The International Council of Shopping Centers has released research indicating retail sales grew 17% year-over-year in November and December of 2021.
ICSC’s 2021 Post-Holiday Survey has found that consumers spent an average of $1,011 this holiday season with 226 million people spending money on gifts.
Although the pace of sales slowed in December, ICSC maintained that the overall holiday results were positive. It attributed the decline in sales in December to the longer holiday shopping season this year, although supply chain issues and inflation have been cited for the slow down as well. ICSC’s survey found that consumers spent $736 overall on goods and $275 on services during the holiday period, substantial increases from 2020 spending of $625 and $170 respectively. Shoppers spent $579 on holiday-related items in 2021, up from $457 in 2020. Just more than half of shoppers reported spending more than last year, while 23% spent the same and 23% spent less.
On average, those who increased their spending reported dishing out about 21% more than they did in the 2020 holiday season, which ICSC characterizes as a strong sign of resurgence for the retail industry. Shoppers cited a higher cost of holiday items, at 28%, an increase in the number of people for whom they bought gifts, at 26%, and wanting to go above and beyond for a more celebratory atmosphere, at 25%, as the top reasons for spending more than in 2020.
Despite pandemic-related supply chain issues, retail sales have continued year-over-year growth, ICSC noted, adding that 64% of shoppers felt that retailers did a good job of stocking shelves and having merchandise available for the holidays. Versus previous years, 45% of consumers started holiday shopping earlier than in the 2021 season.
“This holiday season was a record-breaking success by any metric, and the strong retail sales are a sign of momentum for 2022,” said Tom McGee, ICSC president and CEO in announcing the research results. “Despite sales slowing in December, numerous data points continue to suggest the economy is strong and resilient in the face of disruption, and America’s marketplaces are playing an essential part driving our entire economy forward.”
