Stimulus Check News: 7 Most Common Purchases Americans Are Making With Their Payments

With the third round of stimulus check going out to 159 million Americans as of April 14, consumers are already spending those $1,400 payments as they look for the U.S. to reach a sense of normalcy and the pandemic to come to an end.

Helping to drive consumer confidence is the more than 84.2 million people who have been fully vaccinated against COVID-19, according to the Centers for Disease Control and Prevention, accounting for over 25% of the U.S. population.

Retail sales increased by 9.8% in March as stimulus payments started to hit bank accounts, according to the Department of Commerce as reported by CNBC, signaling that consumers are ready to move past the pandemic and get back to life as usual with plans in place for the summer. That mindset was indicated by the items they purchased.

Sporting goods store saw a significant increase in March, jumping 23.5% as consumers stocked up on outdoor and exercise gear. Clothing stores also saw a sharp increase of 18.3% as shoppers focused on overhauling their wardrobe – a sign that they may be ready to leave their homes again.

Here are some of the most popular items that consumers purchased with their stimulus checks.

Skirts, Jumpsuits, And Dresses

One of the most in-demand apparel items this go-around has been skirts, reaching an average monthly sold-out rate of 21% in March compared to 11% earlier in the year, despite discount levels remaining the same, CNBC said.

While skirts were hard for retailers to keep in stock, they weren’t the only apparel item that consumers were shopping for. People were also stocking up on dresses and jumpsuits as they look to get ready for spring and get out of their sweatpants, which have taken over their wardrobe the last year.

Elizabeth Shobert, StyleSage’s vice president of marketing and digital strategy, told the news outlet that people are “allowing optimism to start coming into their decisions.” They are buying clothes for an upcoming vacation or going to a restaurant with friends.”

Jeans

Jeans are also making a comeback as Levi Strauss & Co. said that it anticipates consumer demand for jeans and tees to increase as it sees a new denim cycle beginning.

Harmit Singh, chief financial officer of Levi Strauss & Co, said as it released its first-quarter earnings report, “We are banking the outperformance and our outlook going forward has improved based on the strong demand signals we are seeing in the marketplace.”

According to The Wall Street Journal, this denim cycle includes a shift away from skinny jeans and move toward wide-leg, loose-fitting denim.

Champagne

Americans are also ready to pop the bubbly as sales of champagne are up by 103% over the four-week period ending April 3 compared to a year earlier, according to data from NiesenIQ (via CNBC).

Parent of champagne brands Veuve Clicquot and Moet & Chandon, LVMH said it saw its champagne sales rise by 22% in the first three months of this fiscal year compared to a year ago, showing the demand for champagne and celebrations are on the rise.

Shoes

Shoes were also high on the list of consumer purchases as Americans stocked up on footwear.

Beth Goldstein, NPD’s industry analyst for accessories and footwear, told CNBC “While nearly all types of footwear improved compared to 2020 as expected, it was the more casual, comfort, and athletic/athleisure styles that performed best and grew vs. 2019, whereas dressier fashion styles continued to struggle.”

Shaving Kits

Men are gearing up to go back in the public as they look to remove those pandemic-inspired beards and return to a more normal life by investing in shaving kits.

According to the news outlet, high-end shaving kits saw a surge in sales from Feb. 28 to March 28, including products such as beard oils and shaving creams being among the most popular items.

Swimsuits

With many activities looking to take place outdoors to prevent the spread of the coronavirus this summer, Americans are also looking to purchase swimwear.

Sales of apparel item are up at Summersalt, a consumer online swim brand, as CEO and co-founder Lori Coulter told CNBC, “What we’re seeing in 2021 is not only a return to our original growth plan for the month — but that accelerated pace of growth that is attributable just to the consumer’s mood.”

Bills And Savings

Not all consumers are spending their stimulus checks. Some consumers used their stimulus money to get caught up on bills, and some have put some of the money into savings.

The New York Federal Reserve Bank said that households planned to spend about a quarter of their stimulus checks while the rest would be used to pay down debt or put into savings after surveying 1,000 people, according to the Associated Press News.