Mastercard: Holiday Retail Sales Grow

U.S. holiday retail sales were up 7.6%, according to Mastercard SpendingPulse, which tracked in-store and online sales across all forms of payment from Nov. 1 through Christmas Eve.

In-store sales were up 6.7% while online sales grew 10.6%. 

“This holiday retail season looked different than years past,” said Steve Sadove, senior advisor for Mastercard and former CEO and chairman of Saks Incorporated. “Retailers discounted heavily but consumers diversified their holiday spending to accommodate rising prices and an appetite for experiences and festive gatherings post-pandemic.”

According to Mastercard, e-commerce sales made up 21.6% of total retail sales, up from 20.9% in 2021 and 20.6% in 2020. Black Friday remains a big day for shoppers and retailers, with sales up 12% year-over-year. Additionally, Saturdays throughout December saw a great deal of shopping activity.

Consumers also continued to spend their money on experiences during the holiday season. For example, in-person dining was a popular choice with restaurants seeing a 15.1% increase in revenue over 2021. This included gatherings with co-workers and dinners out with family and friends, Mastercard said.

“Inflation altered the way U.S. consumers approached their holiday shopping – from hunting for the best deals to making trade-offs that stretched gift-giving budgets,” said Michelle Meyer, North America chief economist, Mastercard Economics Institute. “Consumers and retailers navigated the season well, displaying resilience amid increasing economic pressures.”