US nonstore retail sales rise 6.4 percent in January 2020

US nonstore retail sales grew significantly slower year over year in January 2020 than in December and for 2019 overall, according to a Digital Commerce 360 analysis of US Department of Commerce advance monthly figures. In January, nonstore spending, excluding estimated fuel sales, increased just 6.4%, achieving only about a quarter of December’s record-breaking 24.2% increase and less than half of the 13.9% jump registered in 2019.

Total retail sales through all channels increased just 2.5% year over year in January 2020 without fuel, nearly half of the 4.9% increase in January 2019. In December 2019, the uptick in all retail spending reached an impressive 6.3%, which was revised down from initial Commerce Department figures, and helped to close out the year with 3.8% growth in total retail sales.

According to Commerce Department data, overall sales were down year over year for a number of merchandise categories: electronics and appliances, health and personal care, sporting goods, and hardware and home improvement. General merchandise stores did well despite a 3.9% decline in the sales of one subcategory—department stores—suggesting superstores, warehouse clubs and dollar stores more than offset the flagging purchases made through old-school retailers. Clothing and accessories sales were relatively flat, with a 0.7% dip.