Deloitte: Holiday Retail Sales Expected to Increase 7-9%

NEW YORK, Sept. 14, 2021 /PRNewswire/ -- Holiday retail sales are likely to increase between 7% and 9% in 2021, according to Deloitte's annual holiday retail forecast.

Overall, Deloitte's retail and distribution practice projects that holiday sales will total $1.28 to $1.3 trillion during the November to January timeframe.

Deloitte also forecasts that e-commerce sales will grow by 11-15%, year-over-year, during the 2021-2022 holiday season. This will likely result in e-commerce holiday sales reaching between $210 billion and $218 billion this season.

"We anticipate strong consumer spending for the upcoming holiday season. As vaccination rates rise and consumers are more comfortable being outside of the home, we are likely to see increased spending on services, including restaurants and travel, while spending on goods will continue to hold steady. A steady decline in the savings rate to pre-pandemic levels will support consumer spending and keep retail sales elevated this season," said Daniel Bachman, Deloitte's U.S. economic forecaster. "Further, e-commerce sales will continue to grow as consumers demonstrate an ongoing and steady movement toward buying online across all categories."

Bachman noted that the 2021 holiday season increase reflects continued growth. Last year's holiday sales came in higher than expected, growing by 5.8%. The 2021 forecast projects a strong growth rate amid already elevated retail sales and growth in disposable personal income that is likely to remain flat heading into the season. However, the Delta variant and ongoing uncertainty spurred by the pandemic may drive more spending on goods.

"Across channels, retailers should expect a strong holiday season as consumer spending levels are projected to remain high," said Rod Sides, vice chairman, Deloitte LLP and U.S. retail and distribution sector leader. "While consumer concerns about health and safety have eased since the last holiday season, pandemic-influenced shopping behaviors continue to gain traction. Retailers who remain resilient to shifting consumer behaviors and offer convenient options for online and in-store shopping, as well as order fulfillment, will be poised for growth this holiday season, and into the new year."

Note to editors:
Deloitte is forecasting a 7% to 9% increase in 2021 holiday sales compared with the same period in 2020. Retail sales between November 2020 and January 2021 (seasonally adjusted and excluding automotive and gasoline) grew 5.8% and totaled $1.19 trillion according to the U.S. Census Bureau.

Deloitte is forecasting an 11% to 15% increase in 2021 holiday e-commerce sales compared with the same period in 2020. E-Commerce sales between November 2020 and January 2021 (seasonally adjusted and excluding gasoline stations, motor vehicles and parts dealers, and food services) grew 34.8% totaling $189 billion.

Connect with us on Twitter at @DeloitteCB or on LinkedIn @DanielBachman and @RodSides.

About Deloitte
Deloitte provides industry-leading audit, consulting, tax and advisory services to many of the world's most admired brands, including nearly 90% of the Fortune 500® and more than 7,000 private companies. Our people come together for the greater good and work across the industry sectors that drive and shape today's marketplace — delivering measurable and lasting results that help reinforce public trust in our capital markets, inspire clients to see challenges as opportunities to transform and thrive, and help lead the way toward a stronger economy and a healthier society. Deloitte is proud to be part of the largest global professional services network serving our clients in the markets that are most important to them. Building on more than 175 years of service, our network of member firms spans more than 150 countries and territories. Learn how Deloitte's more than 330,000 people worldwide connect for impact at www.deloitte.com.

Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited, a UK private company limited by guarantee ("DTTL"), its network of member firms, and their related entities. DTTL and each of its member firms are legally separate and independent entities. DTTL (also referred to as "Deloitte Global") does not provide services to clients. In the United States, Deloitte refers to one or more of the US member firms of DTTL, their related entities that operate using the "Deloitte" name in the United States and their respective affiliates. Certain services may not be available to attest clients under the rules and regulations of public accounting. Please see www.deloitte.com/about to learn more about our global network of member firms.

SOURCE Deloitte

Related Links

www.deloitte.com