November Same Store Sales & Retail 2023 reporting
The OPE market update sales report from Constellation Data Solutions is based on a group of dealers who have reported their data over the previous three years. The dealer count (1,061), wholegood unit sale count (3M), and total sales numbers ($7BN) show the actual number of dealers and total sales being analyzed.
The graph and analysis below is based on a smaller “same store” group of dealers who have submitted data each month for three years in a row.
The report is showing data from combined sales of parts in all departments, wholegood sales and service repairs.
Note: Constellation Dealership Software companies, Ideal, c-Systems and Charter, have developed the largest database of dealership transactional sales, inventory position and task completion information in the outdoor power equipment (OPE) market. Drawing from over 1,500 dealers on a nightly basis, this data warehouse is the largest, most accurate source for dealership and market year-over-year trending information in the industry.
National Retail Federation reporting on 2023
The National Retail Federation reports in early December that the U.S. economy is on track to end 2023 with “vigorous growth for the year at an annualized rate of nearly 2.5% – much more than expected a year ago.”
In the first three quarters of 2023, the economy grew at a 3.2% annualized pace. Estimates show that growth should continue for the fourth quarter, raising the probability of a “soft landing.” Still, consumers and business owners face the challenge of high interest rates.
The Bureau of Economic Analysis (BEA) reports that consumer spending rose only 0.2% adjusted for inflation month over month in October, down from a solid 0.7% gain in September for the slowest pace since May. Households reduced spending on automobiles, furniture and clothing but expanded spending on travel, health care and housing. Nonetheless, consumer spending has provided continued resilience to the economy, with nominal personal spending rising 5.3% year over year. Note: the BEA is an agency of the Department of Commerce. It produces economic accounts statistics that enable government and business decision-makers, researchers, and the American public to follow and understand the performance of the nation’s economy.
The story of 2023, according to the NRF, is the resilience of the U.S. consumer. NRF reports that overall finances remain strong, but consumers’ excess liquidity is shrinking. Also, access to credit has become more expensive as banks are increasingly cautious with loans to consumers. NRF expects record spending and has forecast holiday retail sales to increase between 3% and 4% over 2022.
