The option to put items on layaway may have faded over the past few years. However, the purchasing method is not dead, as many retailers have announced they are planning on offering the service for customers this holiday shopping season. It seems as though shoppers are open to the idea, as recent research has revealed that a significant amount of American consumers are planning on taking advantage of layaway when buying gifts this year.

Consumers list many advantages for layaway

Perhaps its because of recent economic conditions, or maybe shoppers just want to keep a closer eye on their finances. Whatever the reason, some consumers will be using layaway options during the 2012 holiday season. A recent survey by CouponCabin found that 34 percent of American adults are somewhat likely to put items on layaway in the coming months. Nine percent of respondents stated they are more than likely going to use the options.

These customers see many benefits to putting items on layaway. More than half (54 percent) stated this option gives shoppers the chance to buy larger items that they are unable to pay for all at once. Maintaining a holiday shopping budget came in as the second best reason to use layaway, at 52 percent, and avoiding the use of credit cards garnered 46 percent of responses. Additionally, 43 percent said layaway options help people plan ahead for their holiday purchases, the study discovered.

"Layaway can be a smart option for holiday shoppers on a budget, as it forces shoppers to be disciplined about saving and reduces impulse purchases," said Jackie Warrick, president and chief savings officer at CouponCabin.com.

Layaway efforts increased among retailers

Perhaps in response to the significant demand and slow economic growth, many big-name retailers are bringing back their layaway options for shoppers this holiday season. According to The Street, Wal-Mart, Toys-R-Us, Kmart, Target and Sears are among the companies that are giving consumers the chance to use layaway. Many of these businesses discontinued their layaway methods over the past few years, but they have decided to offer them this year to bring in more cash-conscious customers.

To further accommodate consumers, some retailers, including T.J. Maxx, Best Buy and Wal-mart, are reducing the fees required for opening a layaway account. Other companies, such as Kmart, Sears and Toys-R-Us, are completely waiving their fees for customers, states the news source.

The economy is slowly but steadily improving, and this means that consumers are getting more confident about their financial conditions. Many shoppers are planning to hit retail stores and websites over the next few months to stock up on items and gifts. This is giving retailers and merchants hope for the season, and industry experts are anticipating that this year's sales totals will at least meet, if not surpass, the amounts for 2011.

Holiday spending will increase

According to a recent survey by PriceGrabber, consumers will be spending more on holiday purchases this year. More than half of respondents stated that they will spend just as much on purchases this year as they did in 2011. Twelve percent will spend more in 2012, up from the 7 percent who said the same last year.

There are many reasons why shoppers will be increasing their spending this holiday season. The study found that nearly half of consumers surveyed stated they are making more money this year, while 22 percent said it was their increasing confidence in the economy. Many consumers are also expecting retailers to offer better prices and deals this season, with 67 percent stating this as the number one cause of their increased spending. There are many features that retailers are offering that is contributing to the jump in purchases, including free shipping, discounts and clearance sales. Shopping has also started earlier this year, the research found.

"Our survey data found that shoppers are not only expecting to find great prices and bargains this holiday season, but 59 percent of consumers plan to start shopping even earlier this year to spread out the impact of purchases, compared to 53 percent in 2011," stated Rojeh Avanesian, PriceGrabber vice president of marketing and analytics. "Our data indicates that 17 percent of consumers plan to start their holiday shopping in September and 31 percent plan to begin in October this year."

2012 holiday trends

There are several trends that retailers need to be on the lookout for this holiday season. Independent Retailer reports that online shopping will be huge this year, and companies that do not implement strategies to meet the demands of consumers could lose out to competition. A study by Pitney Bowes revealed that the online shopping experience for consumers needs to be streamlined to avoid any instances of confusion or frustration. Additionally, the source states, shoppers will be looking to purchase items from retailers by using multiple channels. Merchants must be willing to provide these and remain consistent through each one. 

Although it is considered one of the shortest shopping seasons of the year, consumers turn out in droves to buy their Halloween costumes and associated supplies. This year, specialty retailers are expecting significant increases in spending for the season, as economic conditions continue to improve.

According to a survey by the National Retail Federation (NRF), approximately seven out of 10 Americans are planning on celebrating Halloween this year. This represents approximately 170 million people, or 71.5 percent of respondents. This is an increase from the 68.6 percent that partook in Halloween festivities last year. The study anticipates that spending will rise also, with the average cost of each person purchasing $79.82 for related items, up from $72.31 last year. The total amount of Halloween spending is expected to reach $8 billion this year, reports the NRF.

Many retailers specializing in Halloween-related items open up leading up to the season. The Rockford Register Star states that many of these merchants in the Rockford, Illinois, area are already seeing high sales from consumers. Two big name seasonal retailers, Spirit and Halloween City, are opening up 1,000 and 400 stores nationwide, respectively. Smaller merchants are also experiencing success from costume rentals and other associated supplies.

As the economy begins to improve and consumers regain their confidence, this year's holiday shopping season is expected to surpass last year's numbers as customers flood retail stores and websites.

Retailing Today reports that recent research from Deloitte states that retail sales for the holidays will grow between 3.5 percent and 4 percent in comparison to last year's numbers. This represents a total between $920 billion and $925 billion for the season. While the anticipated growth is not as high was is hoped for, the study reports that the presidential election and further concern over the global economy are contributors to this.

"While consumers turned out in the summer to give retailers solid gains for a few months, that pace may be difficult to sustain through the end of the year," said Carl Steidtmann, Deloitte's chief economist. "Consumers and businesses alike may pause in advance of the election; however, retailers may benefit from a post-election consumer spending boost."

One aspect of holiday retail sales that is already growing is the hiring of seasonal workers. NBC News states that many big name retailers are stepping up their employment efforts to bring on more staff members to help with the large amount of consumers that are anticipated to flood stores. Walmart alone will be hiring approximately 50,000 temporary employees, the source reports.

Technological advancements and new devices are taking the world by storm. Shoppers are increasingly buying the latest and most improved gadgets, which has led to an all-time high in consumer confidence.

According to Retailing Today, the recent Index of Consumer Technology Expectations from the Consumer Electronics Association (CEA) revealed that the highest levels for consumer confidence in technology products were reached in September, coming in at 92.4. This is a 4.9 point increase from the previous month. Additionally, overall confidence in economic conditions also improved, as the CEA's Index of Consumer Expectations is at 172.2 for September. This represents a rise of 15.4 points from the same time last year, the source notes.

"This month's measure of sentiment is at levels typically only seen during the height of the holiday buying season, an indication that consumers are likely to buy and spend more on tech in the weeks ahead," said Shawn DuBravac, CEA's chief economist.

Perhaps one event that contributed to these high levels of confidence was the release of Apple's iPhone 5, the latest and most up-to-date smartphone from the tech giant. Unwired View reports that Apple announced that it has sold more than 5 million devices since its release on September 21.

For retailers that stock their shelves with Halloween merchandise such as costumes, decorations and party supplies, things are certainly heating up as consumers prepare for the holiday.

The News-Press reports that Halloween stores in southwest Florida are already seeing an increase in customers, as people come in to gather their gear. Some retailers in the region even opened up as early as Labor Day to allow for shoppers to get a head start on the season. Many of these businesses are considered pop-up stores, meaning they are only open for short periods of time instead of year-round. To increase sales and retain loyal customers, many of these retailers rent out the same spaces each year so they remain consistent, and shoppers know where to find them. However, a few have decided to venture out and keep their stores open throughout the year, reports the newspaper.

Seasonal hiring is not only restricted to retailers preparing for the winter holidays, as many Halloween specialty stores also increase their workforces during the late summer into the early fall. Halloween City, a retail store chain with locations throughout the U.S., recently announced that it is looking to bring on at least 12,000 employees to help with increased sales at its 400 temporary stores throughout the country.

With the release of the newest iPhone from tech giant Apple on September 21, retailers around the world prepared their stores for the influx of customers that rushed to purchase the must-have gadget of the year.

KHON-TV reports that retailer Best Buy in Honolulu extended its hours on Friday to accommodate consumers who had pre-ordered their iPhone 5 online. They only accepted people who had made an appointment to pick up their new devices between 7 a.m. and 10 a.m. Other retailers in the area also opened their doors earlier for iPhone buyers, and many created displays that features the new additions to the technology, reports the source.

Elsewhere in the world, people were lining up days before the phone was being sold in stores, according to The New York Times. Apple stores around the globe saw people camping out for days just to get their hands on the iPhone 5. More than 2 million orders were processed within the first 24 hours of when Apple announced the release date. This is more than double the amount that was received when the iPhone 4S came out, says the news source.

Although the United Kingdom received a major retail boost from the Olympics, businesses across the country are hoping the strong sales last well into the future. Positive numbers, coupled with growing consumer confidence, are seeing increases in retail sales.

According to Reuters, U.K. retailers saw better-than-expected sales during the Olympics, as many economists anticipated that these numbers would drastically decrease as shoppers stayed home to watch the 2012 Games. A report from the Office for National Statistics (ONS) found that sales dipped 0.2 percent, when it was estimated that it would be 0.4 percent. Although purchases fell, experts are saying that the numbers indicate that the economy could be improving.

"We would not interpret the (August) fall in sales as being too bad a result," said BNP Paribas economist David Tinsley. "The level of retail sales is still hovering around considerably higher levels than it averaged in 2011, indicating there has been some more momentum to consumer spending recently."

Fresh Plaza reports that another study by Savvy Marketing found that more British consumers are gaining confidence, and many are wanting to buy products made in the U.K., a result of the patriotism left over from the Olympics. Between June and August, the total amount of shoppers that were looking to purchase British goods increased from 63 percent to 72 percent.

Besides stocking their shelves with wanted holiday merchandise, retailers are also hiring more employees and launching promotional campaigns to begin the shopping season. Since economic conditions are looking up, more merchants are optimistic about bringing on new staff and are expecting holiday sales to significantly increase from last year.

The Chicago Tribune reports that many retailers across the country have already started displaying holiday-related merchandise. This is being done in the hopes of attracting the early shoppers and gaining their loyalty, not only through the end of the year but into the future as well.

"Consumers only have so many dollars they are going to spend at this point," said Megan Donadio, retail strategist at Kurt Salmon, as quoted by the news source. "By getting out there and letting people know about layaway plans, they (retailers) are making sure they are in the front of consumers' minds."

Retail hiring numbers for the holiday season are already surprising economists. The International Business Times reports that Kohl's Corporation recently announced that it has brought on 52,700 temporary workers, representing a 10 percent increase from last year. Approximately 495,000 people were hired last year during the holidays, and the industry is expected to surpass that number this year.

As economic conditions continue to improve and shoppers make their way back into stores, retailers across the country are beginning to show signs of optimism. While there are still some concerns about what can happen in the near future, executives of large retail brands are expressing their confidence in the industry and the purchasing habits of consumers.

The Herald Online reports that recent research from accounting firm BDO USA revealed that retail chief financial officers are expecting to see at least a 4.5 percent rise in 2012 sales from last year's amounts. This number could be more than what is hoped for, as the total amount of 2011 sales exceeded expectations by increasing 7.3 percent from the year before.

The study also found that retail CFOs are becoming increasingly confident, reports the news source. Many companies expect slow growth throughout the next few months, but 32 percent of retailers are anticipating an economic turnaround, which is nearly triple the 11 percent that said the same thing in 2011.

These positive expectations could be due to the high amount of sales that retailers saw in August. InvestorPlace states that a report released by the International Council of Shopping Centers found that retail chain store sales increased by 6 percent throughout the month.