US retail sales to grow 10% during Thanksgiving week: Mastercard

With supply chain challenges straining product availability, elevated inflation and consumers creating unprecedented demand for goods, this holiday season is shaping up to be a seller’s market for retailers. Anticipated spending in key gift-giving categories such as apparel may lead retailers to discount strategically to manage product inventory and shipping constraints, Mastercard SpendingPulse said in a press release.

Last year, Black Friday sales were suppressed due to limited in-store foot traffic. With the return of doorbusters driving consumers back in stores and holiday window shopping in full display, the day is expected to rebound with optimism. E-commerce sales in Thanksgiving Week are anticipated to grow 50.2 per cent compared to the same time in 2019.

“Holiday lights are shining bright for retailers this year,” said Steve Sadove, senior advisor for Mastercard. “The consumer is strong and spending. With discounts in short supply, product innovation, availability and sustainability will be deciding factors for consumers eager to cross off their holiday shopping lists.”

As anticipated, the holiday shopping season kicked off in October, with early promotions driving consumers online and in stores. According to Mastercard SpendingPulse, October US retail sales excluding auto and gas increased 6.1 per cent YoY and 12.9 per cent YoY compared to October 2019. E-commerce sales in October grew 13.2 per cent YoY and 76.7 per cent Yo2Y, compared to the same periods.

Fibre2Fashion News Desk (RR)