benefit from (co-marketing) with other downtown businesses as well.”
— M. Alan Scott is a freelance writer for The Livingston Daily. Contact the newsroom at newsroom@livingstondaily.com.