Rising inflation is hitting households hard. But some people in Japan are still planning to splurge on a little year-end luxury.

Shoppers crowded the kids' section of a major home appliance store in Tokyo for some last-minute gift-buying. Leading toymaker Bandai found in a survey that parents plan to spend an average of 8,138 yen, or about 52 dollars, on presents for their children this Christmas. That's up more than 5 percent from last year.

"I've been saving money so I can buy a Christmas gift," said a woman shopping with her 5-year-old son. "I have to do my best for my child at this time of year."

Another shopper said he's ready to spend a little extra on a gift for his nephew.

"I want to welcome the new year as positively as possible," he said. "Today is a special day and I want to spend accordingly."

Shops at the popular Ameyoko street market in Tokyo's Ueno District are counting on greater demand ahead of the New Year holiday.

The president of a seafood shop said costs are rising, but he managed to keep retail prices at their usual levels by buying in bulk.

"Many shoppers come to our shop," said Ohashi Mashu. "I don't think they mind spending on good quality."

A woman who came looking for crabs and salmon roe said she wants to make sure her family eats well over the holiday.

"We know our kids will come home at the end of the year, so we make room for it in our budget," she said. "I look forward to eating delicious food with them."

One expert says holiday shoppers are allowing themselves to spend a little extra after a year of enduring higher prices.