Retailers to enjoy Xmas cheer as baby boomers splash out

Share

Share

It’s beginning to look a lot like a bumper Christmas for hairdressers, pet stores, cinemas, hardware stores and other retailers, as baby boomers splash out on spending.

Analysis of debit and credit card transactions by National Australia Bank (NAB) and data analytics firm Quantium, showed customers spent $9.5 billion at retailers in the first week of December, which is 3.8 per cent more than the same week last year.

NAB Executive General Manager Consumer Lending, Angus Gilfillan said the data showed a strong December for Australian retailers.

“People are choosing to spend their money on entertainment, health and wellbeing, with retailers in this sector experiencing a 10.1 per cent rise in spending in the first week of the month, compared with last year,” Mr Gilfillan said.

“Pharmacies and hardware stores are also benefiting from a jump in spending, with these sectors seeing 9.5 per cent and 8.3 per cent increases respectively.

“We have seen business conditions for retailers improve over the course of 2015 and December looks like it will be the icing on the cake.”

Quantium Executive Director Tony Davis said baby boomers are proving to have the deepest pockets at this time of the year.

“Australian consumers aged over 65 spent 5 per cent more in the first week of December than at the same time last year,” Mr Davis said.

“This is a bigger jump in spending than the 4 per cent for 45-64 year-olds, the 3.2 per cent for 25-44 year olds and the 3.9 per cent for those under 25.”

 

Spending in the lead up to Christmas*

Total Spending

This Year: $9.5 billion

Last Year: $9.1 billion

Change: 3.8%**

* Week ending 6 December 2015, versus the week ending 7 December 2014
** Cash-adjusted basis

 

Spending by category***

Category: Change

Entertainment, Health and Wellbeing: 10.1%

Pharmacy: 9.5%

Hardware: 8.3%

Liquor Retailing: 6.5%

General Retail: 4.9%

Electronics: 3.7%

Fashion: 3.5%

Other Food Retailing: 2.9%

Supermarkets: 1.8%

Travel: 1.6%

Discount department stores & department stores: 1%

Charitable Organisations: -0.7%

Fuel Retailing: -3.7%

*** Categories based on Australian Bureau of Statistics reporting

 

Spending by age group

Age group:  Change

Over 65 years: 5%

45 – 64 years: 4%

25 – 44 years: 3.2%

Under 25: 3.9 %

Announcements

SEE ALL TOPICS

Related Articles

  • Media Release

Response to FSU work hours survey

NAB Group Executive Susan Ferrier letter to employees following FSU work hours survey.

  • 07.12.2021
  • Time to read 1 min read
  • Full Year Results

NAB 2021 Full Year Results

NAB Group Chief Executive Officer Ross McEwan today released NAB’s 2021 Full Year Results and Annual Review.

  • 09.11.2021
  • Time to read 1 min read
  • Announcements

Port of Newcastle Hydrogen Hub

  • 08.11.2021
  • Time to read 1 min read

Quick links

National Australia Bank — NAB

Sometimes When The Unexpected Happens, We Realise What We Truly Value. Whether A Home, Farm, Business Or Your Passion, NAB Is Here To Support You.

Business Research and Insights

For more business news and analysis, visit NAB’s Business Research and Insights.