US Holiday Jewelry Sales Slide

RAPAPORT... Jewelry sales in the US fell 4.3% during the holiday period, even as e-commerce sales for the category soared.Online sales of jewelry rose 45% year on year for the extended seasonal period, according to data from Mastercard SpendingPulse, which tracked purchases from October 11 through Christmas Eve. The jump in digital spending could not make up for the decreased foot traffic in stores. Retail sales for all product categories - excluding automobiles - rose 3% year on year. Total online buying jumped 49% versus the same period a year ago, making up 20% of the total, compared to 13% in 2019.Meanwhile, total holiday sales for the traditional November 1 to December 24 season rose 2.4%, with digital growing 47%. "American consumers turned the holiday season on its head, redefining 'home for the holidays' in a uniquely 2020 way," said Steve Sadove, senior adviser for Mastercard. "They shopped from home for the home, leading to record e-commerce growth. And, consumers shopped earlier than ever before. [The increase was] a testament to the holiday season and strength of retailers and consumers alike."Home furnishings saw the sharpest year-on-year rise during the extended spending period, up 16% overall and 31% online, while purchases of home-improvement items gained 14% in total and soared 80% online. Luxury goods other than jewelry decreased 21% overall, and apparel witnessed the steepest drop, down 19%. Sales at department stores slipped 10%.The figure missed the National Retail Federation's (NRF) forecast of a 3.6% to 5.2% increase for the November-to-December period. Holiday sales have increased by an average of 3.5% for the past five years. The five-day Thanksgiving weekend, which included Black Friday and Cyber Monday, also disappointed, dropping 14% compared with last year, the NRF noted.Image: An empty mall. (Shutterstock)