November retail sales only rose 0.2% from October, falling sizably short of the 0.5% estimations. With unemployment at a half-century low, what is holding consumers back? Have US shoppers lost their holiday cheer or is something else to blame?
Thanksgiving came on the 28th this year, the latest it could be in November. This left only 2 days for holiday shopping last month with the holiday shopping season ostensibly starting the day after thanksgiving.
The â€śretail apocalypseâ€ť also played its role in Novemberâ€™s softer than expected retail figures. Black Fridayâ€™s Doorbusters are losing their allure to Cyber Monday. Roughly 40% of holiday shoppers said they would be doing their holiday shopping online.
Waiting for Cyber Monday reduces the stress of Black Friday shopping. It is the preferred method for most Millennials and Gen Zâ€™s unless you are a deal junkie that loves the Black Friday rush. Cyber Monday occurring in December didnâ€™t help last monthâ€™s figures.
Consumer spending may also be a culprit. Consumers may be holding back on hefty holiday spending as they see a foggy economic future ahead.
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