Despite rising gas prices and interest rates, shoppers will find a way to add a little extra money to their holiday budgets this year, according to a new survey by the National Retail Federation (Washington).

The NRF 2004 Holiday Consumer Intentions and Actions Survey found that the average consumer plans to spend $702 on the holidays, up 4.5 percent from last year. Total holiday spending is estimated to reach $219.9 billion.

“Retailers can be encouraged that consumers have been planning ahead for the holidays,” said Tracy Mullin, president and chief executive officer of the NRF. “Shoppers won’t let higher gas prices and rising interest rates steal Christmas this year.”

According to the survey, the average consumer will spend the bulk of his or her holiday budget on gifts for family ($406.52) and friends ($71.29). They also will spend on co-workers ($22.12) and other people, such as babysitters, teachers and clergy ($41.10).

Many consumers also will shop for themselves. More than half (51 percent) plan to take advantage of sales to buy things for themselves and their families, and will spend an average of $89.25.

“Consumers want to reward themselves for a job well done, and the savviest shoppers know that this is the best time of the year to find great deals,” Mullin said. “Retailers would be wise to acknowledge that some shoppers feel they deserve a little something for themselves.”

This year, half of all consumers want to receive gift cards, up more than 10 percent in two years.

While many retailers have been emphasizing customer service this year, only 4 percent of consumers said that “helpful, knowledgeable customer service” was the most important factor when deciding where to shop. Most consumers said they consider sales or discounts (42 percent) or everyday low prices (16 percent) when choosing a store. Consumers also shop at stores based on their selection of merchandise (20 percent), quality (9 percent) and location (8 percent).

Consumers also plan to shop at a variety of stores, including discounters (77 percent), department stores (53 percent), grocery stores (47 percent), specialty stores (39 percent) and online (38 percent).

For more information, visit www.nrf.com/holidays. [December 2004 PET AGE]