US holiday retail sales stronger than last year, Mastercard says [View all]
Source: Reuters
December 26, 2024 2:47 PM EST Updated an hour ago
Dec 26 (Reuters) - Price-conscious holiday shoppers opened their wallets for last-minute online discounts on clothing and stocking stuffers, potentially benefiting retailers that also offered such convenient options as free delivery and curbside pickup.
The popularity of online shopping has surged due to its convenience, similar or lower prices than in-store, the availability of services like "buy online, pick up in-store (BOPIS)" and fast, free deliveries, said Michael Schulman, a retail expert at Running Point Capital Advisors.
"The shortened holidays season this year compared to last year, with a tighter scrunch between Thanksgiving and Christmas, also left less time for in-store retail shopping and probably incentivized more phone and computer browsing and purchases," he said.
While there were deals aplenty, retailers appeared to have been disciplined with promotions. Target (TGT.N) and Dollar Tree's shares were up nearly 3% in noon trading, while Walmart (WMT.N) was flat.
According to a Mastercard SpendingPulse report, online spending during the holiday shopping period from Nov. 1 to Dec. 24 grew by 6.7% over last year, compared to a 2.9% increase for in-store sales. This contributed to a total spending increase of 3.8% over 2023, surpassing the previously forecast rise of 3.2% and topping the 3.1% increase during the same period last year.
Read more: https://www.reuters.com/markets/us/us-holiday-retail-sales-come-above-forecast-mastercard-says-2024-12-26/