CHARLESTON, S.C. — Shoppers who spent heavily at online retailers over the holiday season will cut back spending early this year while they pay those bills, according to a forecast released Tuesday by America’s Research Group here.
The projected “retail hangover” will be fueled by increased credit-card debt that came along with the surge in Internet spending, according to Britt Beamer, ARG chairman.
Surveys by ARG indicated that 43.8% of shoppers exceeded their spending plans and one-third of shoppers used credit cards — up from 16% last year.
“Now that those credit card bills are hitting mailboxes shoppers will cut back in a very significant way relative to January and February of the last few years,” Beamer said in a statement.
