December 26, 2020/Mastercard
According to Mastercard SpendingPulseTM, holiday retail sales excluding automotive and gasoline increased 3.0% this expanded holiday season, running from October 11 through December 24. Notably, online sales grew 49.0% compared to 2019, the preliminary insights show. Mastercard SpendingPulse measures overall retail spending trends across all payment types, including cash and check.
| Traditional Holiday Period November 1 – December 24 | 75 Days of Christmas October 11 – December 24 | |
| Total retail (ex. auto and gas) | 2.4% | 3.0% |
| Total retail (ex. auto) | 0.6% | 1.2% |
| E-commerce sales | 47.2% | 49.0% |
| Source: Mastercard SpendingPulse measures overall retail sales across all payment types, including cash and check. | ||
“American consumers turned the holiday season on its head, redefining ‘home for the holidays’ in a uniquely 2020 way. They shopped from home for the home, leading to record e-commerce growth,” said Steve Sadove, senior advisor for Mastercard and former CEO and Chairman of Saks Incorporated. “And, consumers shopped earlier than ever before. Across our expanded 75-day holiday shopping season, sales were up 3.0%, a testament to the holiday season and strength of retailers and consumers alike.”
Key findings from Mastercard SpendingPulse underscore the shift to online spending, with e-commerce accounting for 19.7% of overall retail sales – up from approximately 13.4% in 2019. In addition, consumers continue to spend more time – and money – on their homes.
- Home furniture and furnishings experienced the strongest growth of any sector compared to 2019, up 16.2%, and it grew 31.0% online specifically. In addition, home improvement was up 14.1%, with e-commerce sales up 79.7%.
- Meanwhile, apparel experienced a decline of 19.1% year over year, while electronics and appliances were up 6.0% overall.
- Department stores saw overall sales decline of 10.2% and online sales growth of 3.3%, reinforcing the importance of omnichannel offerings. Buy online, pick up in store as well as technologies like contactless were key for retailers this season.
| Mastercard SpendingPulse™: Sector Snapshot Expanded Holiday Season: October 11 – December 24 | ||
| Total YOY Retail Sales Growth | YOY E-Commerce Sales Growth | |
| Apparel | -19.1% | 15.7% |
| Department Stores | -10.2% | 3.3% |
| Electronics & Appliances | 6.0% | __ |
| Furniture & Furnishings | 16.2% | 31.0% |
| Grocery | 6.8% | __ |
| Home Improvement | 14.1% | 79.7% |
| Jewelry | -4.3% | 44.6% |
| Luxury (ex. Jewelry) | -21.1% | __ |
| Source: Mastercard SpendingPulse measures overall retail sales across all payment types, including cash and check. | ||
This season, U.S. consumers shopped far earlier than in years past, as retailers offered special promotions early and often. In addition, though Black Friday was down (-16.1%*), Thanksgiving weekend through Cyber Monday remained a key time for shoppers, with Black Friday being the top spending day of the 2020 holiday season.
*Total Retail Sales excluding automotive and gasoline sales
