According to the NPD Group, total November 2022 total retail general merchandise sales were eight percent lower than for the corresponding month in 2021 ending November 26th 2022. This period incorporated Thanksgiving, Black Friday and Small Business Saturday. Revenue was down five percent and unit sales were eight percent lower than the corresponding week in 2021.  Discretionary general merchandise sales were nine percent lower than the pre-pandemic week in 2019. The reduction in sales was broad in scope with technology, toys and apparel all lower than during the corresponding period in 2021.

Marshal Cohen, Chief Retail Industry Advisor for NPD stated, “ Black Friday appears to have brought more shoppers out to the stores, but that traffic clearly didn’t amount to more spending.”  He added, “Retailers and manufacturers need to find new ways to engage the consumer in making purchases.”

It is evident that discretionary spending will continue at a low level given inflation in food, utilities, fuel and other essentials.  Although there is a seasonal upsurge in pre-Christmas spending, consumers are aware of expenditures during the upcoming winter including local tax bills, vehicle registration and insurance coming due in the new-year.  Increases in credit card interest rates have also dampened discretionary spending.