NEW YORK—A new report reveals that all signs point to a bullish holiday season for retailers, online and off.
U.S. retail sales (excluding automotive and gas) are anticipated to grow 7.4% this holiday season (Nov. 1- Dec. 24), according to Mastercard’s SpendingPulse study, which measures overall retail sales across all payment types. In-store sales are expected to see a rebound—rising 6.6% compared to 2020.
Even as consumers return to in-store browsing and shopping, they are expected to spend online at even higher rates (up 7.6%) than last year. With holiday shopping poised to get an early start, online sales for the extended (Oct. 11 – Dec. 24) holiday season are expected to grow 7.5% year-over-year and 59.3% year-over-two-years, a record high for the channel, Chain Store Age stated in its analysis.
“This holiday season will be defined by early shopping, bigger price tags and digital experiences,” said Steve Sadove, senior advisor for Mastercard and former CEO and chairman of Saks Incorporated. “Over the past two years, retailers have learned a lot about what shoppers want and need, bringing us into an exciting new age of retail resilience.”
Mastercard noted that the holiday season will be a fitting end to a year marked by strong retail performance. In August, for instance, U.S. retail sales (excluding automotive and gasoline) increased 8.1% year-over-year, and 7.7% compared to August 2019.