Retail spending continued to rise in August, supported by back-to-school shopping, lower fuel costs, and tax-free holidays, according to the CNBC/NRF Retail Monitor powered by Affinity Solutions. Consumers also advanced purchases to get ahead of potential tariff-related price increases.
Total retail sales, excluding automobiles and gasoline, grew 0.5% month over month and 6.81% year over year. Core retail sales, which exclude restaurants, auto dealers, and fuel, increased 0.26% month over month and 6.67% year over year. For the first eight months of 2025, total sales were up 5.08% while core sales rose 5.27%.
The Monitor, which uses anonymized credit and debit card transaction data, showed gains in most retail categories. Digital products led the growth, up 25.98% year over year. Clothing and accessories stores increased 8.26%, sporting goods rose 8.96%, and grocery sales climbed 7.17%. General merchandise also posted a 7.63% year over year gain.
NRF President and CEO Matthew Shay noted that while some inflationary effects are appearing, employment levels remain stable, allowing consumers to prioritize household needs while adjusting discretionary spending. Overall, the August data reflects resilience in consumer activity across the retail sector.
