Holiday retail sales in the U.S., excluding automotive purchases, rose by 3.8% from November 1 to December 24 compared to the same period in 2023, according to the latest Mastercard SpendingPulse report. The data shows a resilient consumer base fuelled by steady economic conditions and a focus on value-driven shopping.
“This holiday season, we saw consumers motivated by deals and retailers respond with promotions to meet the demand,” Steve Sadove, senior advisor for Mastercard and former CEO and chairman of Saks Inc., said in the release. “The value-minded consumer showed up to shop at brick-and-mortar stores and e-commerce platforms, with retailers managing across both to capture attention throughout the season.”
The 2024 holiday retail season highlighted several defining trends highlighting shifting consumer behaviours and preferences. Shoppers were value-driven, seeking deals and discounts, particularly during Black Friday and other promotional events. These deal-centric strategies shaped purchasing patterns in the weeks leading up to Christmas, demonstrating a strong focus on maximizing value.
Another trend was a growing preference for experiences over material goods. Spending on dining out surged by 6.3% compared to the previous year, reflecting consumers’ inclination toward creating memorable experiences during the festive season. However, this focus on experiences did not overshadow growth in key goods sectors. Apparel sales increased by 3.6%, jewellery by 4.0%, and electronics by 3.7%, marking these as standout categories for holiday gifting.
E-commerce continued to gain momentum, outpacing in-store growth with a 6.7% year-over-year rise in online retail sales. Shoppers increasingly embraced digital-first options such as curbside pick-up and delivery, making these services integral to the holiday shopping experience. Among online purchases, apparel led the way, achieving a 6.7% increase in e-commerce sales.
Meanwhile, brick-and-mortar stores also saw a notable 2.9% growth in sales, indicating that physical retail remains a vital part of the holiday shopping landscape.