UK shoppers use AI for holiday deals as uncertainty bites

Klaviyo has published research showing that 86% of UK shoppers say economic uncertainty is shaping their holiday shopping plans, although most expect to spend the same as last year.

Among UK respondents, 59% planned to keep spending unchanged, while 21% expected to spend more and 20% planned to spend less. The findings come from a survey of 6,750 holiday shoppers across eight markets, including 1,000 in the UK.

Across those markets, shoppers who had used an AI assistant were more likely to say they would increase spending during the holiday season: 34% expected to spend more, compared with 14% of non-users.

The data points to a shopping season in which consumers are paying close attention to price and value while using digital tools to narrow their choices before buying. In the UK, 69% said they usually have a gift idea in mind before they begin searching, while only 13% said an advertisement or social media post typically prompts a purchase.

AI use appears to be focused on research rather than automation. Some 36% of UK shoppers said they planned to use AI to compare prices and find deals, and 24% said they would use it to research products and summarise reviews.

Search and value

The findings suggest shoppers are entering the festive period with clear priorities. Discounts were the most commonly cited offer, mentioned by 51% of UK respondents, followed by free or faster delivery at 49%.

Other incentives also featured prominently. Respondents cited early access to sales and bundled offers at 35% each, while 31% said loyalty perks or member pricing mattered.

The survey also tracked when consumers expected to hunt for deals. Christmas Day was the most popular time to buy gifts at a discount, cited by 49% of respondents, ahead of Black Friday at 44%. Boxing Day and Cyber Monday each ranked 25%.

For retailers, the figures indicate that price-led promotions remain important, but shoppers also weigh timing and access. Member offers and early sale entry may help brands compete as consumers stay cautious about broader household spending.

Trust limits

While respondents were willing to use AI in the early stages of shopping, trust fell when it came to handing over control of the transaction. Asked who they would most trust to recommend a gift for a best friend, 43% chose a general AI assistant such as ChatGPT or a branded AI assistant.

That confidence did not extend to payment and account access. Some 37% said they would not trust any AI assistant to complete a purchase, and only around 12% to 13% said they would share their full purchase and account history with AI.

Those responses point to a divide between recommendation and execution. Shoppers may accept automated support for product discovery and comparison, but many still want to make the final buying decision themselves.

Email remains the preferred channel for brand communication among UK shoppers, with 73% saying they wanted to hear from brands this way. That was the highest proportion among the eight markets covered by the survey.

That preference could shape how retailers organise campaigns through the seasonal sales period, especially as consumers seek direct information on discounts, access windows and personalised offers rather than relying on broader advertising or social media prompts.

Chano Fernández, Co-Chief Executive Officer at Klaviyo, said: "When households face financial uncertainty, they become more price conscious and are more likely to take extra time to find the best price for an item they want. That's why we're seeing AI's increasing influence across the early stages of the shopping journey, with consumers using it for everything from product research to deal finding.

"Retailers that really understand their customers have a unique advantage here. Having this knowledge means they can provide their own AI agents with context around customer preferences, purchasing history and previous brand interactions, helping to ensure every recommendation surfaced is genuinely personalised to the customer. At the same time, as AI makes it easier to compare prices, there's an opportunity for brands to compete on the strength of their customer relationships by delivering early access, member pricing and personalised offers through the channels shoppers prefer.

"There's a real distinction between trusting AI to recommend something and trusting it to pay for you. Consumers aren't ready to hand over full decision-making and their financial details to AI, and many may never be. That makes it more important for brands to get the basics right, like enabling accurate product discovery, personalised recommendations and relevant deals that help build stronger customer relationships and brand loyalty."