New data from financial services and payments provider Fiserv reveals that small business sales growth experienced a slowdown in June as consumers exhibited caution in their spending habits. This shift in consumer behavior can be attributed to various factors, including high prices on groceries and other essentials, as well as elevated interest rates impacting consumers' purchasing power.
The latest report from the Commerce Department indicates that sales for retailers of all sizes remained stagnant in June compared to May. The seasonally adjusted Fiserv Small Business Index, which assesses small business performance, declined to 140 in June from 144 in May. Month-over-month sales at small businesses saw a 2.9% decrease from May, with transactions also dropping by 1.5%. However, both sales and transactions showed improvement compared to the same period in 2023.
