What: Singapore's retail sales remained flat in May 2025, with computer & telecommunications showing 9.2% growth while fashion declined 5.3%, reflecting shifting consumer priorities.

Why it is important: This performance highlights the ongoing transformation of Singapore's retail landscape, where sector-specific growth patterns and steady online penetration indicate evolving consumer preferences.

Singapore's retail sector demonstrated a flat performance in May 2025, following modest growth in previous months. The total retail sales value reached SG$3.6 billion, with online commerce contributing a significant 14.5% share. The computer and telecommunications equipment sector emerged as the strongest performer with a 9.2% year-on-year increase, while supermarkets and hypermarkets also showed resilience with 7.2% growth. However, traditional retail categories faced challenges, with petrol service stations and wearing apparel & footwear experiencing declines of 9.4% and 5.3% respectively. The food & beverage sector maintained positive momentum with a 1.4% increase, generating SG$1 billion in sales, of which 25.2% came from online channels. This mixed performance across sectors reflects the evolving nature of consumer spending patterns in Singapore's retail landscape.

IADS Notes: Singapore's May 2025 performance aligns with broader retail trends observed throughout the year. In March 2025, the market showed signs of recovery with 0.7% growth, though this was followed by varied sector performance. The current flat growth contrasts with Hong Kong's continued challenges, where March 2025 saw a 3.5% decline despite increased tourism. The steady online penetration rate of 14.5% demonstrates digital commerce's established role in Singapore's retail ecosystem, while Isetan's strategic consolidation in May 2025 from six stores to two reflects the broader transformation of traditional retail formats.

Singapore retail sales flatline in May