U.S. retail sales revenue was flat across food, consumer packaged goods (CPG), and discretionary product segments, and unit demand declined 1 percent during the five weeks of December compared to the same time in 2024, according to point-of-sale data from Circana.
Growth in food for the period was offset by declines in discretionary general merchandise as “persistent price elevation” reduced demand, noted Circana in a media release.
Overall, retail closed 2025 with 2 percent dollar growth and flat unit demand across all three segments. Price elevation in retail food and beverage supported the segment’s 3 percent dollar growth, but consumption was flat for the year. Discretionary general merchandise strayed furthest from overall performance, with dollar growth of 0.5 percent and unit sales decline of 1.3 percent.
“Consumers continue to spend what they can, but price elevation is curtailing purchases,” said Marshal Cohen, chief retail industry advisor for Circana. “Purchasing shortfalls demonstrate the consumer’s current lack of enthusiasm, and when that is evident even during the busiest shopping periods, it should spark concern and change at retail.”
Circana asked consumers about the reasons behind their Black Friday and Cyber Monday purchases, and “bought on impulse” had the lowest share of responses, below 20 percent in most categories.
The top reason behind purchases during last year’s peak holiday shopping period was self-gifting, strongest in jewelry, books, fragrance, smart technology, and video games. Need was also a strong influencer behind consumer purchases during the Black Friday and Cyber Monday period, according to Circana, and was the top reason for some product categories.
