Retailers are hoping shoppers will continue splashing their cash well after Christmas Day as they look for sale bargains.
The Australian Retailers Association and Roy Morgan predict consumers will spend $18.3 billion between the start of the major sales in stores and online on Boxing Day right through to January 15.
Overall sales are expected to rise by more than three per cent, with food and apparel forecast to be particularly strong after Christmas.
“With 2018 drawing to a close, Aussies will be stocking their fridges and purchasing new outfits ahead of the upcoming New Year festivities,”.
As we ease into the summer months, we expect consumers will also be purchasing school uniforms as the kids head back to school,” ARA executive director Russell Zimmerman said on Thursday.
CommSec chief economist Craig James said retail sales had been strong in the lead up to Christmas.
The Commonwealth Bank’s Business Sales Indicator, which tracks credit and debit card spending, showed a 12.7 per cent rise in annual retail sales in November.
“Retailers would be encouraged by recent spending trends in the lead-up to Christmas,” Mr James said.
Meanwhile, a separate survey by comparison website finder.com.au has found that one in four shoppers are using their credit cards this festive season.
Spokeswoman Bessie Hassan said the average shopper was expected to spend $1,325 this festive season.
“If this credit card-dependent group put 75 per cent of their Christmas-specific spend on card, this could amount to over $5 billion added to December’s national credit card spend,” she said.
The average Australian credit card holder spends $4,750 between November and January, according to finder.com.