Holiday Shopping Forecast 2014: Black Friday 2013 is not yet out of our memories as Target was targeted by hackers who affected last year's holiday spending. 

A new report says holiday shopping for 2014 will be marked by caution. In a new report from PwC US and Strategy, called "2014 Holiday Outlook: Top trends, consumer behaviors and implications for retailers," the groups surveyed more than 2,200 shoppers nationwide.

Steven Barr, PwC's U.S. retail & consumer practice leader said "The upcoming holiday shopping season will look very similar to 2013 as shoppers remain cautious on the economy and are concerned about disposable income, the rising cost of living, and insufficient salary, leading surveyed participants to project an average household spend of $684, down from $735 in 2013."

"The spending divide among shoppers is widening, creating two distinct groups that we are tracking - survivalists and selectionists - and retailers must cater to both segments. And with shoppers coming to expect a seamless omnichannel experience, deals to woo them into stores and having no tolerance for another season of data privacy invasion, it's a complex retail landscape that retailers need to master - or they risk losing loyal shoppers," he continued.

The 2014 holiday shoppers are planning their holiday spending in four very distinct waves. Wave one includes the early holiday shoppers, where 21 percent of all holiday spend will occur from now through the Thanksgiving weekend. Survivalists plan to spend $86 in this wave, while selectionists plan to spend $202. Wave two encompasses the Black Friday period - 21 percent of spend will occur over the week of Black Friday. Survivalists plan to spend $84 in this wave, while selectionists plan to spend $205. Wave three includes the mid-season spending frenzy, where fifty percent of the holiday spend will happen between Thanksgiving and Christmas with a significant portion of that spend in the last ten days before Christmas. Survivalists plan to spend $184 during this period, compared to $489 for selectionists. Wave four is post-season deal seeking, with eight percent of holiday spend projected to be after the holidays as shoppers continue their "affordability" journey. Survivalists plan to spend $23; selectionalists plan to spend $83. Getting promotions well-timed and relevant to shopper spend profiles is critical.

"With consumers having ever higher demands for their shopping experience - no matter the channel - we conducted this survey to better understand how retailers can meet the needs of their shopping habits this holiday season," Barr continued. 

"What we learned was that to compete effectively at retail this year, it demands a new level of organizational and operational excellence, which we outline in our report. Retailers have been cautioned about the two distinct groups emerging from today's economic realities, and we're offering ways on how to appeal to both groups and have a winning holiday shopping season in 2014," Barr said.

PwC and Strategy&'s 10 big trends that are expected to drive the 2014 holiday shopping season:

1. Shoppers will continue to spend cautiously overall, but there will be a new intensity to their online spending.

Shoppers express strong overall concerns about holiday shopping, as they remain cautious on the economy with 72 percent believing a same or worse environment when compared to the year before. And these shoppers are reluctant to increase spending, as 84 percent plan to spend the same or less than in 2013. 

2.America's economic conditions have reached holiday shoppers who will bifurcate into two distinct categories during this season: survivalists and selectionists.

The 2014 holiday shopper is segmenting into two distinct groups: survivalists and selectionists. Survivalists - those generally making under $50,000 per year - represent 67 percent of American shoppers (up from 65 percent in 2013 and 63 percent in 2012). 

3.Most purchases will have to pass the test of affordability as shoppers carefully prioritize their spend and look for the best value.

Spending drivers are clearer than ever this holiday season. Eighty-four percent of shoppers cite best prices as the main reason for choosing a place to purchase gifts (up from 74 percent in 2013).

4.Expect more channel fragmentation as shoppers budget for not only dollars, but their time. Giving consumers the right omnichannel experience is essential. That means allowing shoppers to move easily across channels, giving them many options to choose and buy, while providing retailers visibility into inventory and pricing.

Omnichannel has come of age this holiday season and 2014 could be the turning point when consumers make online pre-planning an integral part of their holiday shopping tradition. Forty-one percent of shoppers plan to increase online spend in 2014 over 2013. .

5.It will be important to understand the cash/credit position of shoppers during the entire season. Spending will be concentrated during four periods: pre-Thanksgiving, Black Friday, Mid-Holiday and Post-Holiday.

6.The 3 S's of shopping - searching, showrooming, and selection - have become permanent. A new Thanksgiving ritual of shoppers going online to prepare their "holiday shopping plan" has emerged and may be the most significant shopping pattern change this season.

7.Shoppers are clear about what they will spend their holiday dollars on, making it critical for retailers to differentiate within those categories.

These five categories are at the core of the holiday 2014 wish list for both survivalists and selectionists: everyday clothing (61 percent), gift cards (58 percent), traditional toys (39 percent), personal electronics (36 percent) and media and entertainment (31 percent).

8.Shoppers recognize that experiences are beginning to count just as much, or more, than gifts. Holiday family get-togethers and family occasions will continue to grow in importance.

9.Shoppers plan to shop at multiple stores as well as websites. Mass merchants, department stores and major online retailers are at the top of their planned destinations.

The 2014 holiday shopper will "travel" to stretch every dollar. For survivalists, 53 percent plan to visit two to three stores/sites and 23 percent plan to visit three to four stores/sites. For selectionists, 47 percent plan to visit two to three stores, and 28 percent plan to visit three to four stores.

10.Retailers have significantly upped their game in planning for and investing in improved in-store and omnichannel experiences. In addition, extensive weather planning is part of ensuring holiday success.