- Holiday spending rose 4.2% year over year in the US, per Visa Consulting & Analytics.
- In-store retail accounted for 73% of total holiday spending; e-commerce represented 27%.
- Electronics and apparel were top performers, with sales up 5.8% and 5.3%, respectively.
- E-commerce spending climbed 7.8%, outpacing in-store growth, amid early holiday promotions.
Physical Stores Maintain Edge
Chain Store Age reports that preliminary data from Visa Consulting & Analytics shows that holiday spending in the US increased 4.2% year over year across all payment methods. The report, which measured a seven-week period beginning Nov. 1, found that 73% of total holiday spending occurred in physical stores. Retailers benefited from in-store traffic as consumers returned to shopping centers and malls during the holiday period.
E-Commerce Gains Continue
Despite the dominance of brick-and-mortar retail, e-commerce continued its steady growth, capturing 27% of overall holiday spend. Online retail sales rose 7.8%, driven by early-season discounts and consumer demand for convenience. Electronics led all retail categories, up 5.8%, followed by apparel and accessories, which gained 5.3% year over year. This follows a broader trend of resilient consumer spending observed in previous months, signaling consistent demand heading into the holiday season.
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Sector-by-Sector Performance
Beyond electronics and clothing, general merchandise sales lifted 3.7% as shoppers took advantage of one-stop offerings. Furniture and home furnishings rose marginally, up 0.8%, while building materials and garden equipment dropped by 1.0%.
Why It Matters
This year’s holiday spending data signals a resilient consumer and highlights the ongoing importance of physical retail, even as e-commerce accelerates. According to Visa, the season marked a turning point, with artificial intelligence influencing how consumers discover and purchase products—suggesting future holiday periods may see further shifts in channel preference and buyer behavior.
