Mastercard Inc
The holiday shopping season covers Nov. 1 through Dec. 24 and came during a period of unprecedented supply chain chaos. Despite Omicron concerns, in-store shopping rose by 8.1% compared to this time last year.
"Shoppers were eager to secure their gifts ahead of the retail rush, with conversations surrounding supply chain and labor supply issues sending consumers online and to stores in droves," senior advisor for Mastercard and former CEO and Chairman of Saks Incorporated Steve Sadove said in a statement. "Consumers splurged throughout the season, with apparel and department stores experiencing strong growth as shoppers sought to put their best dressed foot forward."
The report included four main take-aways beyond the increase in sales: first, Americans did more of their shopping earlier than in previous years, driving up retail sales from October onward.
Thanksgiving weekend saw a 14.1% increase in online shopping and a 16.5% increase in in-store shopping, with Black Friday standing as the top shopping day of the holiday season.
Online shopping saw strong results again this year, making up 20.9% of all sales compared to 20.6% in 2020 and just 14.6% in 2019. In fact, since 2019, online sales during the holiday season have grown more than 60%.
Finally, according to the report, apparel and jewelry saw some of the most significant growth over last year, at increases of 47.3% and 32% respectively. Electronics and department store sales also saw growth, with electronic sales rising by 16.2% and department stores getting a 21.2% boost in sales
"I feel really good about how the season played out,'' Sadove said. "When people feel a little bit uncomfortable, you'll see a little bit of a pickup in online and a little bit of a slowdown in store performance.''
It's worth noting that the Mastercard SpendingPulse report doesn't account for automotive sales in its data regarding the increase in retail sales. The report covers all forms of payment for retail sales in select markets. This includes survey information on the use of cash and checks for holiday shopping.
Also, the SpendingPulse initially estimated that holiday sales would increase by 8.8%, meaning turnout was actually lower than expected.