As the country’s economy continues to improve from the recession, American consumers are slowly regaining their confidence in national conditions as well as their own financial situations. However, many people are still cautious about spending too much, as was recently seen during the 2012 holiday shopping season.

According to a study by Bankrate.com, just over one-quarter of consumers (28 percent) said they spent less than they expected throughout November and December, while just sixteen percent stated they purchased more than they had planned for. Although there are still levels of cautiousness that remain, the research revealed that Americans are feeling better about their job security, savings and personal financial situations. These factors could certainly be felt in increased retail sales in 2013.

Overall retail sales during the holiday season were not particularly disappointing, but economists had hoped for higher totals. The Associated Press reports that research from the National Retail Federation found that holiday sales in 2012 increased by 3 percent from the previous year. Analysts had forecasted a boost of 4 percent. While consumers held back on their spending, conditions are expected to improve in 2013, as confidence returns.

As the economy continues to improve, there have been strong signs of the recovery, including increased confidence among merchants and consumers within the retail industry.However, there have alsobeen some recent conflicting reports that are paintingvery different pictures of the sector and how it will fare in the coming months.

The Deloitte Consumer Spending Index decreased for the month of December, coming to a reading of 3.81. In November, the index stood at 3.96, but was a decline for the first time in a year. The indexanalyzes four factors – tax burden, first-time unemployment claims, real home prices and real wages – as indications of how consumers will be spending their money in the coming months.

On the other hand, U.S. retail sales increased in December, according to NBC News. Statistics from the Commerce Department showed that the figure jumped 0.5 percent from the previous month, meaning that consumers are increasingly becoming confident in the economy and their finances, despite the fiscal cliff negotiations that took place at the end of 2012.

For retailers specializing in toys, consumer electronics and jewelry, there is good news. American shoppers boosted their spending for these items during the last quarter of 2012, and analysts expect more increases to come this year.

According to the recently released Chase Freedom Lifestyle Index, which researched Chase cardholders’ activity, the purchase of toy products in the fourth quarter jumped by 81 percent from the third quarter of 2012. For consumer electronics, this figure rose 65 percent. As for jewelry, consumers increased their spending on these items by 49 percent from the previous quarter. These types of merchandise are popular throughout the holiday season, which is why they saw such significant increases, Chase states.

However, these were not the only items that were sought after during 2012’s fourth quarter. The research also revealed that books, clothing and accessories and sporting goods were in demand at the end of the year. Several retail categories that saw the least improvement in spending, including restaurants, travel and leisure expenses.

“Our cardholders give us a reason to be optimistic about the economy,” said Phil Christian, general manager of Chase Freedom. “It is clear that they did not shy away from holiday spending.”

It’s good news for the American economy – retail sales throughout December rose, despite the fiscal cliff negotiations that took place in Washington, D.C. during the final weeks of 2012. This element, along with the ongoing economic recovery,created concerns among the nation’s retailers. However, the latest sales figures are actually better than was forecasted.

Bloomberg reports that according to the most recent totals from the Commerce Department, retail sales increased 0.5 percent in December from the month prior, representing the biggest gain in three months. In November, sales rose 0.4 percent after being revised upward. As for the first few months of 2013, analysts expect retail spending to still be strong, but American consumers will continue to be cautious as higher payroll taxes take effect and individuals are left with less disposable income, the source notes.

Holiday retail sales provided a lift for the increasedsales totals for December. The Associated Press reports that research from the National Retail Federation found that during November and December, consumers spent an approximate $579.8 billion on products and services for the gift giving season. This is a 3 percent gain from 2011.

It seems as though every few months, there is a new clothing trend that takes hold, as consumers venture out to stock up on products that feature the latest fad. Recent research has revealed that the next style expected to become popular is ‘steampunk’ – a sub-genre of clothing, technology and other accessories that were worn during Victorian society.

According to a study by IBM, which tracked demographics, social media posts and a variety of other elements, the steampunk trend is steadily gaining traction and clothing retailers need to be prepared to accommodate customer who are searching for this style. In 2010, there was a 296 percent year-over-year increase in online discussions about the trend. Younger generations are more interested in the style, as the research revealed that 63 percent of web conversations about steampunk are created by individuals under 30 years old.

The trend is gaining momentum, as Business News Daily reports that at a recent National Retail Federation conference, retail professionals learned all about the steampunk style and how it is set to go mainstream within the industry this year. By carrying merchandise that falls under the category, companies could see boosts in revenue and consumer satisfaction as the trend takes hold and becomes more widespread.

Now that the holiday season is over, retailers around the world are analyzing how well they performed. Before the shopping rush started, there was some concern about how businesses would fare,as economic downturns still loomed over several countries and industry experts forecasted a less-than-stellar season for many companies. However, research has revealed that global retail revenues actually increased over the past year and throughout the recent holiday season, as businesses looked to expand to new markets and consumers regained their confidence and spent more.

Fiscal year 2011 saw vast improvements in revenues
According to a study by Deloitte Touche Tohmatsu Limited and STORES Media, for the fiscal year 2011 – which ended in June 2012 for many retailers – global revenue reached $4 trillion, a year-over-year increase of 5 percent. This growth came amid economic concerns within many countries.

The report states that emerging markets played a big role in the retail revenue boost, especially the Latin American, Asian, Middle Eastern and African regions. Middle class consumers as well as younger customers and foreign investments helped to fuel this trend.

“Growth opportunities for many of the world’s largest retailers continue to be driven by global expansion in an attempt to make up for slow-growing or stagnant domestic markets,” said Ira Kalish, director of global economics at Deloitte Services LP. “Despite a stumbling global economy, consumers continued to spend in 2011, which has served to boost global revenues. This year’s report shows a growing number of retailers in mature markets ramping up their efforts in foreign markets in search of more attractive growth opportunities, employing multiple market entry strategies including franchising, licensing and joint ventures, in addition to owned expansion.”

US holiday retail sales could boost fiscal year 2012
While all of the global retail holiday sales numbers are not yet out, American retailers certainly saw improvement from the past year. This growth could help fuel an even better fiscal year 2012 for businesses. Reuters reports that research from ShopperTrak revealed that retail sales during the holiday season rose 2.5 percent year-over-year, as consumers hit stores and websites in November and December to stock up on products and gifts. In addition, merchants took steps to draw in customers, including offering discounted items and special deals for the season, notes the source.

Retailers across the country were hoping for exceptional holiday sales during the end of 2012, and while their wish was not fully granted, total sales numbers did increase from the same time last year, showing a strong season overall. Consumers spent more as they became more confident in their own financial conditions as well as the nation's economy.

According to a recently released study by ShopperTrak, holiday retail sales increased 2.5 percent from last year's amounts, and foot traffic at brick-and-mortar locations also jumped by 2.5 percent. In total, shoppers spent approximately $248.8 billion throughout November and December. Retailers improved their efforts to draw in consumers by providing deals and incentives and offering the most-wanted holiday products.

"Our data indicates that more people visited more stores this holiday season than the previous year," said ShopperTrak founder Bill Martin. "Retailers who understood their foot traffic were able to staff, stock and market to best serve their customers, ultimately converting more of the browsers into buyers."

Seasonal employees were one aspect that retailers paid attention to this past holiday season, as NBC News cites research from Challenger, Gray & Christmas which revealed that businesses added approximately 728,000 jobs to help with the holiday shopping rush. 

Each new year, there are several trends and best practices that emerge for a variety of industries, and it's certainly no different for the retail sector. With 2013 finally here, there are many aspects that are expected to make a splash for retail operations this year, and merchants that want to stay competitive may want to consider adopting these elements and practices into their operations. These include implementing technological solutions, incorporating customer feedback and targeting additional audiences with products and services. Of course, companies will need to determine which components work best for them and if they are able to offer new incentives for their shoppers.

Mobile devices, self-service options to become big in 2013
A recently released study by JWT Intelligence showcased some of the current and upcoming trends for retailers, based mainly on consumer behaviors and preferences over the past few months. Independent Retailer reports that one of the elements expected to become bigger this year is the emergence of more tablet shopping. Customers who own these devices are starting to use them to browse for and purchase retail products. To accommodate these customers, businesses may want to look at optimizing their websites for the gadgets or developing applications that can be used on tablets for shopping purposes.

In addition, consumers will be looking for self-service options for processes such as checking out and finding items in stores, the research found. These offerings provide greater convenience and faster transactions, and they satisfy shoppers who prefer to visit brick-and-mortar locations quickly to buy predetermined items, the source notes. However, retailers should not forget about the importance of engaging with customers one-on-one when providing self-service channels. Giving individual attention to shoppers and learning about what they are looking for can help to boost satisfaction and retention levels.

2012 trends retailers could implement
Beside incorporating new trends such as the ones listed above, retailers can also revisit the elements that became popular in 2012 and implement those into their operations. There were several components that came to the forefront of retail last year, and some are expected to continue into 2013. Time Magazine states that one of these was the significant increase of ecommerce sales compared to in-store purchases. While consumers are still visiting stores, many are preferring to buy items through the internet, so developing more web shopping options could benefit businesses. 

Before, during and after the 2012 holiday shopping season, retailers were cautiously optimistic about how well they would do, as they felt consumers were hesitant about visiting merchants' stores and websites. However, the first sales figures coming in seem to be positive, as businesses performed well during the last part of the year.

USA Today reports that according to a study conducted by Retail Metrics, retail sales for December increased by 4.8 percent from the previous month. This beat the 3.4 percent rise that was forecasted. While not all retailers saw large gains during the month, there were others that experienced significant boosts in revenues, which resulted in the better-than-expected sales figures.

"A few retailers had a strong month and it really lifted the number up," said Retail Metrics president Ken Perkins. "That final week was stronger than most of us thought it was."

The news source states that retailers could continue to see strong sales throughout January, as people visit stores and websites to redeem the gift cards they were given for the holidays.

When it comes to same-store retail sales, December resulted in a 4.5 percent increase from the previous month, surpassing the 3.3 percent estimate by analysts, Forbes reports. These figures even beat 2011's totals, as December of last year saw a 4.2 percent monthly growth in sales.

The past few months have been difficult for retailers in the United Kingdom, as retail sales have taken a dip, which has had a negative impact on the country' economy. However, many businesses – and consumers for that matter – are hoping that online purchases will help conditions get back on track.

According to research from Capgemini and IMRG, U.K. ecommerce sales for November jumped by 18 percent from the same time last year, Internet Retailers reports. Last month's total online retail sales were also a 25 percent increase from the previous month.

"Eretail continues to be the growth engine of an otherwise struggling retail sector and as online spending exceeds 8 billion pounds in one month, we can see just how integral the online and mobile channels have become to the shopping experience," says Chris Webster, head of retail consulting and technology at Capgemini.

When it comes to the U.K. economy, things are not as positive. Bloomberg reports that for November, total retail sales were flat with October, which saw a 0.7 decrease from the month prior. If consumers keep taking to retail websites, it could spell good news for the nation, but that is still yet to be seen.