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Early indicators from Christmas tree sellers suggest U.S. consumers are still spending this holiday season—but with noticeably more caution, The Wall Street Journal writes.
Sales of real Christmas trees are up about 3% from last year, well below the 7% increase seen in 2024, according to a long-running industry survey often used as a proxy for broader holiday spending trends. Tree farm owners report that higher-income shoppers are still buying large, premium trees, while price-sensitive customers are trading down to smaller options and skipping add-ons like wreaths and garlands.
Artificial tree sellers are seeing a similar split. High-end products continue to sell, but overall demand is softer, as tariffs and supply-chain costs push prices higher. Some retailers have cut orders, raised prices and reduced staff.
While online holiday sales have shown strength, other data points to slowing momentum late in November. Taken together, the tree market points to a bifurcated economy—one where affluent consumers remain resilient, while many households are dialing back discretionary spending amid ongoing affordability concerns.
