Australians are adjusting Christmas spending this year, with 78% planning to cut costs while still celebrating, according to Christmas 2025 unwrapped report by ASX-listed data and insights company Pureprofile.
The research, conducted in September 2025, surveyed more than 1,000 Australians aged 18-64 across Australia, New Zealand, Singapore, the US and UK.
The most common adjustment is spending less on gifts overall (38%), followed by choosing budget-friendly food and drink options (21%) and focusing gift-giving on children (18%).
"This year's Christmas report makes it clear that the cost-of-living crisis continues to shape how Australians' celebrate the festive season," said Peta Kernan, head of data and insights at Pureprofile.
"Aussies are staying local, celebrating more affordably and cutting back on the cost of gifts and entertaining."
Despite cost-cutting measures, Australians expect to spend more this Christmas than last year.
Average spending on gifts is expected to reach $491, up from $468 in 2024, while food and drink spending is forecast at $506, up from $406 in 2024.
Three in five plan to spend $500 or less on festive food and drink.
When it comes to gifts, flexibility is key. Gift cards (43%) and money (36%) top wish lists, followed by clothes and shoes (41%), food and drinks (33%), technology (28%), jewellery (26%) and beauty products (29%).
In-store shopping remains dominant, with 61% of Australians preferring to shop in person compared to 38% online.
However, 55% intend to take advantage of Black Friday and Cyber Monday deals for Christmas shopping, up 10 percentage points year-on-year.
Payment methods are also shifting. Debit card use has risen to 56% (up six points), while credit card reliance has dropped to 40% (down seven points since 2023).
Workplace celebrations remain steady, with 53% expecting Christmas parties to be the same as last year.
However, 38% enjoy the time off when their workplace shuts down over Christmas, up six percentage points year-on-year.
Priorities for the new year reflect ongoing financial pressures. More than half of Australians (56%) aim to save more money, while 42% want to improve health and fitness, 34% plan to travel more and 30% want to spend time with family.
Top planned purchases for early 2026 include travel (24%), fashion (22%), household items (21%) and home improvements (19%).
The research was conducted using Pureprofile's Datarubico Insights Creator platform across five markets, with sample sizes ranging from 602 to 1,011 respondents per country.
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