Retail 2025: Growth, Closures, and the Digital Shift
4%
U.S. holiday retail sales rose about 4% during the 2025 season as consumers balanced tighter budgets with early promotions and conveniences such as online price comparisons. Visa and Mastercard reported total retail spending up 4.2%, slightly below expectations but still showing resilience. Electronics sales led gains with a 5.8% increase, followed by clothing and accessories at 5.3% — signaling strong discretionary demand into late December.
$187B
U.S. online holiday shoppers have already spent over $187 billion this season, a 6.1% increase from last year’s digital demand, even as Target reported a major system outage during peak shopping days. Despite technical challenges, elevated online spending highlights the resilience of ecommerce and digital marketing effectiveness, particularly as brands leverage mobile personalization, AI tools, and targeted discounts.
$179.5B
Walmart posted $179.5 billion in total revenue in fiscal Q3 2026, reflecting 5.8% year-over-year growth, driven largely by strong U.S. ecommerce momentum. Online sales surged 27%, while U.S. comparable sales rose 4.5% as both transaction volume and average order value increased. Faster fulfillment, growing memberships, and expanding AI-driven commerce continue to fuel Walmart’s retail and digital growth.
300
Nearly 300 major U.S. retail stores are slated to close in 2026 as companies adjust physical footprints and shift focus to digital and omnichannel growth. Macy’s plans to shutter about 150 locations, while Carter’s, Kroger, and others also scale back, indicating strategic reallocations of marketing and fulfillment resources toward online channels and higher-performing regions. Retailers are aligning marketing investments to support this shift rather than traditional store expansion.
$164M
Holiday season projections suggest online shoppers will account for approximately $164 million in digital spending during peak December shopping periods in local markets such as Midland — a sign that even smaller retail segments are seeing meaningful online demand.
$20B
TikTok Shop’s U.S. social commerce sales are forecast to surpass $20 billion next year and could reach $30 billion by 2028, demonstrating explosive growth in social commerce and the need for marketers to integrate TikTok into long-term retail strategies.
$59M
Midland local retailers saw about $164 million in online holiday shopping spent this season, alongside roughly $5.9 million in in-person transactions, reflecting robust combined consumer activity in smaller markets. The local data mirrors broader national trends where omnichannel strategies — integrating online convenience with brick-and-mortar service — help marketers capture both foot traffic and digital demand.