[November 13, 2014]

Holiday Shoppers Not Afraid to Buy as Halloween Leads Strong October Spending Growth

This year, holiday shoppers are showing they are not spooked by spending, as a Friday Halloween helped boost spending growth in October. While a weekend of trick-or-treating and Halloween parties helped contribute to the 3.8% spending growth, a healthy uptick from September's growth of 3.1%, early holiday shopping also spurred the increase, according to the monthly SpendTrend® report from First Data Corporation, the global leader in payment technology and services solutions. The First Data SpendTrend analysis looked at the period Oct. 1 through 31, 2014, compared to Oct. 2 through Nov. 1, 2013. SpendTrend tracks same-store point-of-sale data by credit, signature debit, PIN debit, EBT, closed-loop prepaid cards and checks from nearly four million merchant locations serviced by First Data in the U.S.

The Leisure category saw a strong increase from September, with growth of 4.6%, driven by strong recreational activities and amusement park sales. Late-season amusement park Halloween events likely drove that increase. Spending growth at Food & Beverages Stores and Food Services and Drinking Places was 4.9% and 6.3%, respectively.

Spending growth for all card types (credit, PIN and SIG debit) experienced a healthy increase in October. Dollar volume growth of 5.5% on credit outperformed both SIG and PIN debit growth of 2.1% and 2.5%, respectively. The growth in credit was supported by strong showings in categories such as Hotels, where credit is the preferred spending method. The growth in PIN and SIG debit was driven by stronger spending in categories such as Food & Beverage Stores and Food Services and Drinking Places.

From a regional perspective, dollar volume growth was strong across the U.S., with the exception of the Mid-Atlantic region. The Southwest region saw spending growth of 5.4%, an impressive gain from September's growth of 3.0%. The Midwest also enjoyed healthy spending growth at 4.7% as the pace of employment and new home sales have improved in this region.

October's average ticket growth remained positive at 0.7%, but slipped slightly again vs. September's growth of 1.0%. Overall average ticket in October remained moderate due to the drop in gasoline prices and retailers slashing prices ahead of the holidays.

"We're off and running with a strong start to the holiday shopping season as this year, consumers are showing confidence in their early spending," said Krish Mantripragada, SVP, Information and Analytics Solutions, First Data. "This confidence, which is buoyed by a lower unemployment rate, made October, 2014 a robust spending month."

Processing more than 59 billion transactions globally in 2013, First Data has long been a data powerhouse with the ability to help its clients use transaction data to prevent fraud, identify spending patterns and create loyalty programs.

To view infographics showing October SpendTrend data, visit:

http://www.firstdata.com/spendtrend/201410/spendtrend-data-201410.png

For more information on First Data SpendTrend, visit www.spendtrend.com or call SpendTrend Customer Care at 800-430-0169.

To participate in the SpendTrend conversation, please follow First Data at http://twitter.com/spendtrend.

About First Data

First Data is a global technology leader in the financial services industry. With 24,000 employee-owners and operations in 35 countries, the company provides secure and innovative payment technology and services to more than six million merchants and financial institutions around the world, from small businesses to the world's largest corporations. Today, businesses in nearly 70 countries trust First Data to secure and process more than 2,000 financial transactions per second, totaling $1.8 trillion a year. First Data's unparalleled infrastructure and partnerships go "beyond the transaction" with next-generation point-of-sale technology fueled by powerful analytics to detect fraud, gain insights into consumer spending, and strengthen customer loyalty. All day, every day, First Data helps its clients thrive in the evolving world of commerce.

First Data Spend Trend, a macro-economic indicator, is based on aggregate same-store sales activity in the First Data Point-of-Sale Network. First Data SpendTrend does not represent First Data's financial performance.

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