NRF: Retail sales increased 5% in October
by November 12, 2025 12:23 pm 605 views
Consumer spending on retail goods in October increased by 5% from a year ago. On a monthly basis, retail sales were up 0.6%, according to the National Retail Federation’s monthly Monitor report compiled by Affinity Solutions.
The Monitor report is based on actual receipts from the retail sector and does not include survey data.
“Retail sales grew in October as consumers geared up for the holiday season,” said NRF President and CEO Matthew Shay. “Recent economic data has been mixed, yet consumer spending remains solid — supported by wage growth outpacing inflation, historically low unemployment, and wealth effects from strong stock market valuations. These factors point to continued momentum heading into the holidays as consumers focus on family, friends and finding value to make their budgets go further.”
Core retail sales, which exclude restaurants, increased 4.9% from a year ago. Sales were up 0.6% monthly.
Total sales were up 5.11% year over year for the first 10 months of the year, and core sales were up 5.28%. October sales were up in all but two of nine categories on a yearly basis, led by digital products, clothing and sporting goods purchases. Sales were likely higher because of multiple promotional events by Amazon, Walmart, Target, Best Buy and other retailers. A report from Adobe Analytics indicates that consumers spent $88.7 billion online in October, an 8.2% year-over-year increase.
The “buy now, pay later” installment spending drove $7.1 billion in sales, up 7.6% year-over-year, according to Adobe. Spending included holiday goods. Adobe found holiday decoration sales rose 130% in October, compared to the prior month. Electronics and power tools were also categories that sold well during the promotional events in October.
NRF reports digital sales rose 22.39% from a year ago. Sales also increased 2.02% from the prior month. Apparel and accessories sales rose 7.89% from a year ago. Sporting goods, hobby, music, and book sales increased 7.19% year over year. General merchandise sales rose 6.99%, and electronics and appliance sales were also up 6.58% compared to a year ago. Consumers spent 4.08% more on groceries and 1.9% more on health and personal care items in October, compared to a year ago, according to NRF.
Two categories did not fare as well in October, according to the NRF report. Furniture and home furnishings sales declined 1.7% from a year ago. Building and garden supply sales were down 8.52% compared to the same period in 2024.