December sales delight

 

Boxing Day, Myer, Christmas, sales, shoppingThe 2013 Christmas season has brought a gift for retailers, with Australian retail turnover for December growing 5.7 per cent compared to December 2012, according to the Australian Bureau of Statistics (ABS).

It’s the biggest year on year increase seen in up to two years – possibly longer. The last time year to date growth even came close was February 2013 at 4.6 per cent.

Spending for the month came in at $22.6 billion for the month of December, and $40.7 million in the six weeks leading up to Christmas.

On a month by month basis turnover rose 0.5 per cent in December 2013 compared to the previous month of November, following a rise of 0.7 per cent in November 2013.

Unsurprisingly, food retailing saw the biggest growth in turnover at 2.5 per cent, followed by cafes, restaurants and takeaway food services and department stores, with 0.5 per cent and 0.3 per cent increases respectively.

Declines were seen in other retailing of 3.1 per cent; clothing, footwear, and personal accessory retailing, 2.1 per cent; and household goods retailing, 0.2 per cent.

State by state, Tasmania increased its retail sales by the greatest share at 1.8 per cent; followed by the ACT at 1.3 per cent; NSW, 0.9 per cent; Victoria, 0.6 per cent; and Western Australia by a meagre 0.1 per cent.

Falls in retail turnover for December occurred in the Northern Territory, which dropped 1.5 per cent, and South Australia, down 0.2 per cent.

“This result will give many businesses the breathing space they need to survive and grow throughout 2014 – and that’s a great outcome for the overall economy and for local jobs,” National Retail Association (NRA) CEO, Trevor Evans, said.

“Feedback from our members and the industry indicates that this growth is coming in both the traditional retail environment and also in online sales.

“The December growth is also a continuation of the trend now evident since August last year, in which retail sales have grown every month since August.

“Although the growth figures remain modest, it is very positive to see some upward movement after almost six years in the doldrums.

“We are hopeful that this is a trend that will continue and strengthen as we move through 2014,” Evans said.

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