The NRF forecasts a 3.1% increase in retail sales growth in 2016, which will exceed the 10 year industry average of 2.7%. The National Retail Federation also forecasts ecommerce growth to be between 6-9%.
The NRF makes this forecast based on assumptions on employment gains. It believes that prospects for consumer spending are going to be higher as it expects a continued growth in the labor market.
“Wage stagnation is easing, jobs are being created and consumer confidence remains steady, so despite the headwinds our economy faces from international developments, particularly in China, we think 2016 will be favorable for growth in the retail industry,” said NRF President and CEO Matthew Shay.
The NRF’s chief economist indicated that with lower gas prices creating more discretionary income, more jobs, and with retailers continuing to find ways to compete and succeed in a cost-conscious environment, 2016 should be a good growth year for retail.
Source: Chain Store Age
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