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Research Shows, Households Will Spend An Average Of €2,654 This Christmas

Published on Dec 4 2017 10:05 AM in Retail tagged: Featured Post / Ibec / Retail Ireland

Research Shows, Households Will Spend An Average Of €2,654 This Christmas

Retail Ireland, recently published its Christmas Retail Monitor 2017 that predicts the Irish household will spend an average of €2,654 in shops this December, approximately €870 more than any other month of this year and roughly 2.6% more than Christmas 2016.

The monitor predicts an increase in total sales of over €100 million, with sales over the Christmas season expected to top €4.5 billion, up from €4.4 billion in 2016.

"Now that the uncertain political environment of recent days has passed, retailers are looking forward to the approaching Christmas period with renewed optimism." Thomas Burke, director, Retail Ireland said.

"Rising disposable incomes, more people at work, and falling prices will raise consumer spirts and enable greater spending power over the busy Christmas period."

Foreign Websites

However, with a greater number of Irish shoppers now choosing to shop on foreign websites, the challenge for Irish retailers will be to ensure that this buoyancy is felt locally and that Irish based retailers benefit from this anticipated additional spending.

“The growing migration by Irish consumers online over recent months is creating a challenge for Irish retailers. Local traders have to date been unable to stem the flow of close to 75% of online consumer spending that currently leaves these shores." Burke added.

“Irish retailers are reacting however, and the online consumer offer is stronger than at any point in times past. Irish retailers also continue to focus on getting their instore activity right in these crucial trading weeks and will be seeking to capitalise upon an increasing willingness on the part of consumers to spend their greater levels of disposable income.”

Supermarkets and Convenience Stores

The reserach conducted by the Ibec group that represents the sector, grocery and convenience stores, Christmas comes late this year as it falls on a Monday.

Therefore, the week beginning 18 December will be make or break for this category.

Black Friday has minimal effect on food sales other than to trigger even keener competitive activity. This keen competition for market share will drive heavy discounting and promotions, a dividend for shoppers but costly for retailers.

© 2017 - Checkout Magazine by Donna Ahern

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