November 23, 2022

Online prices continued to fall in October, reports Adobe – Footwear News

Prices for products sold online fell on an annual basis for the second consecutive month in October, according to new data from Adobe released Thursday.

In October 2022, online prices were down 0.7% year over year, but up 0.3% from September, according to the latest Adobe Digital Price Index (DPI). Additionally, most of the categories Adobe tracked — 11 out of 18 — saw price declines month-over-month in July.

October’s price decline was driven by categories such as electronics, computers, toys and sporting goods, Adobe said. In e-commerce’s largest category by spend share, electronics, online prices fell sharply as early holiday discounts went into effect, down 12.9% from the same month last year. This is the largest year-over-year decline for the category since Adobe began tracking prices online in 2014, the company said.

Pre-holiday deals also drove down toy prices, which fell 7.1% from a year ago. However, the cost of food remains high, as the price of groceries increased by 14% compared to last year. The jump follows September’s record high – up 14.3% – but is the first month of 2022 where the category’s inflationary price rises have slowed.

This latest data comes at the same time as the US Bureau of Labor Statistics released the Consumer Price Index for October. Inflation persisted last month, with consumer prices rising 7.7% from October 2021. This marks a slowdown from 8.2% year-on-year growth in september.

Shoe prices also slowed in October and rose 2.7% from a year ago, the smallest year-over-year increase in 19 months, according to data from shoe distributors and retailers. from America. Men’s footwear increased by 2.3%, women’s by 3.2% and children’s by 2.6%.

And the deceleration in price increases could be good news for consumers this holiday. Total sales between November 1 and December 31 are expected to increase 6% to 8% from 2021, according to the National Retail Federation. The growth would total between $942.6 billion and $960.4 billion in sales, on top of last year’s record 13.5% growth to $889.3 billion.

This holiday season, 35% of shoppers plan to spend more than last year, according to PwC’s Holiday Outlook 2022 survey. Well-paid young shoppers, these big spenders tend to be male and live in metropolitan areas. In addition to spending on their family, they will also spend more on themselves than the average holiday shopper.

Overall, consumers expect to spend an average of $1,430 on gifts, travel and entertainment this year, which is very similar to the $1,447 they spent last year, PwC reported. That’s a 20% increase from pandemic-ravaged 2020 and more than 10% from 2019.