Holiday Shopping Season Sees Unprecedented Surge in Sales
The 2022 holiday shopping season proved to be a resounding success, with retail sales skyrocketing 3.8% between November 1 and December 24. This significant increase surpasses the 3.1% growth seen in the previous year, and even exceeds Mastercard’s forecast of a 3.2% rise.
Retailers Pull Out All the Stops
To stay ahead in a highly competitive market, major retailers such as Walmart, Target, and others launched aggressive promotional campaigns, emphasizing value messaging to attract customers. This strategic move paid off, with the last five days of the season accounting for a staggering 10% of all holiday spending.
E-commerce Sales Soar
Online sales experienced an even more remarkable surge, growing at a rate of 6.7% compared to 6.3% in the previous year. Apparel categories, in particular, saw strong demand, with low-cost e-commerce rivals like Shein and Temu offering irresistible Black Friday and Cyber Monday deals to lure shoppers.
Value-Driven Consumers
According to Michelle Meyer, chief economist at Mastercard Economics Institute, “The holiday shopping season revealed a consumer who is willing and able to spend, but driven by a search for value.” This sentiment is reflected in the concentrated e-commerce spending during the biggest promotional periods.
Mastercard SpendingPulse: A Comprehensive Measure
Mastercard SpendingPulse provides a comprehensive measure of in-store and online retail sales across all forms of payment, excluding automotive sales. This data offers valuable insights into consumer spending habits and retail trends.
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