Christmas spending predictions


Christmas, present, shopping, giftChristmas spending projections, including gifts, food, liquor, and dining, released by the Australian National Retailers’ Association (ANRA) show the four weeks before Christmas is the busiest of periods for retail businesses and a busy time for shoppers.

“Nationally more than $32.6 billion in total sales is expected for the four weeks, with the average family expected to spend $4,154,” said Anna McPhee, CEO of ANRA.

“The ANRA Christmas spending projections suggest the retail sector is in a slightly stronger position compared to last year and is on target to contribute around four per cent to Australia’s GDP.

ANRA surveyed shoppers on Christmas shopping intent and a majority of shoppers will start their Christmas shopping this week and will go right up to Christmas Eve.

“The first week of the Christmas retail period we are projecting total sales of around $6.71 billion. With the bulk of that spending in Australian bricks and mortar shops, cafes, and restaurants (around $5.3 billion).

“Shoppers using the internet traditionally go online early to ensure gifts are delivered in time for wrapping and placing under the Christmas tree,” McPhee said.

Projections for week one suggest $570 million will be spent with a click on international sites and $840 million with Australian online retailers.

“Christmas spending is expected to build week on week and extended trading hours are important for retailers to be able to meet customer expectation and demands during this busy time,” McPhee said.

Source: ANRA

A National Retail Association (NRA) analysis predicts Australians will spend more than $43 billion in the pre-Christmas trading period – up five per cent from $40.7 billion in 2013.

Trevor Evans, CEO of NRA, said retailers will benefit this Christmas by embracing online shopping, a booming trend which has been a thorn in their side in the past.

While online shopping accounts for more than six per cent of total sales, about half of that is going to Australian retailers, he said.

“We’re very careful to make sure this is never seen as some sort of competition or war between online and traditional bricks and mortar sales,” Evans said.

“Australian retailers generally don’t resent consumers going online, but our preference obviously is that Aussies shop in the online stores of great Aussie retailers and, pleasingly, that’s what we’re seeing.”

The pre-Christmas trade period encompasses the last two weeks of November and December through to Christmas Eve. 

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