Bts retail sales increase 5.5% – WWD
For the next school year, Mastercard sees the retail trade getting fairly high marks.
Mastercard Spending Pulse, which measures in-store and online retail sales for all forms of payment, predicts 2021 bts sales at U.S. retailers to grow 5.5% from the 2020 season and 6.7% % compared to the 2019 season.
Mastercard defines the bts season as the period July 15 to September 6 and does not include auto and gas sales in its numbers.
With a large chunk of retail and solid earnings in Q1, it’s a safe bet the bts season will be robust as schools reopen for classroom learning and people continue to be. vaccinated against COVID-19. Mastercard said May marked the eighth consecutive month of total retail sales growth. According to Mastercard SpendingPulse, US retail sales excluding auto and gasoline increased 12.2% year-on-year in May and 10.2% from May 2019. Online sales in May were up 1 , 1% and 94.8% in the same month two years.
On Wednesday, the National Retail Federation dramatically increased its retail sales forecast for all of 2021 to rise between 10.5 and 13.5 percent to more than $ 4.44 trillion, signaling confidence in the economic recovery of the country and life continues to normalize after 18 months of the pandemic. In February, the NRF predicted that US retail sales would rise 6.5% to 8.2%. The NRF stuck to its initial forecast that online sales are expected to grow 18-23% this year, reaching a range of $ 1.09 trillion to $ 1.13 trillion.
“Back to school has always been a prime season for retailers. This year, the wider reopening brings an exciting wave of optimism as children prepare for another school year, and the adults in their lives tackle a similar ‘back to office’ scenario, ”said Steve Sadove, advisor. Mastercard principal and former chef. Managing Director and President of Saks Fifth Avenue. “This back-to-school season will be defined by choice as online sales remain strong, physical shipping picks up momentum and strong promotions are helping retailers compete for shoppers’ portfolios.”
Mastercard predicts bts clothing sales to increase 78.2% from last year, when schools across much of the country were closed due to COVID-19 and students were forced to learn online at home, and 11.3% in the 2019 season, which was months before. the pandemic has struck. Mastercard cited a “clothing update” for bts, saying: “While athleisure was the fashion statement of 2020, this year brings wardrobe diversification as in-person schooling, meetings and other events grow. consumers to make their social debut in style. “
Sales of electronics during the bts season are expected to increase 13% from last year and 9.6% from two years ago.
Department stores, which have typically seen traffic decline this year, are expected to see a 25.3% increase in bts sales from last year and a 9.5% increase in sales from the 2019 season. . “Department stores, outdoor shopping centers and shopping malls offer shoppers a new change of scenery. Online shopping, in-store pickup as well as technologies such as contactless will remain important as consumers continue to seek out low contact experiences, ”Mastercard said in its report.
Ecommerce, which hit record highs last year due to the pandemic and forced stay-at-home lifestyle, is expected by Mastercard to be down 6.6% during the bts season and 53.2% % above 2019 level.