Shoppers were out in force over Thanksgiving weekend, even as they remained cautious in their purchasing choices. These eager yet wary consumers, longing for the days of unrestrained shopping but still shell-shocked from the recession, could help drive an economic recovery.
A record number of shoppers went to physical and online stores over the weekend, and they spent slightly more than last year. Experts say the results are part of a larger trend that’s been developing over the past several months: Consumers are spending because they want to, and, more important, because they can.
The worst economic meltdown since the Great Depression has left people cautious, occasioning talk of a New Thrift, but the beginnings of real economic improvement have recently bolstered consumer confidence. Fear has given way to a tempered frugality. Consumer spending, which accounts for about 70 percent of economic activity, bodes well for the broader economy.
The weekend after Thanksgiving, typically the busiest shopping weekend of the year, saw about 212 million shoppers, up 8.7 percent from last year’s 195 million, according to the National Retail Federation, which logged the busiest holiday weekend since at least 2004.
The average consumer spent $365.34, up 6.4 percent from the same period last year, the NRF added. In physical stores on Black Friday itself, traffic increased 2.2 percent, and sales were up 0.3 percent, according to ShopperTrak.
The bit of good news comes as the broader recovery remains sluggish. As unemployment is stuck at 9.6 percent, jobs simply do not exist for four out of every five unemployed Americans. During the second quarter of this year, the net worth of households and non-profits dropped 2.8 percent, erasing two quarters of gains.
But retailers staved off a weak turnout by offering deep discounts. This holiday season, shoppers want bargains. They want to spend, but they want to get value for their money. Retailers are more than happy to accomodate.
