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their loved ones to choose what they want," MEI wrote.
The Mastercard economics arm said it anticipates higher- The ripple effects of tariffs, global
than-normal use of gift cards this holiday season.
trade shifts and beyond haven't
But because gift card purchases are highly seasonal (MEI's left small businesses a
data indicates nearly a third of this spending occurs in
December and January, on average) the economic impact lot of breathing room.
will spill into 2026. Also, some categories show more
seasonality than others. About 38 percent of gift card
spending at toy stores happens in December and January. • One-click payment options (think Apple Pay and
Google Pay)
Thirty-seven percent of bookstore gift cards sales are in Although in earlier years ecommerce and mobile
December and January as well. Health, beauty and medical commerce were the domain of larger retailers, this is no
supply stores see about 36 percent of gift card sales in longer the case. What's more, "Small businesses are using
those months. ("Health, beauty and medical supply stores social media more," Charest noted.
are one category – let's presume people are picking up
cologne, not catheters," MEI wrote.) They also are using artificial intelligence and video in
Tech-powered health equipment their marketing to consumers. For example, among those
surveyed by Constant Contact, 37 percent said they are
From health trackers to gym equipment with built-in health using AI to write email subject lines or social media
monitoring and workout mirrors offering personalized posts. Nearly three in 10 (29 percent) said they are using
training via AI, technology-powered health and wellness the technology to make images; 25 percent said they are
is a hot category, MEI reported. using it to analyze data. What's more, 78 percent of small
businesses are using video in their marketing.
Spending on new fitness brands grew at 30 percent year-
over-year from 2023 to 2024, compared to 5 percent for They also are using email more: 44 percent are using it to
conventional fitness clubs in the U.S. drive sales, which is double the percentage that said they
were doing so last year.
MEI's analysis reveals that between 2018 and 2024,
spending on new fitness brands during the holiday season Email and SMS messages allow small businesses the
rose 4.5 percent compared with the rest of those years. ability to individualize, Charest pointed out. "They
can raise awareness without being on a platform that
Significant peak season buying relies on algorithms," he said. "With email, you own the
relationship." Charest described email and SMS as revenue
Salsify expects most shoppers to get into the gift-buying drivers rather than means for attracting new customers.
spirit during peak season. Nearly six out of 10 shoppers
plan gift-getting from September through December. Just Elaborating on Constant Comments research, and his own
15 percent identified themselves as "early birds," who get experience working with small businesses, Charest said
shopping done January through April; 19 percent said they tools like AI helps them get things done without the need
shop during the "mid-season" of May through August. to invest a lot of time and money into the process.
But don't expect a "December rush," as only 9 percent of
shoppers wait until then," Salsify reported. "It's all about content," he said. So, for example, a merchant

Online and mobile shopping trends can shoot a video, cut it up into pieces and transcribe it
with AI, which in turn can form the basis for sending out
While Black Friday is traditionally an in-store event, 38 emails, making social media posts and sending out text
percent of consumers plan to shop online this Black Friday, messages to customers, he added.
according to Salsify, and about a quarter (24 percent) plan
to mix in-store and online shopping. Mastercard's research further illustrates the importance
of social media, particularly among Gen Z, who seek out
But online shopping isn't what it used to be. Shoppers recommendations from influencers. A recent examination
love being mobile, and those participating in Salsify's of aggregated and anonymized Mastercard data for
Ecommerce pulse report for Q2 2025 shared some of their viral teen and tween fashion brands found that of the 15
favorite features of mobile shopping. Among the most American counties where social media drove the most
popular: fashion spending, 10 of them were in big college towns.

• The ability to discover, research and purchase
products anytime, anywhere Patti Murphy is senior editor at The Green Sheet, president of ProScribes
Ink (www.proscribes.net) and self-described payments maven of the
• In-app or mobile-exclusive sales fourth estate. Her Today in Payments reports are a regular feature of the
Merchant Sales Podcast.
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