Clicks Will Outpace Bricks in 2016

Supply chain managers should note that one of the bright spots of the U.S. economy has been consumer spending.

Subscriber: Log Out

E-commerce retail sales are expected to continue to grow at double-digit growth rates during 2016-2022, say economists for IHS Global Insight.

In 2016, they expect e-commerce retail sales to represent 8.0% of retail trade (retail sales less restaurants). This is compared to a 6.4% reading for 2014, and a 7.3% estimate for 2015.

Supply chain managers should note that one of the bright spots of the U.S. economy has been consumer spending. Looking ahead, the positives clearly outweigh the negatives on the consumer front for 2016; premised on continuing strength in real disposable income growth, further gains in auto sales, increasing household real estate wealth, elevated levels of consumer confidence, modest consumer price inflation, and a housing market that is gaining traction.

However, cautions IHS, there are still several headwinds, such as mounting student loan debt, weak wage growth, and relatively low labor participation rates.

Analysts forecast real GDP growth of 2.7% in 2016 and 2.9% in 2017, compared to 2.4% in 2015. Real consumer spending growth is likely to increase 3.1% in 2015, 3.0% in 2016, and 3.2% in 2017, outpacing 2014's 2.7% reading.

The IHS Global Insight real disposable income growth forecasts are currently standing at 3.6% for 2015, 3.1% in 2016, and 3.3% in 2017, outpacing 2014's 2.7% reading.

SC
MR

Latest Resources
The Ultimate Checklist for Strategic Distribution Center Master Planning
The white paper provides a comprehensive checklist to strategically plan distribution center projects, ensuring they align with business goals,…
Download

About the Author

Patrick Burnson, Executive Editor
Patrick Burnson

Patrick is a widely-published writer and editor specializing in international trade, global logistics, and supply chain management. He is based in San Francisco, where he provides a Pacific Rim perspective on industry trends and forecasts. He may be reached at his downtown office: [email protected].

View Patrick 's author profile.

Subscribe

Supply Chain Management Review delivers the best industry content.
Subscribe today and get full access to all of Supply Chain Management Review’s exclusive content, email newsletters, premium resources and in-depth, comprehensive feature articles written by the industry's top experts on the subjects that matter most to supply chain professionals.
×

Search

Search

Sourcing & Procurement

Inventory Management Risk Management Global Trade Ports & Shipping

Business Management

Supply Chain TMS WMS 3PL Government & Regulation Sustainability Finance

Software & Technology

Artificial Intelligence Automation Cloud IoT Robotics Software

The Academy

Executive Education Associations Institutions Universities & Colleges

Resources

Podcasts Webcasts Companies Visionaries White Papers Special Reports Premiums Magazine Archive

Subscribe

SCMR Magazine Newsletters Magazine Archives Customer Service

Press Releases

Press Releases Submit Press Release