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Retailers gearing up for holiday rush – Pittsburgh, Pennsylvania

Pittsburgh, Pennsylvania 2021-09-17 10:51:00 –

Tired retailers continue to combat pandemic uncertainty as delta variants cause a new surge in coronavirus infections. But at least for now, expectations for the Merry Holiday season haven’t changed. Situation: Data released Thursday is expected to confirm US retail sales declined in August for the second straight month. Deloitte forecasts a huge sales boom in the coming months, the most important time of the year for retailers. “A steady drop in savings to pre-pandemic levels will support consumer spending and retail sales will continue to rise this season,” said Daniel Buckman, Deloitte’s U.S. economic forecaster. “. “In addition, e-commerce sales continue to grow as consumers continue to move towards online purchases in all categories.” Consulting firms said online sales were 11% year-over-year. Jumping from to 15%, Mastercard expects US retail sales to increase 7.4% as part of that. Online shopping is likely to recover by 7.6%, while in-store shopping is expected to increase by 6.6% compared to 2020. Bain & Company wants 7% sales growth in November and December. The retail industry. ” “But there are also important tailwinds for nominal retail growth, such as inflation, job recovery, healthy savings and wage growth, for this holiday season.” But wait. The supply chain remains heavily intertwined and shipping costs are skyrocketing. Isaac Larian, CEO of MGA Entertainment, told CNN Business at the end of last month. “No product meets demand.” Mastercard believes retailers will seek to avoid supply chain concerns and lasting difficulties in hiring workers by offering early holiday promotions in stores and online. I am. “This holiday season depends on early shopping,” MasterCard Senior Advisor Steve Sadove said in a statement. Investor Insights: Spending spikes are good news for retail stocks that surged earlier this year. However, it has been caught up in the retention pattern in recent months. SPDR S & P Retail ETFs have increased by 45% so far, but have decreased by 4.4% in the third quarter. US retail sales in August are a definitive indication of how spending is maintained within the Delta variant prior to the holiday season. season. According to a consensus estimate from Briefing.com, retail sales fell 0.7% after a 1.1% decline in July. According to data released by China earlier this week, retail sales in August were only up 2.5% year-on-year. This was much weaker than expected, a dramatic slowdown from the 8.5% rise recorded in July.

Tired retailers continue to combat pandemic uncertainty as delta variants cause a new surge in coronavirus infections. But for now, at least, expectations for a hilarious holiday season haven’t changed.

What’s happening: Data released Thursday is expected to confirm US retail sales declined for the second straight month in August.

However, new forecasts from Deloitte, Bain & Company, and Mastercard predict that sales will skyrocket in the coming months, the most important time of the year for retailers.

Deloitte predicts that sales for the 2021 holiday season will increase by 7% to 9% as vaccinations will make some of the cash saved by shoppers more comfortable to use.

“A steady drop in savings to pre-pandemic levels will support consumer spending and retail sales will continue to rise this season,” said Daniel Bachiman, Deloitte’s U.S. economic forecaster. Said. “In addition, e-commerce sales continue to grow as consumers continue to move towards online purchases in all categories.”

Consulting firms expect online sales to jump from 11% to 15% year-over-year, reaching up to $ 218 billion.

As part of that, Mastercard expects US retail sales to grow 7.4%. Online shopping could increase by 7.6%, while in-store shopping is expected to increase by 6.6% compared to 2020. Bain & Company wants 7% sales growth in November and December.

“The pandemic has affected almost every part of the retail industry,” said Aaron Cheris, head of American retail at Bain & Company. “But there are also significant tailwinds for nominal retail growth for this holiday season, including inflation, job recovery, healthy savings and wage growth.”

But wait. The supply chain remains terribly intertwined and shipping costs rise. Some companies are concerned that empty shelves and a shortage of high-demand products can be daunting.

“Demand will be there,” MGA Entertainment CEO Isaac Larian told CNN Business at the end of last month. “There is no product to meet the demand.”

Mastercard believes retailers are trying to avoid Supply chain concerns,and Employment of workersOffer early holiday promotions in stores and online, especially for electronics and clothing.

“This holiday season will depend on early shopping,” MasterCard Senior Advisor Steve Sadove said in a statement.

Investor Insights: Spending surges, which surged earlier this year, are good news for retail stocks that have been trapped in patterns that have been holding up in recent months. SPDR S & P Retail ETFs have increased by 45% year-to-date, but have decreased by 4.4% in the third quarter.

US retail sales in August provide an important view of how spending within the Delta variant is holding up ahead of the holiday season. Briefing.com’s consensus estimates predict that retail sales will subsequently decline by 0.7%. 1.1% decrease in July..

According to data released by China earlier this week, retail sales in August struggled, rising only 2.5% year-on-year. This was much weaker than expected, a dramatic slowdown from the 8.5% rise recorded in July.

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