The strong retail sales data released on Thursday showed just how much pent-up demand exists among consumers as stimulus checks burn a hole their pockets and vaccinations allow for the economy to open up. People, it is clear, are ready to get out of the house. Among the strong categories in the March data were spending on eating and drinking, which ... READ MORE >
Consumer Products
From retail to restaurants, the consumer products industry includes many sectors and subsectors. The industry also involves many well-known brands with loyal customers and employees, and ownership structures ranging from family-owned businesses to public and private equity-backed companies.
CHART OF THE DAY: ISM index reaches recent high, boosted by service sector gains
The ISM non-manufacturing index climbed to 63.7% in March, firmly beating analysts' expectations and reaching its highest reading in recent history. The March reading followed February's significant decline, when the ups and downs of the race between the COVID-19 vaccine and new coronavirus variants wreaked havoc on businesses' operations. March's strong ... READ MORE >
Retail sales declined 3% in February, but brighter days are ahead
At first glance, the 3% monthly decline in retail sales for February would seem to be a cause for concern. But a look beyond the top-line number reported by the Commerce Department on Tuesday paints a more nuanced picture, one that suggests pent-up consumer demand and the prospect of stronger sales in the future. One reason for the monthly decline was the ... READ MORE >
CHART OF THE DAY: Rising food costs catch up with grocers
During the pandemic, despite all of the challenges it presented, grocers gained some relief from the margin pressures that had been steadily building. Not only did demand from consumers increase as they ate at home more, but grocers were also able to pass along higher costs created by production and supply chain uptions. The result was higher operating ... READ MORE >
CHART OF THE DAY: Retail sales surge 5.3% as consumers spend stimulus checks
Driven by the latest round of stimulus checks approved in late December, retail sales surged 5.3% in January from a monthly decline of 0.7% in December, the Commerce Department reported on Wednesday. The gains, which smashed economists’ consensus forecast of a 1.1% increase, were particularly strong in e-commerce (11%), furniture (12%) and electronics ... READ MORE >
CHART OF THE DAY: Apparel companies’ new discipline on pricing
Consumer prices for apparel continued to rise in January, demonstrating that apparel companies are focused on profitability amid a volatile environment for supply and demand. The prices that consumers paid for apparel rose 2.2% in January compared to the core index, which remained relatively flat with a monthly gain of 0.3%, according to data released by ... READ MORE >
CHART OF THE DAY: Service sector survey shows strength in January
A measurement of the services side of the economy rose to its highest level since well before the pandemic in January, another indication that the economy is poised for a recovery. The Institute for Supply Management said on Wednesday that its nonmanufacturing purchasing managers’ index came in at 58.7 for the month, up from December’s revised figure of ... READ MORE >
The changing holiday shopping season
For many retailers, the recent holiday shopping season was unlike any other as they contended with the disruption of the pandemic and its effect on consumer behavior. The result was a more extended holiday shopping season this year by design. While the Commerce Department’s recent headline figure for retail sales dropped by 0.7% in December compared to ... READ MORE >
CHART OF THE DAY: $900 billion rescue package will aid consumers who need it most
The December decrease in U.S. consumer confidence shows how important fiscal aid for households provided by Congress’s new $2.3 trillion spending bill is to consumers. The Conference Board Consumer Confidence Index, which is based on a survey of a random sample of U.S. households, fell short of expectations, down 7.8% to 88.6 from a revised 92.9 a month ... READ MORE >
Traditional retail’s loss has been industrial’s gain
The holiday season is upon us and like most everything that has happened in 2020, it will bring unprecedented experiences due to the pandemic. Most people associate the holidays with buying presents for friends and family and getting together to share each other’s company. But with the coronavirus still raging, these time-worn practices may not be possible. ... READ MORE >