Consumer spending shifts toward services and restaurants.

After a bright spot in May, the latest data from RetailNext in its “Retail Performance Pulse” report showed a steep drop in sales and traffic for June. The company noted that sales fell 8.1 percent in June while traffic declined 8.3 percent.

“June 2017 was a challenging month for sales and traffic metrics compared to May and year-over-year,” analysts at the firm said. “Sales experienced a decline on par with March and April after a slight respite (down only 5 percent) in May. Traffic declined at levels similar to [the first quarter of] 2017 after experiencing lower declines in April/May.”

The company noted that average transactions values “trended similarly to sales and reversed a three-month trend of increases, while transactions were down by 7 percent compared to June 2016. On a more positive note, [conversion rates] were up 0.5 percent while shopper yield was flat year-over-year.”

By day, June 17 was described as the “best shopping day” by the analysts as “sales, traffic, shopper yield, and transactions all peaked with shoppers finishing their Father’s Day purchases.” Father’s Day was June 18. The report also noted that conversion rates were “the highest on Friday, June 16, while [average transaction values] peaked on Saturday, June 10. Sales, traffic and transactions were lowest on Tuesday, May 30, while the lowest day for [conversions] was Monday May 29 (Memorial Day).”

They also noted that average transaction value and shopper yield “reached their low point on Monday, June 26 with returns at their lowest the day prior to Father’s Day.”

By region, the Northeast suffered the steepest drop in sales year-over-year — falling 8.1 percent on a traffic decline of 7.8 percent. Sales in the South dropped 7.5 percent year-over-year as traffic fell 8 percent. In the Midwest, sales showed a 3.7 percent decline as traffic decreased 10.3 percent. And in the West, sales dropped 3.6 percent year-over-year on a 6.2 percent traffic decline.

For More Business News From WWD, See:

Amazon, Wal-Mart and Apple Top List of Biggest E-commerce Retailers

Consumer Preferences Reshaping Retail Landscape

Supima Design Competition Set for Sept. 7 at Pier 59 Studios

load comments
blog comments powered by Disqus