• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia

Trendingnow

1

Elon Musk on MacKenzie Scott giving away $26 billion of her fortune: 'Sadly,' it makes the world a worse place

2

MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year

3

Philanthropy leader at Warren Buffett and Bill Gates’ Giving Pledge says children of billionaires are pushing them to give their wealth away faster

1

Elon Musk on MacKenzie Scott giving away $26 billion of her fortune: 'Sadly,' it makes the world a worse place

2

MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year

3

Philanthropy leader at Warren Buffett and Bill Gates’ Giving Pledge says children of billionaires are pushing them to give their wealth away faster
RetailCoronavirus

Retail sales plunge a record 16.4% in April—the worst drop in history

Phil Wahba
By
Phil Wahba
Phil Wahba
Senior Writer
Down Arrow Button Icon
Phil Wahba
By
Phil Wahba
Phil Wahba
Senior Writer
Down Arrow Button Icon
May 15, 2020, 11:15 AM ET
Add Fortune on Google for similar content.

April 2020 was one for the record books for U.S. retailers. And not in a good way.

Hampered by massive store closings, economic uncertainty, and soaring unemployment as the coronavirus idled huge swaths of the U.S. economy, retail spending fell a record 16.4% in April from March, the Commerce Department reported on Friday.

Hit particularly hard were clothing stores, where business was down 78% compared with March (and 89% compared with April 2019). Other big losers last month were electronics and appliances (-60.6%), furniture and home furnishings (-58.7%), sporting goods (-38%), and bars and restaurants (-29.5%).

On a more positive note, online sales rose 21.6%, though that is only a few percentage points higher than e-commerce had been growing in the past year, suggesting that the digital boom is not doing all that much to mitigate the pain of in-store sales declines. Grocery sales were also down compared with March, as panic buying slowed, yet they were up compared with April 2019, as people have stayed home and cooked more since restaurants last month were largely dark across the country.

The results suggest who some of the big winners and losers will be in the first quarter, as the major U.S. retailers start to report quarterly results next week.

The decline in apparel sales, which followed big drops in the second half of March, promises to be punishing for companies like Gap Inc., Kohl’s, Nordstrom, and Macy’s, but they have strong e-commerce firepower to mitigate some of that with curbside pickup. They get more than 25% of sales online. Neiman Marcus and J.Crew recently filed for Chapter 11 bankruptcy, while J.C. Penney is reportedly considering making the same move.

The drop in some previously strong categories, notably electronics and home furnishings, where sales were up early in the pandemic as people prepared their homes and offices for a long period of work from home, reflects the restrictions some retailers have placed on how many shoppers can come in at a time. Best Buy, for one, has just recently allowed people to come into stores again, but only if they have an appointment.

Even the biggest retail winners in this pandemic—Walmart, Target, and Costco Wholesale at the top of that list—are seeing a slowdown as they, too, have to limit traffic inside stores and as sales of essentials begin to return to normal, even as demand for discretionary items remains weak. Target, for instance, said last month that e-commerce had nearly quadrupled in April, while in-store sales were down by a mid-teens percentage.

While April is likely to be the worst of it, as stores and malls around the country start to reopen gradually, retailers are in for a lot more pain this year.

“The pace of opening is slow, and many shoppers remain in financial distress. As such, May will not be a month of celebration. Nor will June. Nor July. Nor probably the rest of this year,” said Neil Saunders, managing director of GlobalData Retail.

About the Author
Phil Wahba
By Phil WahbaSenior Writer
LinkedIn iconTwitter icon

Phil Wahba is a senior writer at Fortune primarily focused on leadership coverage, with a prior focus on retail.

See full bioRight Arrow Button Icon
Add Fortune on Google for similar content.

Latest in Retail

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • World's Most Admired Companies
  • See All Rankings
  • Lists Calendar
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in Retail

Stripe CEO Patrick Collison gestures with his hands as he speaks into a microphone before a congressional committee hearing.
Cryptostablecoins
Stripe, Visa and over 140 other businesses to launch stablecoin to rival Tether and Circle
By Camila Grigera NaónJune 30, 2026
4 hours ago
Should you go to work during a heat wave? Your productivity suffers, and GDP tanks when it’s hot
Environmentclimate change
Should you go to work during a heat wave? Your productivity suffers, and GDP tanks when it’s hot
By Catherina GioinoJune 30, 2026
15 hours ago
Target worker stocks shelves
SuccessJobs
Target is starting to track employees’ unexcused lateness and absences with a points system—and if they rack up 12, they’re fired
By Emma BurleighJune 29, 2026
1 day ago
a
Commentary250 Years of Innovation
Atomic Industries CEO: America spent 60 years retreating from manufacturing. The next 100 are about building it back
By Aaron SlodovJune 29, 2026
1 day ago
green
RetailWorld Cup
France wearing green for the Statue of Liberty: inside the unusual interpretation of ‘national pride’ that makes World Cup jerseys
By Claire Rush and The Associated PressJune 28, 2026
2 days ago
Peter Rahal speaks on stage in front of a black and purple background.
RetailFood and drink
David Protein CEO says ‘diet trends are over’ because of GLP-1s: ‘What’s next is really hard to predict’
By Sasha RogelbergJune 28, 2026
2 days ago

Most Popular

Elon Musk on MacKenzie Scott giving away $26 billion of her fortune: 'Sadly,' it makes the world a worse place
Success
Elon Musk on MacKenzie Scott giving away $26 billion of her fortune: 'Sadly,' it makes the world a worse place
By Sydney LakeJune 29, 2026
1 day ago
MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year
Success
MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year
By Sydney LakeJune 25, 2026
6 days ago
Philanthropy leader at Warren Buffett and Bill Gates’ Giving Pledge says children of billionaires are pushing them to give their wealth away faster
Success
Philanthropy leader at Warren Buffett and Bill Gates’ Giving Pledge says children of billionaires are pushing them to give their wealth away faster
By Preston ForeJune 27, 2026
3 days ago
'Humanity has chosen to become idiots': This Brown professor switched to take-home exams after a mass shooting and discovered mass cheating
AI
'Humanity has chosen to become idiots': This Brown professor switched to take-home exams after a mass shooting and discovered mass cheating
By Catherina GioinoJune 29, 2026
23 hours ago
The retired college professor fighting a $313 trespassing ticket in Wisconsin thinks he's part of a national struggle
Environment
The retired college professor fighting a $313 trespassing ticket in Wisconsin thinks he's part of a national struggle
By Catherina GioinoJune 28, 2026
3 days ago
Current price of oil as of June 29, 2026
Personal Finance
Current price of oil as of June 29, 2026
By Joseph HostetlerJune 29, 2026
1 day ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.