Retailers and shoppers are getting into the Christmas spirit early for the first Christmas out of lockdown since the pandemic started.
According to Monash Business School’s Australian Consumer and Retail Studies (ACRS)’s report on Christmas retail trends, 55 per cent of Aussies now start their shopping one or more months in advance, with the remaining 45 per cent starting in the four weeks leading up to Christmas.
The report also found that in comparison to other sales events such as Black Friday and Cyber Monday, Boxing Day remains the top sales event with 37 per cent of shoppers planning to take advantage of the sales this year.
This is higher than the report found last year, with only 30 per cent of shoppers taking part in Boxing Day sales in 2021, says the report’s lead author, Dr Eloise Zoppos.
“On the back of months of cost-of-living increases and interest rate rises, it’s no surprise that more shoppers are going to shop at sales events this year compared to 2021,” she says.
“Christmas may be starting earlier than ever, but these sales keep the Christmas spirit going.”
Due to ongoing production delays, the early start to Christmas shopping is helped in part from retailers stocking earlier than usual to avoid selling out.
The top 10 gift categories for 2022 include gift cards, toys, small inexpensive gifts & novelties, homewares, kitchenware and furniture.
ARA CEO, Paul Zahra, adds that retailers have a lot to feel confident about this year, despite the economic headwinds.
“We are likely to see the robust spending continue for Aussie retail,” he says.
“This is encouraging news given the economic circumstances—most discretionary retailers make up to two thirds of their profit during this critical trading period. Many small businesses remain in recovery mode and have seen massive increases to their cost of doing business over the past two years. This forecast spending boost will help boost their dwindling cash reserves.”
Although sentiment for buying gifts this year is strong, research suggests that shoppers are planning to purchase fewer products in every category this year. This aligns with the recent Spotlight on Sustainability research indicating Australian consumers are reducing overall products purchased.
