The impact of gas prices is down, confidence is up, and consumers are feeling better about increasing their spending this holiday season according to BIGresearch’s September Consumer Intentions and Actions Survey (CIA) of over 8,000 consumers. In fact 42% reported that they plan to spend about the same if not more than last year.

“We are seeing this trend across the board, regardless of income,” said Joe Pilotta, VP of research for BIGresearch. “Compared to last year’s survey, consumer price sensitivity is down in spite of wildly fluctuating gas prices.”

Compared to this time last year, numbers are up not only on consumer confidence, but people are also more willing to abandon their “sales-only” shopping habits with 16% saying sales are not important compared to 13% in 2005. In 2005, 23% said they would buy only on sale. That number dropped significantly to 16% in 2006.

While consumer confidence is rebounding, many people remain skeptical of falling gas prices. When asked if they expect gas prices to be more, less or about the same by Thanksgiving, 44% of those surveyed said gas will cost more, 32% expected prices to be the same and 24% said gas prices will be less than they are now. In addition, respondents believe the average price of gas will be $2.84 per gallon.

“That’s not cheap, so these findings indicate that consumers are taking a ‘wait-and-see’ approach to the temporary lows we’re seeing at the pumps these days,” said Pilotta. “They suspect higher gas prices may be coming, but apparently they’re not going to let it ruin the holidays. Any value-add, such as coupons, that retailers can bring to the table during this window of opportunity will be key to capturing more dollars by making shopping trips worthwhile.”