Will Queenslanders be tightening their belts this Christmas?
More than four in 10 Queenslanders will have their Christmas negatively impacted this year because of the cost of living, according to data released by the Salvation Army’s annual Christmas Appeal.
The Pureprofile survey, conducted on behalf of the Salvation Army, suggests that over 2.3 million Queenslanders (72%) will be more mindful of their spending this Christmas compared to previous years, with 48 per cent buying fewer presents for their children and loved ones, and 1.8 million people (56%) spending less on food this Christmas.
“We are seeing first-hand how much people are really struggling, particularly as we head into a busy Christmas season. Individuals and families are at breaking point, unsure how they will be able to afford Christmas,” said The Salvation Army’s National Community Fundraising Manager, Simon Gregory.
The research also found that while only 9.3 per cent of Queenslanders will be reaching out to a charity for help this Christmas, over 55 per cent of these people will be doing so for the first time.
This data comes from a survey of 2004 people in a nationally representative sample size that is extrapolated to reflect the general Australian population.
Queenslanders seem to be hit hardest as data from Roy Morgan, commissioned by the Australian Retailers Association, showed that nationally 63 per cent of shoppers said they planned on spending roughly the same amount as last year with only 29 per cent saying they would be spending less. Interestingly, this data predicted a 4.2 per cent increase on food spending compared to last year, with a projection of $28 billion spent on festive food
However, all research has consistently found that the cost of living continues to loom large in the minds of Australian consumers, with many opting to do their Christmas shopping early and participating in sales like Black Friday and Cyber Monday in an attempt to purchase gifts at less cost.
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Roy Morgan found that shoppers are predicted to spend a record $6.7 billion during the four days, an increase of 5.5 per cent compared to the same time last year.
“With Australians continuing to battle a cost-of-living crisis, we know more people are planning ahead this year and carefully researching to find gifts at the best available prices,“ said Fleur Brown, ARA Chief Industry Affairs Officer.
“Overall peak season spending projections are at $69.7 billion, up 2.7% on last year. This boost in spending is very welcome news – particularly for discretionary retailers who make up to two-thirds of their annual profits during peak season.
“It’s continuing to be an incredibly challenging year for retail, with slowed consumer spending coupled with rising costs of doing business,” she said.
