Mastercard SpendingPulse: Housing-Related Sectors Soften, Experiential Spending Drives Growth

Rhea-AI Summary

Mastercard SpendingPulse reported that U.S. retail sales, excluding automotive, rose by 11% year-over-year in September 2022, with e-commerce sales increasing 10.7%. Despite a slowdown in home-related spending, sectors like restaurants and travel saw significant growth, with restaurant spending up 10.9% and airlines by 56.4%. Total retail sales, excluding auto and gas, experienced a 9.7% increase compared to September 2021, showcasing resilience in consumer spending patterns amid broader economic shifts.

Positive

• U.S. retail sales (ex. automotive) increased 11% YOY in September.
• E-commerce sales grew by 10.7% YOY.
• Restaurant spending rose 10.9% YOY.
• Airline spending surged 56.4% YOY.

Negative

• Spending in furniture and hardware sectors showed minimal growth (1.4% and 1.7% YOY respectively).
• Luxury spending (ex. jewelry) declined by 5.2% YOY.

PURCHASE, N.Y.--(BUSINESS WIRE)-- According to Mastercard SpendingPulse^TM, U.S. retail sales excluding automotive increased +11% year-over-year in September. E-commerce sales continue to grow, up +10.7% YOY, highlighting the ongoing demand for the convenience of digital commerce. Mastercard SpendingPulse measures in-store and online retail sales across all forms of payment and it is not adjusted for inflation.

Reflecting the broader contraction of the housing market, spending in and around the home is slowing. Furniture & Furnishing and Hardware sectors experienced minimal year-over-year growth, up +1.4% and +1.7% respectively.

On the other hand, experiential spending continues to rein in consumers’ dollars. In September, spending at Restaurants was up +10.9% year-over year, as consumers continue to enjoy eating out. Further, travel remains a priority as spending on Airlines and Lodging experienced double-digit year-over-year growth. This is consistent with the past several months and broader global trends as reflected in the latest Mastercard Economics Institute Report, Shifting Wallets.

Mastercard SpendingPulse™ U.S. Retail Snapshot – September 2022
	Sales Growth Year-Over-Year Sept 2022 vs. Sept 2021	Sales Growth vs. Pre-Pandemic Sept 2022 vs. Sept 2019
Total Retail (ex. Auto & Gas)	9.7%	22.3%
Total Retail (ex. Auto)	11.0%	24.6%
E-commerce sales	10.7%	90.3%
In-store sales	11.1%	16.9%
Retail Sectors
Apparel	8.9%	25.9%
Department Stores	7.3%	22.7%
Electronics	13.9%	32.7%
Fuel & Convenience	23.5%	47.5%
Furniture & Furnishings	1.4%	29.4%
Grocery	9.4%	24.8%
Hardware	1.7%	17.0%
Jewelry	6.9%	67.7%
Luxury (ex. Jewelry)	-5.2%	6.2%
Restaurants	10.9%	44.9%
Mastercard SpendingPulse™ U.S. Travel Snapshot – September 2022
	Sales Growth Year-Over-Year Sept 2022 vs. Sept 2021	Sales Growth vs. Pre-Pandemic Sept 2022 vs. Sept 2019
Airlines	56.4%	10.9%
Lodging	38.1%	42.5%
*Travel sectors are not reflected in total retail sales figure Source: Mastercard SpendingPulse, which measures in-store and online retail sales across all forms of payment.

About Mastercard SpendingPulse
Mastercard SpendingPulse reports on national retail sales across all payment types in select markets around the world. The findings are based on aggregate sales activity in the Mastercard payments network, coupled with survey-based estimates for certain other payment forms, such as cash and check. Mastercard SpendingPulse defines “U.S. retail sales” as sales at retailers and food services merchants of all sizes. Sales activity within the services sector (for example, travel services such as airlines and lodging) are not included. For more information about Mastercard SpendingPulse or to subscribe, visit product page or the AWS Data Exchange.

About Mastercard (NYSE: MA)
Mastercard is a global technology company in the payments industry. Our mission is to connect and power an inclusive, digital economy that benefits everyone, everywhere by making transactions safe, simple, smart and accessible. Using secure data and networks, partnerships and passion, our innovations and solutions help individuals, financial institutions, governments and businesses realize their greatest potential. Our decency quotient, or DQ, drives our culture and everything we do inside and outside of our company. With connections across more than 210 countries and territories, we are building a sustainable world that unlocks priceless possibilities for all.

View source version on businesswire.com: https://www.businesswire.com/news/home/20221006006077/en/

Alexandria Pierroz

Alexandria.Pierroz@mastercard.com

914-260-1020

Source: Mastercard Investor Relations

FAQ

What were U.S. retail sales growth figures for September 2022 for Mastercard (MA)?

U.S. retail sales excluding automotive increased by 11% year-over-year.

How did e-commerce sales perform in September 2022 according to Mastercard (MA)?

E-commerce sales increased by 10.7% year-over-year.

What sectors experienced significant growth in September 2022 for Mastercard (MA)?

Restaurants and airlines saw significant growth, with restaurant spending up 10.9% and airline spending up 56.4%.

Did Mastercard (MA) report any declines in specific sectors for September 2022?

Yes, luxury spending (ex. jewelry) declined by 5.2% year-over-year.