NRF: Warm weather, gift cards fortify January retail sales
HTT Staff -- Home Textiles Today, 2/14/2012 11:28:47 AM
Washington D.C. - The National Retail Federation said retail sales in January saw "solid growth across the board," driven by gift card redemptions and warm weather.
Excluding automobiles, gas stations and restaurants, retail sales in January rose 0.9% seasonally adjusted from December and 4.0% unadjusted year-over-year.
"Thanks to a combination of unseasonably warm weather across much of the country and millions of shoppers with gift cards burning holes in their pockets, retailers are still riding the tailwinds of consumers' spending power," said Matthew Shay, NRF president and ceo. "As a traditionally slower sales month for the industry, it's encouraging to see such sustained growth in consumer spending and sentiment."
January retail sales data, released today by the U.S. Department of Commerce, showed total retail sales - which include non-general merchandise categories such as autos, gasoline stations and restaurants - increased 5.6% unadjusted year-over-year and 0.4% seasonally adjusted month-to-month.
"A slightly improving labor market with gains in payrolls has lifted consumer confidence in January and corresponds with increasing retail sales," said NRF chief economist Jack Kleinhenz. "However consumer spending alone will not be enough to sustain economic growth or provide a strong foundation for consistent retail sales and growth. We must see improvements in key economic indicators, such as housing and employment."
In January, sales in sporting goods, hobby, book and music stores increased 1.1% seasonally month-to-month and 3.5% unadjusted year-over-year.
General merchandise stores' sales increased 2.0% seasonally adjusted over December and 4.7% unadjusted year-over-year.
Many consumers in January seemed to take advantage of the warm temperatures to work on their home and gardens. Sales at building material, garden equipment and supplies dealers increased 0.2% seasonally adjusted from the previous month and a strong 10.5% unadjusted year-over-year.
Sales at furniture and home furnishing stores decreased 0.2% seasonally adjusted from December and increased 7.9% unadjusted year-over-year.
Electronics and appliance stores' sales increased 0.5% seasonally adjusted month-to-month and decreased 1.1% unadjusted year-over-year, and sales at clothing and clothing accessory stores' sales were flat over the previous month and increased 3.4% unadjusted over last year.
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