National Retail Federation (NRF) outlines key data points to help US retailers and small businesses meet consumers’ high demand this holiday season.
Despite inflation, supply chain issues, and the new COVID-19 variant – omicron – the holiday season could exceed anticipated spending estimates and result in a record year. While the US economic growth slowed to 2.1% in Q3 of 2021, the real gross domestic product grew 4.5%, compared to Q3 of 2020, according to the Bureau of Economic Analysis.
Increased personal consumption and inventories among retailers resulted in the third quarter's growth, according to NRF. Business investments also grew, especially in intellectual property and state and local government purchases.
The holiday retail sales are expected to reach as much as 11.5% this year. NRF, Chief Economist Jack Kleinhenz, notes, “Consumers and retailers have both revised their playbooks and broken with previous traditions”.
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