Christian Retailing

NEWSLETTERS Current Issue NRF expects modest increase in 2013 retail sales
NRF expects modest increase in 2013 retail sales PDF Print E-mail
Written by Eric Tiansay   
Friday, 01 February 2013 01:50 PM EST

NRF.WebRetail sales will increase 3.4% this year, slightly less than the preliminary 4.2% growth seen in 2012, according to the National Retail Federation (NRF).

The subdued sales forecast, which excludes automobiles, gas stations and restaurants, comes on the heels of a holiday season that went head-to-head with political wrangling over fiscal cliff concerns, shifting consumer spending plans downward. Holiday sales in 2012 grew 3%, NRF said.

Shop.org, NRF's digital division, expects online sales in 2013 to grow between 9% and 12%. Online sales in 2012 during November and December grew 11.1%.

"What we witnessed during the holiday season is an indication of what we are likely to see in 2013," said NRF President and CEO Matthew Shay. "Consumers read troubling economic headlines every day and look at their bottom lines at the end of the month, and they don't like what they see.

"The administration and Congress need to pursue and enact policies that lead to growth and economic expansion, or it could be another challenging year for retailers and consumers alike," he added. "Retailers will compensate for the drag on household spending this year by managing inventories and focusing on providing value for their shoppers through unique promotions in stores and online and exclusive product lines."

A number of factors contributed to NRF's 2013 economic forecast, including unemployment, income growth, housing, inflation and consumer confidence. As of December 2012, the national unemployment rate has held steady for two months at 7.9%, and consumers are constrained by modest growth in income, and recent legislation passed in January increased payroll taxes for millions of workers.

NRF anticipates the Consumer Price Index—an inflation indicator—to increase 1.9% in 2013, below the 2.1% increase in 2012.

"While it's too early to know the full effect of higher payroll taxes, there's no question that many consumers will feel some kind of impact from the change in their paychecks," said NRF Chief Economist Jack Kleinhenz. "That said, consumers have in the past shown a resiliency in the face of uncertainty, and we expect those impacted to adjust to smaller budgets by trading down or simply cutting back on certain items. Overall we foresee some improvements in the second half of the year, should the outlook for job creation and income growth improve."

 
Read the Vacation Bible School 2014 guide

In this current issue:

Lecrae, Bart Millard to Host 45th Annual GMA Dove Awards

News image

Christian hip-hop artist Lecrae and MercyMe frontman Bart Millard have...

READ MORE

Mark Driscoll Temporarily Steps Down From Pulpit

News image

Suspends Speaking, Publication After Charges FiledControversial Mars Hill Church Pastor...

READ MORE

Alpha Omega Names New President

News image

Christian curriculum publisher Alpha Omega Publications has named Denise Laudenbach...

READ MORE

Millions Expected to Head ‘Back to Church’ on Sept. 21

News image

More than 30,000 U.S. churches expect to welcome more 3...

READ MORE

Coach Bobby Bowden Pens New Book on Faith, Plans Book Signings in FL

News image

Former Florida State University head football coach Bobby Bowden will...

READ MORE

Denver Gift Show More Than Doubles Buyer Attendance Over Last Year

News image

Rocky Mountain Gift Show Introduces ‘Smoking Accessories & Gifts’ at...

READ MORE

Back-to-School Shoppers Use Coupons, Delay Purchases to Get the Best Deals

News image

Even as the first school bells ring around the nation,...

READ MORE

ALS ‘Ice Bucket’ Challenge an Unprecedented Viral Hit, Christian Celebs Get Wet for the Cause

News image

Social Media Campaign Sensation Raises $41.8 million in 3 WeeksCasting...

READ MORE

Michael W. Smith Partners with Top Country Music Artists on New Christmas Record

News image

Michael W. Smith invited A-list artists Vince Gill, Lady Antebellum,...

READ MORE

Steven Curtis Chapman ‘Humbled & Honored’ by Song’s Role in the Writebol Family Ebola Journey

News image

Award-winning Christian singer Steven Curtis Chapman took to Twitter today...

READ MORE

Long’s Christian announces closing of Greater Orlando store

News image

Store owner Rodger Long recently announced the forthcoming closing of...

READ MORE

Study: Bulk of retail purchases happen in-store

News image

Most U.S. retail sales—a whopping 92%—still happen offline, according to...

READ MORE
100%
-
+
0
Show options

a