Mastercard SpendingPulse, which measures in-store and online retail sales across all forms of payment, determined that consumer retail spending in the United States, excluding automotive, advanced 9.5% year-over-year in June while retail sales excluding auto and gas rose 6.1% versus the 2021 month.
With auto and gas excluded, in-store spending gained 11.7% year over year in June. E-commerce sales grew at a slower pace in June, up 1.1% year over year, but growth stands at 97.6% versus June 2019 levels. Nominal spending growth slipped slightly versus May, Mastercard noted, though it remained consistent with gains seen earlier in 2022.
As inflation persists, consumers are paying more for essentials, contributing to an increase in June sales in the Mastercard Fuel & Convenience category, up 42.1%, and Grocery, up 14%, year over year. Discretionary spending remained strong in fashion-forward sectors, the company indicated, as, for example, Jewelry saw 16.2% growth from June 2021 and Department Stores saw 8.6% growth year over year. Travel also saw gains, with the airline and lodging sectors up 18.2% and 33.7%, respectively, from the year-prior June. At the same time, restaurant sales advanced 11.6% in June year over year. Electronics & Appliances had a 4.6% sales gain year over year, and Furniture & Furnishings had a 4.2% sales gain versus June 2021, according to Mastercard.
“Sector by sector, we’re seeing a varied picture of how inflation is impacting essential versus discretionary consumer spending,” said Steve Sadove, senior advisor for Mastercard and former Saks CEO and chairman, in announcing the numbers. “One notable highlight is that travel sectors such as airlines and lodging continue to show signs of strong demand.”
