- Fiserv Small Business Index rises one point to 149
- Small business sales grew +3.6% year over year and +1.0% month over month
Fiserv, Inc. (NYSE: FI), a leading global provider of payments and financial services technology, has published the Fiserv Small Business Index for July 2025, with the seasonally-adjusted Index rising 1 point to 149.
Year-over-year sales (+3.6%) and transactions (+3.0%) remained strong, signaling the continued resilience of consumer spending. Average ticket sizes (+0.7%) also grew compared to 2024.
Month-over-month sales (+1.0%) grew, reversing a three-month trend of softening consumer spend. Average tickets (+0.9%) rose compared to June, while foot traffic (+0.1%) remained relatively flat.
“July brought modest monthly sales growth for small businesses, but those gains were largely driven by higher average tickets, likely resulting from continued inflationary pressure,” said Prasanna Dhore, Chief Data Officer, Fiserv. “Economic pressures continue shifting spending patterns as well. Consumers are spending more on essentials, while discretionary is growing at a much slower pace.”
Key Takeaways
- Consumer Spending Increased over June, But Foot Traffic Did Not – July’s month-over-month sales growth (+1.0%) broke a multi-month slump. However, with transaction growth nearly flat (+0.1%), consumers weren’t visiting small businesses more in July, they were just spending more on purchases when they did. For example, retail sales growth (+1.1%) in July 2025 compared to June 2025 was directly attributable to an increase in average ticket size (+1.1%).
- Essentials Outpace Discretionary (Again) – Sales continued to grow significantly across Essentials, rising month-over-month (+1.5%) and year-over-year (+6.1%). Discretionary sales grew, but at a slower pace month-over-month (+0.5%) and year-over-year (+1.1%). This shift comes with higher costs for consumers as average tickets for Essentials are rising significantly month-over-month (+1.4%) and year-over-year (+3.0%).
- Restaurants Reflect Consumer Caution – Restaurant visits dipped for the third straight month (-0.3%), dragging sales down (-0.9%) compared to June. When adjusting for inflation, sales declined (-1.1%) compared to June. As a bellwether for household budget flexibility, declining restaurant sales in July signal consumers continuing to tighten up. Despite the slowdown compared to June, restaurant sales are still growing year over year (+1.8%). Foot traffic has also increased (+2.2%) compared to 2024.
- Ambulatory Health Care and Wholesalers Gain Some Momentum – After a sluggish spring, Ambulatory Health Care (+3.2%), Wholesale Durables (+1.4%), and Wholesale Non-Durables (+2.0%) made solid month-over-month gains.
To access the full Fiserv Small Business Index, visit fiserv.com/FiservSmallBusinessIndex.
