While inflation effected some categories of retail spending for the month, demand was also a contributing factor. Spending increases in July has outpaced monthly year-over-year growth for 2022 so far.
Consumers have been consistently spending throughout 2022 across sectors. The grocery sector saw a 16.8% rise in sales, primarily due to food price increases. However, apparel and jewelry sales both saw a strong demand. With apparel up 16.6% and jewelry up 18.6%.
Vacation season is also in full effect, with lodging and airline sales surpassing year-over-year numbers.
“The latest retail trends place an emphasis on consumer choice and passion driven spending – they’re hunting for deals, shopping across channels and ultimately still spending on experiences and goods that make them feel good. As retailers grapple with excess inventory and supply chain constraints, it’s likely that the promotional activity seen in July will continue to be an important strategy for retailers,” said Steve Sadove, Senior Advisor for Mastercard.
Source: US Retail Sales – Business Wire
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