US' 2023 holiday sales to see slower growth at 3.5 to 4.6%: Deloitte

E-commerce sales will grow between 10.3 per cent to 12.8 per cent, year-over-year, during the 2023-2024 holiday season. This will likely result in e-commerce holiday sales reaching between $278 billion and $284 billion this season, Deloitte said.

“We expect healthy employment and income growth to keep the volume of sales growing for the 2023 holiday season,” said Daniel Bachman, Deloitte’s US economic forecaster. “Inflation, which accounted for much of the increase in the value of retail sales last year, should moderate. This means the total value of retail sales will grow more slowly than last year. Our forecast also reflects a decreasing pool of pandemic-era savings, both of which will weigh on retail sales and are reflected in our lower projected growth for the season.”

“Retail sales are expected to increase even as higher prices continue to create a battle for consumer spending. A sharp rise in spending on services post-pandemic shows signs of levelling off since last year, and compared to pre-pandemic levels, spending on durable goods remains high,” said Nick Handrinos, vice chair, Deloitte LLP, and US retail, wholesale and distribution and consumer products leader. “This season e-commerce sales should continue to be strong as consumers search for the best deals online to maximize their wallets. Retailers who remain flexible to shifting consumer demand and behaviours will likely be poised for growth this holiday season.”

ALCHEMPro News Desk (KD)