New York City Retail industry sales for December 2007 rose 1.7% over last year, and decreased 0.4% seasonally adjusted from November, the National Retail Federation (NRF) said Tuesday.
Total 2007 holiday sales, which combine November and December sales, rose 3% to $469.9 billion, weaker than NRF’s projected 4% holiday forecast. It was the lowest holiday seasonal growth since 2002, when sales rose 1.3%.
“Economic pressures caused deterioration in the sales climate at the end of the year,” said NRF chief economist Rosalind Wells. “Because holiday sales were disappointing, retailers will have to quickly adapt with pricing strategies and promotions that will encourage customers to spend.”
NRF is forecasting that retail industry sales will increase 3.5% in 2008.