US retailers forecast 4.2% rise in holiday spending

Summarised from 2 outlets · Updated 15 Oct, 19:02 · Archive

The National Retail Federation expects American consumers to spend $1.01 trillion this November and December, up 4.2% on last year.

The National Retail Federation said Thursday that it expects American consumers to spend $1.01 trillion this November and December, representing a 4.2% increase on the same months last year. Retailers rang up $972 billion in holiday sales last year, which was 3.1% more than the year before.

Economists say the anticipated rise reflects more than seasonal spending patterns. The federation and other forecasters expect higher consumer prices to account for roughly half of the growth. Higher-income shoppers are also expected to fuel much of the spending, according to retail experts.

The 4.2% projection exceeds the average gains from the last 20 years, which stood at 3.1% when excluding pandemic-era spending in 2020 and 2021, according to Mark Mathews, the trade group's chief economist. Matthew Shay, president and chief executive of the National Retail Federation, acknowledged that households continue to navigate inflation and uneven economic confidence but said consumers have repeatedly prioritised spending on holidays and loved ones.

How it is being reported

• US retail trade group forecasts healthy holiday sales, in part due to inflationDon’t underestimate U.S. shoppers when it comes to shelling out money for the winter holidays.News4Jax · 15 Oct, 18:28
• US retail trade group forecasts healthy holiday sales, in part due to inflationDon’t underestimate U.S. shoppers when it comes to shelling out money for the winter holidays.Clickorlando · 15 Oct, 18:28

In this story: National Retail Federation · Matthew Shay · Mark Mathews · United States

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