Survey finds consumers are cutting holiday budgets, seeking discounts and using social platforms across discovery, purchasing and customer service

Holiday shoppers are taking a more deliberate approach to seasonal spending as economic concerns and tariff-related price increases affect purchasing plans, according to new research from Sprout Social.

The company’s Q3 2026 Pulse Survey found that 56% of consumers plan to reduce holiday spending because of broader economic conditions, while 69% are concerned about tariff-related price increases. Thirty-six percent said they plan to begin shopping earlier to avoid potential price increases.

Social Media Becomes a Key Shopping Destination

Social media is playing a growing role throughout the holiday shopping journey, from product discovery to purchasing and customer service.

The survey found that social media tied with physical stores as the leading destination for holiday gift discovery, with 46% of consumers selecting each. Among Gen Z, social media was the top destination, with 54% using it to discover products.

Social commerce is also gaining traction, with 57% of consumers saying they are open to purchasing products directly within social media applications.

Discounts and Product Demonstrations Drive Purchases

The research suggests that shoppers are looking for practical value rather than simply seeing more holiday advertising.

Promo codes shared by brands or influencers were identified as the leading driver of holiday purchases, followed by posts demonstrating products in use. Targeted social advertisements ranked as the least effective purchase driver among the options surveyed.

The findings indicate that brands may need to emphasize useful information, offers and product education as consumers become more selective about how they spend.

Customer Service Moves Further Onto Social

Social platforms are also becoming an important customer-service channel during the holiday season.

Consumers surveyed said they are most likely to use TikTok (50%), Facebook (46%) and Instagram (44%) when seeking customer service through social media. Direct messages were the preferred way to contact brands, selected by 55% of respondents.

The survey also found that 70% of consumers are comfortable with brands using AI-powered tools to provide faster customer-service responses.

Overall, 86% of consumers said they plan to use social media for holiday customer service at least as much as they did in 2025, including 27% who expect to use it more.

Social Media's Role Extends Beyond Shopping

The Q3 survey also examined social media's role in news and political information ahead of the 2026 U.S. midterm elections.

According to the survey, social media was identified as a primary news source by 38% of Millennials and 33% of Gen Z respondents. Fifty-five percent of consumers said a social media post had informed or changed their opinion, while 45% of social users said they do not follow any politicians on social media.

AI-generated content is another concern during the election cycle. Eighty-four percent of voters surveyed said they were concerned about encountering AI-generated deepfakes on social platforms.

These findings reflect survey responses and describe consumer attitudes rather than measuring the accuracy or influence of individual political content.

Survey Methodology

The Q3 2026 Pulse Survey was conducted online from August 11 to August 18, 2026. The research included 2,286 social media users across the United States, United Kingdom and Australia and was conducted on behalf of Sprout Social by Glimpse, according to the company's published methodology.

The results point to social media becoming increasingly integrated into the holiday customer journey, while economic pressure is encouraging shoppers to seek discounts, research products earlier and use social platforms for both purchasing and post-purchase support.