Christmas food and liquor sales expected to grow
Australians may not have the money for department stores and jewellery this Christmas, but will be instead be turning to food and liquor to get them through the festive season.
According to market researcher, IBISWorld, spending on electronic goods, jewellery and department stores will all be down this Christmas when compared to the 2016 Christmas period.
Australians are however expected to spend 4.2 per cent more on liquor and 2.4 per cent more at the supermarket this Christmas.
IBISWorld analyst, Jason Aravanis, said supermarket spending is predicted to reach AUD $10.1 billion in December 2017.
Despite the big numbers, Aravanis warned it may not actually be all happy holidays for the supermarkets.
“While Christmas is a key period for supermarkets and grocery stores, intense pressure is limiting the margins of most establishments – with fierce competition amongst Woolworths, Coles, and ALDI,” Aravanis said.
“Price deflation across the supermarkets and grocery stores industry is expected to limit the increase in revenue generated during the Christmas period in 2017.
“In addition, consumer spending is expected to be hindered by falling discretionary incomes.”
Over AUD $1.5 billion is expected to be spent on alcohol this Christmas, representing close to 13.2 per cent of the entire year’s spend on alcohol for Australia.
“The composition of alcohol consumption is expected to differ in comparison to previous holiday periods,” Aravanis said.
“IBISWorld expects average beer consumption per capita to be about 10 litres per person, while wine consumption is expected to be close to 4 litres.
“However, IBISWorld expects beer and wine to account for a smaller share of total alcohol spending, as demand for cider surges by 5.7 per cent over 2017-18.
“In addition, craft beers are expected to account for a greater share of beer consumption, as consumers increasingly favour quality over quantity.”
- Australia’s best Christmashams
- Woolworths launches its 2017 Christmas marketing campaign
- How Australians will eat this Christmas
BE amazed at how a US employee forced a costly factory shutdown after urinating on a production line...
KEZ’S KITCHEN FREE & NAKED “ON THE GO” BARS SINGLE SERVE NOW AVAILABLE No Added Sugar | All Natu...
Leading Australian produce company, Perfection Fresh, is undergoing a rebrand to help unify its bran...
This month, BP is proud to announce it is trialling home delivery from its petrol and convenience s...
The Assistant Director of Australia’s Imported Food section, Mr Stuart Grant, has revealed why many ...
Woolworths supermarkets was the big winner of the 2016 Australasian Catalogue Awards.
AUSTRALIANS are going to restaurants, pubs, clubs, and quick service outlets more than ever before, ...
Coles has released a number of new private label products in time for summer in December 2016.