Fiserv: May small business sales, average ticket size increase
Small business sales continued to inch up in May, despite murky consumer sentiment amid incoming tariffs.
Fiserv’s Small Business Index for May 2025 found that sales grew 3.3% year over year while total transactions rose +3.8%. Month-over-month sales (+0.2%) also grew while declining transactions (-2.7%) reflected lower consumer foot traffic. The seasonally-adjusted Index remained flat from April at 151.
"Small businesses continue to show resilience, with May marking another month of year-over-year growth," said Prasanna Dhore, chief data officer Fiserv. "The continued shift toward essential spending is now a defining trend – growing at double the rate of discretionary purchases as consumers are more intentional with their spending.”
Compared to 2024, small business retail sales (+0.9%) grew modestly while transactions (+2.9%) remained positive. Small business restaurant sales grew modestly year over year, increasing 1.8%. On a monthly basis, sales (+0.6%) grew while foot traffic (-5.6%) declined compared to April, with full-service restaurants experiencing the most significant drop.
[READ MORE: Consumer confidence rebounds in May amid increased optimism]
The May average ticket size increased by 2.9% compared to April. For contrast, in the 12 months prior to May, average ticket sizes declined at a modest average rate of -0.3% month over month.
Compared to May 2024, sales of services (+3.9%) outperformed goods (+1.9%), a continuing trend for 2025, according to Fiserv. Growth drivers on a month-over-month basis included the transportation and warehousing sectors. On an annualized basis, manufacturing and professional services showed the most gains.
Compared to April 2025, services (+0.4%) showed modest growth while goods (-0.3%) declined month over month, which Fiserv says highlights the continued consumer preference for experiences and essential services over material purchases amid rising prices.
Compared to April, Fiserv’s small business data showed that sales grew in 30 of 50 states, indicating broad growth across the United States. The most aggressive month over month sales growth was concentrated among smaller states, led by New Mexico (+5.9%), Maryland (+3.2%), and Rhode Island (+3.1%). Year-over-year sales growth was strongest in Washington (+13.3%), South Carolina (+11.3%) and Maryland (+10.1%).
Among major metropolitan areas, San Francisco (+10.0%) and Atlanta (+9.5%) were the strongest-performing large cities for small business sales growth year over year. Month-over-month sales growth was strongest in Dallas (+2.0%) and Chicago (+1.7%), which Fiserv noted indicates healthy momentum in “key urban markets” despite broader consumer caution.
