It’s a clear sign that Australian consumer sentiment is going strong after Boxing Day broke records with an expected $2.3 billion in sales nationwide on Saturday, according to the Australian Retailers Association (ARA).
The biggest shopping day in the calendar year exceeded forecasts of $2.19 billion in sales following $2.072 billion in 2014 and $2 billion going through retail tills in 2013.
While New South Wales banked nearly $750 million in sales, Victoria came out on top as the state with the biggest year on year growth of 5.6 per cent from December 26 to January 15 with around $721 million in sales.
The sales kicked off in David Jones and Myer in Sydney and Melbourne who began trading at 5am with more than 300 shoppers lining up at Myer’s Sydney CBD store before opening.
What an incredible start to the David Jones Clearance! To the overnighters and the early risers, we hope you enjoyed spending the morning with us! If you haven’t done so already, head to your nearest David Jones or visit us online for great savings across the store. #djsclearance #davidjones #boxingdaysales
There were already signs that Australia would enjoy a strong Christmas trading period this year thanks to the low Aussie dollar and with pre-Christmas trade up by 4 per cent on the previous year.
“We anticipate this sales momentum will continue for the next two weeks or more, with the ARA and Roy Morgan Research expecting that Australian consumers will make retail purchases to the tune of $16.8 billion from December 26 to January 15,” said Russell Zimmerman, ARA Executive Director.
Interestingly, much of the success of this year’s sales can also be attributed to a smart marketing move by retailers who have moved away from bargain-hunting to celebrating the spirit of Christmas.
“Economics are only a relatively small predictor of sales,” Cummins & Partners global chief strategy Adam Ferrier told SMH.
“Retailers have become much better at selling the idea of Christmas and they are talking much less about the sales you can get or the bargains and much more about the spirit of Christmas.”
Post-Christmas sales are expected to grow 4 per cent nationwide with $16,781 million up $646 million from 2014.
Here’s a look at what Australians will spend their monday on during the Christmas season.