Australians will flock to Boxing Day sales this year, with a total of $1.3 billion set to be spent on Boxing Day itself, projected to be up modestly by 1.8% on last year's spending figures, new data from Australian Retailers Association (ARA) and Roy Morgan shows.
For the five days following Christmas, shoppers will continue to make the most of the bargains, spending $3.7 billion across that period, up 2.7% on last year.
Food, household goods and clothing, footwear and accessories categories will make up the bulk of the sales spending, with shoppers historically using this time to buy little luxuries for themselves and their homes.
Throughout Boxing Day week, NSW is expected to lead the charge on spending, with shoppers ready to splash $1.1 billion over five days. Victorians are close behind, with an expected total of $951 million. Forecasts estimate Queenslanders will spend $746 million, South Australians $234 million, Western Australians $410 million, Tasmanians $74 million, Territorians $33 million and shoppers in ACT $69 million.
Australian Retailers Association Chief Industry Affairs Officer Fleur Brown says this spending boost may provide some cautious confidence for retailers heading into the New Year.
"These post-Christmas figures show there remains a healthy appetite from Australians to make the most of Boxing Day sales.
"With the cost-of-living crisis, we've seen more shoppers shift their attention to sales events including the Black Friday and Cyber Monday activities.
"Australians love a bargain and are keen to make their dollars go further in the face of challenging economic conditions. Whilst many Australians used Black Friday to shop earlier than ever for Christmas gifts, the focus for Boxing Day shopping is typically on a gift for self and grabbing some of those household necessities and larger purchase items that have been on the shopping list this year."
National Retail Association interim CEO Lindsay Carroll said retailers are conscious of the strong competition for the retail dollar and are pivoting to meet this focus by offering exceptional value to shoppers.
"This is one of the most competitive years for retail spending and Australians can expect a genuine bargain and some truly significant discounts," she said.
"Whilst many retailers will keep their discounts up their sleeve until the last minute, savvy shoppers will keep a close watch on the websites and social platforms for their favourite retailers to plan their Boxing Day spending activity," she said.
And ahead of the Boxing Day sales, retailers are urging shoppers to come prepared.
"We know there are going to be big crowds during this sales event," Ms Brown said.
"Wear comfortable clothing and shoes, bring your reusable bags, don't forget a bottle of water, and make sure to charge your phone before heading to the shops.
"Above all else, be patient and maintain a positive attitude - retail workers are working hard to ensure a seamless customer service during the peak retail period of the year."
Boxing day spending categories:
| Food: | $296 million |
| Household goods: | $378 million |
| Clothing, footwear and accessories: | $197 million |
| Department stores: | $124 million |
| Other retailing: | $142 million |
| Hospitality: | $139 million |
| Total: | $1.3 billion |
Boxing Day sales State by State breakdown for December 26 - Jan 31:
| NSW | $1.1 billion |
| VIC | $951 million |
| QLD | $746 million |
| SA | $234 million |
| WA | $410 million |
| TAS | $74 million |
| NT | $33 million |
| ACT | $69 million |
| Total | $3.7 billion |
