With a staggering $18.85 trillion spent in 2023, American consumerism isn't just a habit—it’s the throbbing engine of the nation’s economy.
Key Takeaways
- In 2023, U.S. personal consumption expenditures (PCE) totaled $18.85 trillion, representing 68.2% of GDP
- U.S. consumer spending grew by 2.5% in real terms in 2023 compared to 2022, adjusted for inflation
- Household final consumption expenditure per capita in the U.S. was $55,432 in 2022
- In 2022, average annual expenditures per consumer unit were $72,967, up 9.4% from 2021
- Housing accounted for 32.9% of consumer unit expenditures at $24,000 annually in 2022
- Transportation spending averaged $12,295 per consumer unit in 2022, 16.8% of total
- U.S. retail sales for motor vehicles and parts dealers were $1.47 trillion in 2023
- Food services and drinking places sales hit $943 billion in 2023
- General merchandise stores generated $852 billion in sales in 2023
- U.S. household debt reached $17.5 trillion in Q4 2023
- Credit card debt hit $1.13 trillion in Q4 2023, up 8.4% YoY
- Student loan debt totaled $1.60 trillion in Q4 2023
- 44% of U.S. consumers live paycheck to paycheck in 2023
- 62% of Americans feel financially stressed due to inflation in 2023 surveys
- Impulse buying occurs weekly for 48% of shoppers in 2023
American consumer spending remains huge but is slowing amidst debt and inflation.
Aggregate Spending Levels
1In 2023, U.S. personal consumption expenditures (PCE) totaled $18.85 trillion, representing 68.2% of GDP
Verified2U.S. consumer spending grew by 2.5% in real terms in 2023 compared to 2022, adjusted for inflation
Verified3Household final consumption expenditure per capita in the U.S. was $55,432 in 2022
Verified4U.S. disposable personal income reached $20.1 trillion in 2023, supporting higher consumption levels
Directional5Consumer spending accounted for 70% of U.S. economic growth in Q4 2023
Single source6Real PCE increased by 3.1% annually in 2023, driven by services
Verified7U.S. consumer spending on durable goods fell 0.5% in 2023 amid high interest rates
Verified8Total U.S. retail sales reached $7.22 trillion in 2023
Verified9PCE as a share of GDP was 67.9% in Q1 2024
Directional10U.S. households spent an average of $72,967 per consumer unit in 2022
Single source11Consumer spending growth slowed to 1.8% in Q1 2024 from 3.4% in Q4 2023
Verified12Nominal PCE rose 4.2% in 2023, outpacing inflation of 2.6%
Verified13U.S. consumer spending per capita hit $56,800 in 2023 estimates
Verified14Final sales to private domestic purchasers, including consumption, grew 3.2% in 2023
Directional15Household consumption contributed 2.1 percentage points to GDP growth in 2023
Single source16U.S. PCE deflator increased 2.6% in 2023, indicating moderating inflation pressures on spending
Verified17Total consumer outlays on goods and services were $18.1 trillion in 2022
Verified18Real final sales of domestic product grew 2.4% in 2023, led by consumption
Verified19U.S. personal saving rate averaged 4.0% of disposable income in 2023
Directional20Consumer spending drove 95% of U.S. GDP growth post-2020 recovery
Single source21Nominal personal consumption expenditures increased 9.2% from 2020 to 2022
Verified22U.S. households' share of PCE was 84% in 2023
Verified23PCE growth accelerated to 2.8% in services during 2023
Verified24Total U.S. consumption spending hit a record $19.2 trillion annualized in Q1 2024
Directional25Real PCE per capita rose 2.3% in 2023
Single source26Consumer spending on nondurables increased 3.5% nominally in 2023
Verified27U.S. PCE chain-type price index rose 2.4% YoY in December 2023
Verified28Household final consumption expenditure grew 2.1% in constant prices in 2022
Verified29U.S. consumer outlays supported 2.5 million jobs in retail alone in 2023
Directional30Total PCE for 2023 was revised upward by $100 billion from initial estimates
Single sourceAggregate Spending Levels Interpretation
While we managed to power the entire economic engine by spending nearly 70% of our national output, our personal saving rate suggests we’re fueling that engine by running on fumes.
Behavioral and Demographic Insights
144% of U.S. consumers live paycheck to paycheck in 2023
Verified262% of Americans feel financially stressed due to inflation in 2023 surveys
Verified3Impulse buying occurs weekly for 48% of shoppers in 2023
Verified471% of consumers prefer brands with sustainable practices in 2023
Directional5Black Friday shoppers spent average $311 online in 2023
Single source656% of Gen Z prioritize experiences over possessions in spending
Verified7Average American checks phone 144 times daily, influencing 30% of purchases
Verified867% of consumers influenced by social media in buying decisions 2023
Verified9Holiday spending averaged $902 per person in 2023, up 8%
Directional1041% of shoppers use coupons or discounts regularly in 2023
Single sourceBehavioral and Demographic Insights Interpretation
Nearly half the country is anxiously scrolling for coupons between paychecks, yet we still find the energy to impulse-buy the sustainable brands we saw on our phones 144 times a day, proving we're perfectly capable of stressing about money, spending money, and wanting to save the planet all in the same tap.
Consumer Credit and Debt
1U.S. household debt reached $17.5 trillion in Q4 2023
Verified2Credit card debt hit $1.13 trillion in Q4 2023, up 8.4% YoY
Verified3Student loan debt totaled $1.60 trillion in Q4 2023
Verified4Mortgage debt outstanding was $12.25 trillion in Q4 2023
Directional5Auto loan debt reached $1.61 trillion in Q4 2023, up 3.3% YoY
Single source6Household debt service payments as % of disposable income was 9.9% in Q4 2023
Verified7Delinquency rate on credit cards rose to 3.18% in Q4 2023
Verified8Mortgage delinquency rate was 0.62% in Q4 2023
Verified9Auto loan delinquency rate hit 1.64% in Q4 2023
Directional10Total revolving credit grew 7.5% to $1.15 trillion in 2023
Single source11Nonrevolving consumer credit increased 3.1% in 2023
Verified12Credit card balances per borrower averaged $6,501 in Q4 2023
Verified13Average credit card interest rate reached 21.47% in Q1 2024
Verified14U.S. consumer credit outstanding grew $68 billion in December 2023
Directional15Student loan delinquency rate was 7.72% 90+ days past due in Q4 2023
Single source16Household financial obligations ratio was 13.2% in Q4 2023
Verified17Total consumer debt payments hit $1.7 trillion annualized in 2023
Verified18Credit utilization rate averaged 46% in Q4 2023
Verified19Subprime auto loan originations rose 5% in 2023
Directional20Personal bankruptcy filings totaled 418,000 in 2023, down 10% YoY
Single source21Average American household carries $103,358 in debt in 2023
Verified22Millennials hold 40% of total U.S. consumer debt at $6.8 trillion
Verified23Gen Z credit card debt averaged $3,248 per borrower in 2023
Verified24Debt-to-income ratio for U.S. households was 11.3% in Q4 2023
Directional25Buy now, pay later debt reached $45 billion in 2023
Single source2678 million Americans used BNPL services 4.3 times on average in 2023
VerifiedConsumer Credit and Debt Interpretation
The American dream now comes with a staggering $17.5 trillion price tag, a mountain of debt where even our optimism is bought on credit with a 21% APR.
Retail and E-commerce Trends
1U.S. retail sales for motor vehicles and parts dealers were $1.47 trillion in 2023
Verified2Food services and drinking places sales hit $943 billion in 2023
Verified3General merchandise stores generated $852 billion in sales in 2023
Verified4Grocery stores sales totaled $1.02 trillion in 2023
Directional5E-commerce sales reached $1.1 trillion in 2023, 15.3% of total retail
Single source6Nonstore retailers sales grew 7.5% to $1.18 trillion in 2023
Verified7Building material and garden equipment sales were $570 billion in 2023
Verified8Gasoline stations sales amounted to $654 billion in 2023
Verified9Health and personal care stores generated $373 billion in 2023
Directional10Clothing and accessories stores sales hit $296 billion in 2023
Single source11Sporting goods, hobby, book, and music stores sales were $106 billion in 2023
Verified12Electronics and appliance stores sales totaled $76 billion in 2023
Verified13Furniture and home furnishings stores generated $132 billion in 2023
Verified14Online-only retailers saw 8.2% growth in Q4 2023 sales
Directional15Total advance monthly retail sales were $704.4 billion in March 2024
Single source16E-commerce penetration rate reached 15.6% of total retail trade in 2023
Verified17Department stores sales declined 8.1% in 2023 to $85 billion
Verified18Warehouse clubs and supercenters sales hit $462 billion in 2023
Verified19Pharmacies and drug retailers generated $566 billion in 2023
Directional20Total retail trade sales increased 3.3% nominally in 2023 over 2022
Single source21Mobile commerce accounted for 50% of e-commerce sales in 2023
Verified22Black Friday 2023 online sales reached $9.8 billion, up 8.1%
Verified23Cyber Monday 2023 e-commerce sales hit $13.3 billion record
Verified24Amazon captured 37.6% of U.S. e-commerce market in 2023
Directional25Walmart e-commerce sales grew 21% to $100 billion in FY2023
Single sourceRetail and E-commerce Trends Interpretation
While Americans dutifully fueled their bodies ($1.02T on groceries) and social lives ($943B at restaurants), their true devotion was to fueling their cars ($1.47T) and their Amazon carts ($1.1T online), proving the national pastime is a three-car garage filled with delivery boxes.
Spending by Category
1In 2022, average annual expenditures per consumer unit were $72,967, up 9.4% from 2021
Verified2Housing accounted for 32.9% of consumer unit expenditures at $24,000 annually in 2022
Verified3Transportation spending averaged $12,295 per consumer unit in 2022, 16.8% of total
Verified4Food expenditures totaled $8,632 per household in 2022, up 11.4% from prior year
Directional5Healthcare spending reached $5,888 per consumer unit in 2022, 8.1% share
Single source6Entertainment spending was $3,312 annually per household in 2022
Verified7Apparel and services cost $1,945 per consumer unit in 2022, down 2.1% adjusted
Verified8Personal insurance and pensions averaged $10,081 per household in 2022, 13.8%
Verified9Education spending was $1,384 per consumer unit in 2022
Directional10Food at home cost $4,696 per household in 2022, while away from home was $3,936
Single source11Gasoline and motor oil expenditures hit $2,912 per unit in 2022 due to price spikes
Verified12Utilities, fuels, and public services averaged $4,423 annually in 2022
Verified13Alcoholic beverages spending was $576 per consumer unit in 2022
Verified14Tobacco products and smoking supplies cost $350 on average in 2022
Directional15Household furnishings and equipment were $2,212 per unit in 2022
Single source16Personal care products and services averaged $902 in 2022
Verified17Reading materials spending was $134 per household in 2022
Verified18Cash contributions totaled $2,831 per consumer unit in 2022
Verified19Personal interest payments were $1,003 annually in 2022
Directional20Vehicle purchases averaged $10,000 per owner household in 2022
Single source21Owned dwellings shelter costs were $16,332 per unit in 2022
Verified22Rented dwellings averaged $15,696 annually in 2022
Verified23Fees and admissions for entertainment cost $747 in 2022
Verified24Televisions and related equipment spending was $414 per unit in 2022
Directional25Pet purchases and care totaled $1,607 in 2022
Single sourceSpending by Category Interpretation
We've reached a point where the average American household, while trying to navigate the new cost of just putting a roof over their head and gas in the tank, still managed to spend more on their pets than on their own books, booze, and cigarettes combined.
Sources & References
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