August retail sales up 6.5% Print
Sunday, 17 September 2006 08:00 PM America/New_York

Retail-industry sales for August-which exclude automobiles, gas stations and restaurants-rose 6.5% over last year and increased 0.3% seasonally adjusted over July, the National Retail Federation (NRF) found. The organization reported summer vacations, back-to-school shopping and end-of-season clearance promotions motivated consumers to hit the stores in August.

Sales statistics released by the U.S. Commerce Department showed total retail sales in August (which include non-general merchandise categories such as autos, gas stations and restaurants) increased 6.7% unadjusted year-over-year and increased 0.2% seasonally adjusted from July.

“With a successful back-to-school selling season behind them, retailers can now look to the fourth quarter with a little more optimism,” said NRF Chief Economist Rosalind Wells. “Declining gas prices could provide a nice psychological boost for consumers just in time for the holidays.”

Clothing and clothing accessories stores rose 7.3% unadjusted from last August, while showing a slight decrease of 0.3% from the prior month. Furniture and home-furnishing stores also rose 6.4% unadjusted from last year, while decreasing 0.3% over the prior month. Health and personal care stores increased 0.6% from July and 7.3% unadjusted year-over-year, and sporting goods, hobby, book and music stores rose 0.8% month-to-month and 6.5% unadjusted from August 2005.

The consumer electronics category also was a major performer during the back-to-school season. Sales in electronics and appliance stores increased 0.1% from the prior month and 4.9% unadjusted from last August. The NRF estimated that combined back-to-school and back-to-college sales were $54.2 billion this year.