13 May 2024
The Weekly
United States

Online retail sales in the U.S. rose about 7% from January to April this year, an Adobe Analytics report showed on Thursday, driven by strong demand for groceries and cheaper discretionary items. Consumer discretionary spending has been in focus over the past several months, as sticky inflation has forced shoppers in various categories to trade down to more affordable products. According to Adobe's data, the share of the cheapest units sold in categories like grocery and personal care has increased during the first four months of the year, while the share of the most expensive products has come down, indicating consumers are looking for cheaper alternatives. For instance, the share of least expensive groceries has gone up to 48% in April 2024 from 36% seen in January 2019. Walmart and Target have also launched affordable private label food brands priced below $5 and $10 respectively. Total online spending in the period from January to April 2024 grew to $331.6bn, compared to $309.8bn in the same period last year. Grocery spending saw highest growth of 15.7%, according to the report.