1. Visa's holiday retail spending monitor shows 4.4% year-over-year growth. 2. 88% of spending was in-store; 12% online reflects strong consumer preferences. 3. Clothing and accessories led sales with a 10% increase year-over-year. 4. AI is enhancing consumer shopping experiences and decision-making. 5. Global spending also increased across U.S., U.K., and Australia.
FAQ
Why Bullish?
The growth in retail spending positively reflects consumer confidence, benefiting Visa's transaction volume.
How important is it?
The article highlights positive trends in retail spending, which directly impacts Visa's transaction fees.
Why Short Term?
Immediate holiday spending trends can influence Visa's quarterly results and investor sentiment.
Visa Analysis: Canada Holiday Spending Rises 4.4%
TORONTO, Dec. 23, 2025 (GLOBE NEWSWIRE) — Visa (NYSE: V), a leader in digital payments, today announced its annual Retail Spend Monitor, providing a detailed insight into Canada’s holiday retail activities. According to preliminary data released by Visa Consulting & Analytics (VCA), total retail spending during the holiday season has increased by 4.4% year over year, encompassing all payment methods including cash and checks, without adjustment for inflation.
Key Findings from the VCA Retail Spend Monitor
As Canadians embraced various shopping options, this season’s findings highlight several important trends:
- In-store Dominance: A significant 88% of holiday payment volume occurred in physical retail outlets, with the remaining 12% attributed to online sales.
- E-commerce Growth: Online retail spending increased by 7% compared to the previous year, spurred by extended promotional offers and enhanced shopping convenience.
- Global Spending Trends: Canada’s increase in holiday spending mirrors trends in other regions, with the U.S. up 4.2%, the U.K. at 3.6%, and Australia growing by 5.0%, indicating robust consumer purchasing power globally.
Seasonal Spending Snapshot by Category
Among retail categories, clothing and accessory sales showed remarkable growth:
- Clothing and Accessories: Experienced a 10% uplift, surpassing last year's growth rate of 5.3%. This segment is the fastest growing in Canada.
- General Merchandise: Saw a 9% increase, up from 2% last year, reflecting consumer demand for one-stop shopping solutions.
- Health and Personal Care: Increased by 5.4%, compared to 3.5% from the previous year, showcasing a steady interest in these essential products.
The Role of Visa Consulting & Analytics
The VCA Retail Spend Monitor examines retail sales data collected over a seven-week period starting November 1. It utilizes a selection of Visa payments network data specific to Canada, complemented by survey-based estimates for other payment types. Lacy Lauks, Head of Visa Consulting and Analytics at Visa Canada, emphasized, "VCA empowers Canadian businesses to stay ahead of the curve by transforming emerging trends into actionable, data-driven strategies." This report equips retailers with insights necessary to adapt in an evolving marketplace.
Visa's Commitment to Innovation
Visa (NYSE: V) is at the forefront of digital payments, facilitating transactions across over 200 countries and territories. The expertise of Visa’s global network—which includes thousands of consultants and data scientists—enables businesses to leverage the potential of data, having delivered approximately $6.5 billion in incremental revenue last year through nearly 4,500 consulting engagements.
For more information about how Visa Consulting & Analytics can help businesses utilize data for strategic decision-making, visit Visa.com.
Conclusion
The findings from Visa demonstrate a resilient Canadian retail landscape with strong growth across multiple categories. The investments in seamless shopping experiences, both online and offline, along with the influence of artificial intelligence, have contributed to more informed consumer behaviors this holiday season.