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Visa Analysis: U.S. Holiday Spending Rose 4.2%

  • In‑store sales led seasonal spending, capturing 73% of total spending
  • E‑commerce total sales rose 7.8%, reflecting the total value of online purchases across all retail categories
  • Electronics sales emerged as a top holiday category, growing at 5.8%

SAN FRANCISCO--(BUSINESS WIRE)--Visa (NYSE: V), a global leader in digital payments, today released its annual Retail Spend Monitor from Visa Consulting & Analytics (VCA), offering a broad view of U.S. holiday retail activity. Preliminary data shows that overall holiday retail spending increased 4.2% year over year across all payment types, including cash and check. These figures are not adjusted for inflation.

“This season also marked a turning point, with artificial intelligence shaping how people discover products, compare prices, and interact with offers," said Wayne Best, chief economist at Visa.

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“Whether shoppers were upgrading their tech, refreshing their closets, or stocking up at one‑stop shops, retailers delivered seamless shopping experiences both in stores and online,” said Wayne Best, chief economist at Visa. “This season also marked a turning point, with artificial intelligence shaping how people discover products, compare prices, and interact with offers. This led to a more informed, more intentional consumer, ensuring they could stretch their discretionary spending.”

Holiday season spending highlights include:

  • In-store shopping remains strong: 73% of holiday payment volume was in physical stores while 27% of retail spend happened online.
  • E-commerce continues to expand: Online retail spending rose 7.8%, driven by early-season promotions and convenience.
  • Global holiday retail spending momentum: Markets outside the U.S. saw seasonal spending rise, with Australia (+5.0%), Canada (+4.4%), South Africa (+7.9%) and U.K. (+3.6%).

U.S. seasonal spending snapshots by category include:

  • Electronics power up for the holidays: Electronics sales jumped 5.8%, fueled by demand for high-performance devices in the AI era.
  • One-stop shops spread the cheer: General merchandise stores saw a 3.7% lift with consumers seeking convenience.
  • Fashion-forward shoppers hit the racks: Clothing and accessories sales climbed 5.3%.
  • Holiday home décor held steady: Furniture and home furnishing sales rose 0.8%, reflecting a consistent seasonal demand.
  • A cooler season for home improvement: Building materials and garden equipment sales decreased by 1.0%.

“Insights from the VCA Retail Spend Monitor help businesses adapt to changing consumer behaviors and prepare for the rapidly evolving future of commerce,” said Kate Manfred, North America head of advisory services at Visa.

The VCA Retail Spend Monitor analyzes retail sales activity over a seven-week period beginning November 1, using a subset of Visa payments network data in the U.S.1 and survey-based estimates for other payment methods. It is produced by VCA's global network of thousands of consultants, data scientists, and product experts from around the world. Their expertise combined with the power of VisaNet data – which represents over 329 billion transactions a year – helps clients identify trends and make data-driven decisions. In the last year, VCA delivered nearly 4,500 consulting engagements that helped clients realize an estimated $6.5 billion in incremental revenue as a result.

To learn more about how Visa Consulting & Analytics can help clients turn data and insights into actionable business decisions, visit here.

About Visa

Visa (NYSE: V) is a world leader in digital payments, facilitating transactions between consumers, sellers, financial institutions and government entities across more than 200 countries and territories. Our mission is to connect the world through the most innovative, convenient, reliable and secure payments network, enabling individuals, businesses and economies to thrive. We believe that economies that include everyone everywhere, uplift everyone everywhere and see access as foundational to the future of money movement. Learn more at Visa.com.

The views, opinions, and/or estimates, as the case may be (“views”), expressed herein are those of the Visa Consulting & Analytics team and do not necessarily reflect those of Visa executive management or other Visa employees and affiliates. This content is intended for informational purposes only and should not be relied upon for operational, marketing, legal, technical, tax, financial or other advice and do not in any way reflect actual or forecasted Visa operational or financial performance. Visa neither makes any warranty or representation as to the completeness or accuracy of the views contained herein, nor assumes any liability or responsibility that may result from reliance on such views. These views are often based on current market conditions and are subject to change without notice.

1 The analysis is based on a subset of U.S. Visa payments network data at retail merchants but excludes auto, gasoline, restaurants and other categories.

Contacts

Media Contact
Victoria Khamsombath
press@visa.com

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