Research >> Economics
ICSC Chain Store Sales declined 0.7% in Dec 8 Wk
|
The ICSC‐Goldman Sachs (ICSC‐GS) chain store sales index for the week ending December 8 declined by 0.7% from the prior week, which extended into a two‐week pull back as consumers slackened their holiday‐gift completion. The holiday‐gift completion rate was behind the prior year’s pace (see Chart 2) with the average completion rate (inclusion of those who have not begun to shop) rising to 51% in the latest week compared with a much higher rate of 55.5% for the same week of the prior year. But with only two weeks left to complete holiday shopping ahead of Christmas Day, consumers will likely step up their pace considerably by this coming weekend. The ICSC‐GS holiday survey found that 11% of consumers reported that they had totally completed their holiday‐gift purchases, while 19% of consumers had not started yet. For the week, the ICSC‐GS consumer tracking survey found that overall customer traffic was higher than during the same week of the prior year with strength at apparel‐specialty and wholesale clubs. However, there was weakness at discounters, department stores, dollar stores and online vendors.
Consumers were afforded good shopping weather over the past week by Mother Nature. According to Weather Trends, Inc. (WTI) the U.S. average nationwide temperature was an incredibly large 11.9°F warmer than last year and 9.9°F above normal. WTI observed that during the past week ending Saturday that: temperatures were the “warmest and least snowiest ... In more than 21 years.”
Consumers also say a further easing in gasoline prices over the week, which added it their discretionary purchasing power. According to the U.S. Energy Information Administration, the U.S. average price of a gallon of regular‐grade gasoline at the pump was $3.349 on December 10, 2012‐‐which was its lowest since the first week of January ($3.299 on January 2, 2012).
Posted: December 11, 2012 Tuesday 07:45 AM