Christmas trees — along with wreaths, lights and other decor — are in high demand this year as many Americans embrace holiday festivity in the face of rising coronavirus cases and bleak predictions for the winter months.
Two consumer trends are buoying demand. U.S. households are sitting on about $1.2 trillion more in savings than usual, and when they’re spending, they’re specifically targeting items to spruce up their homes. The majority of U.S. consumers say they’re more interested in holiday decorations and seasonal items than usual this year because of the pandemic, according to a survey by the National Retail Federation.
The median price for real trees sold in 2020 is expected to be about $81, up 7% from last year and 23% from 2018. Big chains are taking notice, with Lowe’s offering free tree delivery for the first time. Home Depot Inc. is trying to sell more holiday decorations and gifts this season to further capitalize on an already strong year, after the so-called essential retailers remained open throughout the pandemic.
