Furniture Spending Is Still Outpacing the Rest of Retail

With the early days of coronavirus-induced panic and unpredictability behind us, August saw consumer costs grow for the fourth straight month. While the speed of these costs increases shows some indications of slowing down, the projection for the furnishings market continues to be a bit brighter than that of the economy as a whole.According to a regular monthly report from the U.S. Census Bureau and U.S. Department of Commerce, customer retail costs was up 0.6% in August compared to July. The figure marks the 4th successive month of development for retail. Amongst the noteworthy classifications to surpass total retail spending growth was the furniture and furniture classification, which grew by a seasonally-adjusted 2.1% from July to August, higher than the 0.9% development observed in between June and July. The category did an approximated $10.23 billion in seasonally-adjusted sales in August, up from simply over $10.02 billion the prior month. In both months, classification sales were above 2019s numbers.Of course, its crucial to put these boosts in a bigger context. So far, overall furniture and house furnishing store sales are 11.3% lower than they were at this time in 2019, though its most likely that prevalent closures previously in the year played a considerable role in that year-to-date drop. Thats similar to the development observed by house enhancement and gardening shops, which also saw a 2% increase in retail costs from July to August. As all of us know, 2020 has continued to provide ample opportunities to rethink the kind and function of the home, definitely resulting in those upticks.Become an AD PRO MemberBuy now for unrestricted gain access to and all of the benefits that just members get to experience.ArrowThough the report does not speculate on what may be driving growth in this or any other category, its possible that the sustained interest in furniture might come from the very various nature of this years back-to-school season. Investing on electronic devices (at a time of ongoing remote learning) increased 0.8%, somewhat surpassing total retail costs. Sales of clothes and accessories, a more typical barometer of back-to-school retail performance, was likewise up 2.9% from the month before.Interestingly, online retail saw no growth throughout this time period, which could be an indication that consumers feel more confident about making sure purchases in-person than they as soon as did. With some online-first furnishings merchants wagering on big development in the classification, it will be fascinating to observe how these particular trends converge as time goes on..