TRENDS AND INSIGHTS

Five global markets experience increase in holiday retail spending

Visa Consulting and Analytics Retail Spend Monitor reports an increase across in-store and online sales.

12/23/2024

As the year draws to a close, holiday shopping trends offer valuable insights into consumer behavior and payments preferences. Visa Consulting and Analytics (VCA) conducted an in-depth analysis of payment transactions to assess customers’ behavior for the seven-week period starting November first.

Overall holiday retail spending rose across all payments methods in the United States, United Kingdom, Australia, South Africa and Brazil, according to the first VCA Retail Spend Monitor. In the United States, electronics, home improvement and clothing categories saw notable growth during the seven-week shopping period.

Key countries showed positive year-over-year holiday sales growth. “This holiday shopping season, we are seeing increasing consumer confidence in some of the key markets we track,” said Wayne Best, chief economist at Visa. The data, which reflects the total retail sales activity and uses a subset of Visa payments network data, showed a return to brick-and-mortar while online sales continue to rise. “The spending growth demonstrates the adaptability of both consumers and retailers, a positive sign heading into the new year,” he added.

Here are the highlights and insights from the VCA Retail Spend Monitor global report.

United States

The findings revealed a significant 4.8% increase in growth in retail spend in the U.S.

Source: VCA Retail Spend Monitor is VCA’s estimate of U.S. retail holiday spending defined as retail sales excluding auto, gasoline, restaurants and other categories across all payment types for the 7-week period beginning on Nov 1 of each year. The measure is constructed using a subset of U.S. VisaNet data combined with source data from the U.S. Department of Commerce.

United Kingdom

The findings revealed a 2.3% increase in spend when compared to the previous year.

Source: VCA Retail Spend Monitor is VCA’s estimate of U.K.’s retail holiday spending defined as retail sales excluding auto, gasoline, restaurants and other categories across all payment types for the 7-week period beginning on Nov 1 of each year. The measure is constructed using a subset of U.K.’s VisaNet data combined with Euromonitor Payment and Lending data.

Australia

The findings revealed a significant 7.4% increase growth in retail spend in Australia.

Source: VCA Retail Spend Monitor is VCA’s estimate of Australia retail holiday local spending defined as retail sales excluding auto, gasoline, restaurants and other categories across all payment types for the 7-week period beginning on Nov 1 of each year. The measure is constructed using a subset of Australia VisaNet Data combined with source data from the Australian Bureau of Statistics and Reserve Bank of Australia.

South Africa

The findings revealed a significant 7.0% increase growth in retail spend in South Africa.

Source: VCA Retail Spend Monitor is VCA’s estimate of South Africa’s retail holiday spending defined as retail sales excluding auto, gasoline, restaurants and other categories across all payment types for the 7-week period beginning on Nov 1 of each year. The measure is constructed using a subset of South Africa’s VisaNet Data combined with source data from Euromonitor’s Penetration of Electronic Payments.

Brazil

The findings revealed a significant 12.2% increase growth in retail spend in Brazil.

Source: VCA Retail Spend Monitor is VCA’s estimate of Brazil’s retail holiday spending defined as retail sales excluding auto, gasoline, restaurants and other categories across all payment types for the 7-week period beginning on Nov 1 of each year. The measure is constructed using a subset of Brazil’s VisaNet Data combined with source data from Banco Central do Brasil, Instituto de Geografia e Estatistica, Euromonitor and ABECS.

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The views, opinions and/or estimates, as the case may be ("views"), expressed herein are those of the Visa Consulting and Analytics team and do not necessarily reflect those of Visa executive management or other Visa employees and affiliates. This presentation and content are intended for informational purposes only and should not be relied upon for operational, marketing, legal, technical, tax, financial or other advice and do not in any way reflect actual or forecasted Visa operational or financial performance. Visa neither makes any warranty or representation as to the completeness or accuracy of the views contained herein, nor assumes any liability or responsibility that may result from reliance on such views. These views are often based on current market conditions and are subject to change without notice.