Cash App Afterpay Reveals Over 38% of U.S. Shoppers are Financially Stressed Amid Economic Pressures

Economic uncertainty isn’t going to see U.S. shoppers retreat from the holidays. On the contrary, new insights from Cash App Afterpay’s 2025 Holiday Survey gives an insight into how many Americans are determined to preserve seasonal traditions – and manage their stress – through mindful spending, planning ahead, and still finding a little time for self-care.

Conducted by Morning Consult, the research examined the sentiments and spending plans of American consumers and retail business decision-makers (BDMs) ahead of retail’s most important quarter. The survey reveals that shoppers are getting practical, and leaning into flexible tools like Buy Now, Pay Later (BNPL) to better manage budgets, planning purchases around major sales events, and carving out room for gifts that support wellbeing. These intentional habits are reshaping how and when consumers spend, creating a holiday season that balances strategy while maintaining tradition.

Key Holiday 2025 Insights:

• Holiday stress on the rise: 38% of U.S. consumers feel more financially stressed than in 2024, with 35% specifically anxious about covering holiday costs.
• Spending power remains resilient: A quarter (25%) of shoppers plan to spend $1,000 or more this holiday season — up from 18% in 2024 — while another 20% expect to spend $500–$1,000.
• Early and intentional shopping: 41% plan to start earlier, 39% will spend less overall, and 34% are setting budgets in advance. Nearly half (48%) will complete most shopping by October, while one in three will wait until November.
• Shoppers plan to gift themselves too: Nearly half of consumers plan to buy for themselves (48%), alongside partners (46%) and friends (46%).
• Big bargain expectations: 44% are holding out for major sales events, with 27% expecting discounts of 50% or more, especially on electronics and apparel.
• BNPL influences where shoppers buy: Nearly one in five shoppers are more likely to shop with retailers offering BNPL. Top drivers include convenience (65%), reliability (59%), and better budget management (39%).
• BNPL proves a growth driver for retailers: 88% of retail decision-makers offering BNPL say it’s important for attracting new customers and increasing sales.
• Self-care at the forefront: 71% of shoppers plan to buy self-care items this year, with nearly half (46%) saying they are more likely to do so than last year.

“Consumers are approaching this holiday season with both caution and determination,” said Tanuj Parikh, Head of Commercial, North America, at Cash App Commerce. “With economic uncertainty and price volatility challenging shoppers over the past year, the demand for greater choice and flexibility at checkout has never been higher. Fortunately, today’s consumers have access to more financial tools than ever, many right on their smartphones, that empower them to manage their budgets effectively and make confident decisions, ensuring they can still enjoy their holiday season.”

For more holiday insights, read our full report here.

Methodology:

The 2025 Afterpay Global Holiday Shopping Survey was conducted by Morning Consult from July 17–25, 2025, among 2,200 U.S. adults (ages 18–65) and 264 retail BDMs. Results have a margin of error of ±2% for adults and ±6% for retail BDMs.

About Cash App Afterpay

Afterpay is transforming the way we pay by allowing eligible shoppers to buy products immediately and pay over time - enabling simple, transparent and responsible spending. We are on a mission to power an economy in which everyone wins. Afterpay is offered by thousands of the world’s favorite retailers and used by millions of active global customers. Afterpay is currently available in Australia, Canada, New Zealand, the United States and the United Kingdom, where it is known as Clearpay. Afterpay is a wholly owned subsidiary of Block, Inc. (NYSE: XYZ).

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