Boxing Day cash splash to wrap up festive season

Retailers across the country are bracing themselves for the biggest event of the year as shoppers are predicted to splurge $3 billion nationwide on the Boxing Day sales.

The National Retail Association has forecast the record spend as consumers continue to help drive the economy in the face of cost-of-living challenges this festive season.

Interim CEO Lindsay Carroll said the cash splash is welcomed by many small businesses who are relying on the sales event to carry them through the start of 2023.

“Boxing Day is the last sales event on the retail calendar and consumers will be out seeking bargains, discounts and loyalty rewards in one last hurrah before inflation causes them to tighten their budgets.

“Retail is preparing for a slow spending period in the first half of next year. Although spending has remained resilient throughout 2022, thanks to low unemployment and the pandemic savings buffer, escalating costs, power prices and interest rates will catch up with consumers in the new year.

“We’re hoping the spending momentum from the festive period will provide enough relief for smaller retailers to trade as normal until inflation is brought back under control.”

Ms Carroll said despite the growing popularity of Black Friday and Cyber Monday sales, Boxing Day remains the signature sales event for Aussie consumers.

“According to our Consumer Sentiment Report, 49 per cent of shoppers either intend to spend or may spend at the event, compared to 45 per cent for the Black Friday event.

“Ecommerce has certainly grown in popularity too, however 50 per cent of consumers still prefer to shop in-store and want the in-store consumer experience.

“However, we’re seeing some crossover with online shopping influencing the way people shop in-store. Consumers are researching their purchases online and then showing up to stores prepared knowing what they want to buy and how much they’re willing to pay.”

With crowds expected to be large and retailers run off their feet, Ms Carroll has urged the public to shop respectfully.

“This is the busiest time of year for retailers and they will be operating at full capacity, so please keep the Christmas spirit in mind and treat workers and fellow shoppers with patience and kindness.”

The National Retail Association is the voice of modern retail, representing more than 60,000 stores across Australia.  It has been serving businesses in the retail and fast-food sectors for close to 100 years.

For more information please contact the NRA’s media unit at marketing@nra.net.au