Sales of games and toys in the U.S. are down 8% through the first nine months of 2023 when compared to the same period in 2022, based on data from the market research firm Circana.

According to The Wall Street Journal, Circana's figures show toy and game imports have fallen sharply in 2023 while sales at toy stores, department stores and other gift outlets dropped in October. Meanwhile, spending on services has reached almost double the spending on goods for most of 2023, as consumers dedicate more money to experiences.

The National Retail Federation, an organization representing more than 3.8 million retail establishments, estimated that holiday spending will increase by 3% to 4% year-over-year during November and December, a pace expected to be slower than that seen during the same periods in 2022 and 2021.

U.S. importers brought in 21.5% fewer toys, games and sporting goods through the first nine months of 2023 when compared to last year. Bicycle imports are down 40% while smartphone imports have fallen by 16%.

Hasbro’s CEO, Chris Cocks, said there is no clear indication how spending will shake out this holiday season.

“We have a cautious outlook on the holiday,” Cocks said on a call with industry analysts. “And I think anyone who says they know how the holiday is going to go, they must have a crystal ball because this has been a tough one to predict.”