November sales fall 0.3 percent at U.S. chain stores

U.S. chain store sales slipped 0.3 percent year on year in November, according to ICSC’s index, a disappointing reversal after two consecutive monthly gains, but this could bode well for December.

“The holiday season got off to a weak start in November for retailers as early-month sales of apparel and seasonal items suffered because of warmer-than-normal weather, though the tail end of the month saw relatively strong sales over the post-Thanksgiving period,” said Michael P. Niemira, ICSC’s chief economist and director of research. “With 21 days left in the holiday shopping season and the ICSC–Goldman Sachs consumer holiday tracking surveys indicating that consumers are behind on their holiday spending completion rate, relative to last year, the holiday spending catch-up will occur in December.”

Niemira says December sales will increase by 2 to 3 percent from a year ago, as consumers are buying holiday gifts later this season. ICSC is reaffirming its chain-store sales growth forecast of 1 percent year on year for November-December.