US Retail and Food Services Sales Growth Update slide image

US Retail and Food Services Sales Growth Update

US Retail Sales Update 25 25 Retail Sales 4Q 2021 Retail Sales FY 2021 9.2% 6.5% +17.3% year-on-year¹ +19.3% year-on-year¹ US Retail and Food Services Sales Growth 53.4% (y-o-y)¹ 29.7% 28.0% 18.9% 18.9% 15.3% 15.7% 16.2% 16.7% 14.2% 13.0% Jan-21 Feb-21 Mar-21 Apr-21 May-21 Jun-21 Jul-21 Aug-21 Sep-21 Oct-21 Nov-21 Dec-21 Jan-22 (Prelim) (Adv. Est) Jan 2022 Inflation: +7.5%² • • • • Although inflation has weighed on consumer confidence, it has not weakened consumer spending activity Fed expected to hike interest rates multiple times in 2022 Dec 2021 Personal saving rate: 7.9%³ • Savings rates, although below peak levels recorded during the height of the pandemic, remain elevated compared to historic averages (1991-2019). U.S. consumers have a tremendous amount of buying power and pent-up demand heading into 20224 Although the stimulus impacts have already materialized, households have been accumulating savings during the past two years which will support retail growth and expansion in 2022. Particularly, travel, dining and entertainment sectors are expected to recover thanks to strong wage growth and favorable job market that empowers consumers4 Shift in consumer behavior around food shopping and eating during the homebound lifestyle of the pandemic resulted in a boon for grocers5 Entering 2022, grocery industry is expected to enjoy 7% growth due to uncertainties over the covid variants and working from home trend that resulted in less traveling and more cooking and eating at home5 Home improvement sales strong due to high home ownership and warehouse club recorded strong sales due to trend of consumers buying more in bulk Sources: 1. U.S. Census Bureau. 2. U.S. Bureau of Labor Statistics, "Consumer Price Index - January 2022", 10 February 2022. 3. 4. U.S. Bureau of Economic Analysis, "Personal Income and Outlays, December 2021", 28 January 2022. Cushman & Wakefield, 10 Things to Watch in 2022 5. KPMG, "Consumer Pulse Survey, Grocery Forecast 2022, Grocery gains are here to stay", January 2022 UNITED-HAMPSHIRE
View entire presentation