Retail sales are expected to grow by between 6.5 percent and 8.2 percent this year, representing sales of more than $ 4.33 trillion as the economy reopens and more people are receiving the Covid vaccine, the National Retail Federation said Wednesday.
A preliminary reading shows that retail sales were up 6.7 percent last year to $ 4.06 trillion, the industry’s leading trade group said. This was largely driven by an online growth of nearly 22 percent.
Over the year, more Americans took to websites and apps to buy groceries, comfortable clothes, and household items. Figures exclude car dealerships, gas stations and restaurants.
“The trajectory of the economy is based on the effectiveness of the vaccine and its distribution,” NRF Chief Economist Jack Kleinhenz said in a statement.
“Our main assumption is that the vaccination will be effective and allow for accelerated growth in the middle of the year,” he said. “The economy is expected to experience the fastest growth in more than two decades.”