In spite of retailers’ hopes, the busiest shopping day of the year was not as busy as expected.
Citing reports in the business media, Breitbart reports that shopping malls experienced thin crowds across the U.S. on Black Friday. Economic conditions and inflation seem to have dampened the holiday shopping season.
According to the National Retail Federation, about 166 million people planned to shop from Thursday’s Thanksgiving holiday through Cyber Monday.
However, due to weather conditions in some parts of the county and inflation affecting every American, stores were less busy than usual on Black Friday, Reuters notes.
According to Reuters, this year, consumers, especially those from low-income households, are expected to cut back on spending due to inflation and higher energy prices.
Breitbart adds that retail sales are expected to increase by six to eight percent this year, according to the National Retail Federation. Compared with last year’s 13.5 percent increase and 2020’s 9.3 percent increase, that’s a big slowdown. It is possible that sales are actually down after adjusting for inflation. Consumer prices are up 7.7 percent from a year ago.
According to the University of Michigan’s survey, consumer sentiment declined significantly in November. In October, the consumer sentiment index fell five percent below its October reading, reversing about one-third of the gain since June’s historic low. A 10.4 percent decline was recorded in the gauge of current conditions.
It’s no secret that this year has been tough on everyone. The pandemic has upended our lives in so many ways and the economic fallout has been devastating for many families. So it’s no surprise that retailers were worried about this holiday season. Black Friday, traditionally the busiest shopping day of the year, was noticeably quieter than usual. There are a number of factors that contributed to this slowdown in spending. First, inflation is starting to rear its ugly head, making it more expensive for people to buy even the basics. Second, President Joe Biden’s out-of-control spending habits are starting to take their toll on American wallets. And finally, people simply don’t have the disposable income they used to have to splurge on Christmas gifts. It’s a sad state of affairs when Americans can’t even afford to enjoy the holidays anymore. Let’s hope that next year is better.
