TikTok Shop, Shein, and Temu won the holidays in 2024

Consumer spending grew 2.5% YoY during the 2024 holiday season according to Earnest credit card data. This marks an acceleration from 2023, which grew 1.5% YoY. Neither growth figure is adjusted for inflation. 

TikTok Shop wins 2024 holiday spending despite uncertain future

Chinese ecommerce brands outperformed other retailers this holiday season. TikTok Shop sales grew 222.9% YoY after an already strong early holiday. TikTok Shop did not participate in early October sales events, but the holidays come after its successful July promotion. The social media platform also won share in the first three weeks of November from other ecommerce names. Still, questions remain about whether the app will survive a legal battle to ban it in the US.

Sales at deep-discount ecommerce brand Temu (PDD) grew 18.9% YoY in the holiday shopping season. The platform’s success comes despite slow customer growth in recent months. 

Shein’s back-to-school sales growth underperformed other apparel brands. But the fast fashion retailer’s steady customer growth buoyed its holiday results as shoppers keep joining the platform. The retailer grew 17.4% YoY compared to 2023. 

Ecommerce retailers expanded their share of 2024 holiday spending

Ecommerce pet brand Chewy (CHWY) stood out as the fastest growing major non-discount ecommerce brand, +6.9% YoY.

Amazon sales accelerated following Cyber-5, ending at +5.8% YoY. 

The RealReal (REAL) picked up steam around Cyber-5 for a total of 4.9% YoY growth between November 1st and December 31st. 

Department stores mostly struggled with a few exceptions

The Home Depot (HD), Walmart (WMT), TJX Companies (TJX), and Nordstrom (JWN) all grew between 1.0% to 4.0% YoY in the same period. 

ULTA Beauty (ULTA) was flat YoY, but still outperformed department stores like Kohl’s (KSS).

Mall brands Abercrombie (AEO) and Victoria’s Secret’s (VSCO) outperformed Men’s and Women’s Clothing despite a slow first half of the season. 

Athleisure continued to lag other retail categories in the holiday period. Under Armour (UAA), Nike (NKE), and Lululemon (LULU) posted the biggest declines in the period. New DTC athleisure brands like Alo Yoga continue to disrupt the space. Best Buy and Wayfair also posted mid-single digit declines, though that could have been influenced by demand pull-forward from pre-season sales.