Trade Group Hikes 2011 Holiday Sales Forecast to $469.1 Billion

The National Retail Federation revised its holiday sales forecast today to a record $469.1 billion based on an expected 3.8 percent rise in sales through Christmas. NRF’s initial forecast, released Oct. 6, anticipated sales growth to top out at 2.8 percent to $465.6 billion.

“Consumer spending this holiday season has surpassed expectations, though many shoppers continue to stick to their budgets and buy only what they need,” said Jack Kleinhenz, NRF chief economist. “Despite modest job and income growth, consumers continuously have proven they have the capacity to spend, and we are encouraged by this and the recent sales growth we have seen so far this year.”

Helping to fuel the revision was a 4.5 percent rise in November retail sales compared with the year-ago period and the group’s consumer intention survey that showed most holiday shoppers had not finished half of their planned shopping yet.

NRF’s revised projection beats the 10-year average sales increase average of 2.6 percent. The retail sector saw a 5.2 percent sales increase in holiday sales in 2010.

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Trade Group Hikes 2011 Holiday Sales Forecast to $469.1 Billion

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