A majority of Australian consumers, 76 per cent, are expected to increase spending on essentials such as food and groceries in 2024.
Research by ShopFully, showed that while they expect an increase in spending on essentials, it also shows 60 per cent of Australians are likely to decrease personal shopping on items such as entertainment, streaming services, and going out.
Brendan Straw, Country Manager Australia at ShopFully, said spending for Christmas is the first indicator for how shopping behaviour will appear in the year to follow.
“Our new research reveals over half (59 per cent) of consumers didn’t spend more than $500 in total across all their Christmas gifts, with a third (32 per cent) spending as little as between $101 and $250, likely choosing to spend the money on more essential purchases following the rising cost of living.
“Research also shows a decrease in Aussie involvement in Boxing Day sales, one of the year’s biggest deal offerings, with a massive 73 per cent of shoppers saying they did not participate in any of the sales. This indicates shoppers are looking for offers year-round, rather than waiting for specific events, such as Boxing Day; therefore, retailers initiating promotional campaigns throughout the year will have more success with customers.”
Also revealed was that over half of respondents, 60 per cent, said they would be looking for offers and discounts in an effort to save money over the year.
“Consumers are also more motivated to shop in-store to make their purchases. Retailers should capitalise on this additional foot traffic, focusing on the in-store customer experience. Offering exclusive discounts or creating an immersive shopping experience could drive repeat buyers to your store.”