Summary
The National Retail Federation (NRF) predicts U.S. holiday spending will reach over $1 trillion for the first time this year. Despite economic challenges like inflation and potential government shutdowns, the NRF expects holiday sales to grow by 3.7% to 4.2% from last year.
Key Facts
- Holiday spending in the U.S. is expected to exceed $1 trillion this year.
- NRF forecasts a 3.7% to 4.2% increase in holiday sales compared to last year.
- Consumers plan to spend an average of $890.49 each on gifts, food, and decorations.
- Retailers plan to hire 265,000 to 365,000 seasonal workers, fewer than last year's 442,000.
- Retailers began holiday promotions in October, continuing the trend of early sales.
- Shoppers are being more price-conscious, often choosing cheaper brands.
- Higher-income consumers are driving much of the spending, while lower-income households focus more on essentials.
- Despite the high spending forecast, consumer confidence is at a low point not seen in 50 years.
