ARA survey predicts Aussies to spend billions during EOFY sales season

In great news for small business owners in the retail sector, Australians are set to spend $8.8 billion during the mid-year sales season, according to a snap survey from the Australian Retailers Association and Roy Morgan.

The survey found over six million Aussies are expected to hit the stores and online retailers during the end of financial year sales. Each one is set to spend on average $1420. When it comes to the sexes, women are planning to be more frugal than men. According to the forecast, men are expected to spend on average $1,778 compared to $958 for women.

Of the $8.8 billion that’s forecast to be spent, $3.2 billion will be spent by consumers in NSW, $1.9 billion from Victorians and $1.7 billion from Queenslanders.

In good news for the economy, eight out of ten consumers (83 per cent) say they plan to spend more than they did last year. Of these, more than half (52 per cent) will be spending online.

CBD businesses to benefit from sales boom

ARA CEO Paul Zahra suggests the survey findings are great news for the nation’s CBD businesses who have been impacted by the lack of foot traffic as Aussies continue to work from home.

“Foot traffic remains well below pre-pandemic levels in our capital cities due to flexible working while tourist numbers will take years to bounce back.”

Zahra encouraged Australians to make a day of it and head into the city to experience the sales.

“Coming into the city and having the full shopping and dining experience will go a long way to boosting the recovery efforts of those businesses.”

The news comes off the back of data released from the Australian Bureau of Statistics (ABS) which suggests an uptick in spending from Aussie consumers.. Retail spending increased by 0.9 per cent from the previous month, and 9.6 per cent from April of 2021.

Aussie business owners taking advantage of tax write-offs

Zahra suggests that mid-year sales are a great opportunity for business owners and consumers to pick up a bargain.

“With tax time around the corner, savvy consumers will also be on the lookout for work related products which they can then claim from July 1, so we expect products like computers, phones and tablets to be popular purchases.

“Expect to see prices slashed on a range of items from fashion, shoes and accessories to electronics, bedding and homewares as retailers make room for their new season lines to start the next financial year,” Zahra said.

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