Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Spending momentum continues in third week of December

December 23, 2013

Spending momentum continues in third week of December

Paymark figures released today reveal another solid week of Christmas shopping, with spending through the Paymark network up 6.9 per cent year-on-year for the first three weeks of December

Friday the 20th of December was the busiest day of the year-to-date, with $235.6 million through the tills, up 5.7 per cent on the same day in 2012.

Paymark Head of Sales and Marketing, Paul Whiston, says the third week of December has seen the Christmas rush continue.

“Last week we saw the usual pre-Christmas jump with Kiwis spending more than $1.3 billion between the 15th and 21st of December. This is a strong performance and growth so far for December is still ahead of the year-to-date average.

“However the figures do point to some variances. The annual growth rate has slowed as the month has progressed, from 8.6 per cent in the first week of December to a 6.9 per cent average over the month-to-date. Whether that reflects better planning this year or a reliance on the next two days will be interesting to see,” he says.

“We are also seeing the positive influence of higher tourist numbers and construction activity coming through in pre-Christmas spending.”

Paymark, which processes around three quarters of all electronic transactions in New Zealand, saw growth momentum sustained across a number of sectors including accommodation (11.9%), restaurants, bars and cafes (10.4%), food takeaways (10.4%) and hardware / building supplies (10.1%).

“Conversely, internet spending may be impacting some sectors, such as clothing retailers and book shops, which are showing low growth or falling sales,” says Whiston.

“But enough about business – what about Christmas Day? The spending figures suggest we will be well groomed, well catered for, and under the tree might be some new shoes, a new pet, some jewellery, some electronic gadgetry and something for around the home.”

Palmerston North (9.0%) leads spending growth in the regions over the first three weeks of December, followed closely by Marlborough (8.7%) and Canterbury (7.6%).

“The growth rates this December have been higher than we’ve experienced in a number of years. With a couple of shopping days still to go before Christmas, as well as the Boxing Day sales, we’re anticipating that December will be a strong month for many retailers,” adds Whiston.

PAYMARK Regional Data 1-21st December 2013 versus 2012

RegionValue of spending ($millions) Last YearValue of spending ($millions) Current YearValue Difference
Auckland/Northland$1,352.6$1,440.76.5%
Waikato$243.4$257.25.7%
BOP$212.7$226.76.6%
Gisborne$29.3$31.47.2%
Taranaki$76.7$80.85.4%
Hawke’s Bay$93.2$98.35.5%
Wanganui$32.4$33.12.3%
Palmerston North$106.1$115.69.0%
Wairarapa$30.6$31.73.6%
Wellington$335.6$347.03.4%
Nelson$66.2$69.85.4%
Marlborough$37.5$40.88.7%
West Coast$24.2$24.20.1%
Canterbury$385.0$414.47.6%
South Canterbury$59.1$61.33.6%
Otago$170.2$181.46.6%
Southland$81.5$86.56.1%
New Zealand$3,336.5$3,567.76.9%

PAYMARK Sector Data 1-21st December 2013 versus 2012

SectorValue of spending ($millions) Last YearValue of spending ($millions) Current YearValue Difference
Automotive excluding Fuel$95.4$88.8-7.0%
Bookshop/Video$53.7$48.7-9.3%
Clothing, Apparel & Jewellery$223.1$231.63.8%
Accommodation$58.0$65.011.9%
Restaurants, bars, cafes$251.6$277.610.4%
Liquor Retailing$69.3$76.09.7%
Phamacy / Health / Beauty$237.3$249.55.2%
Domestic Appliance & Whiteware Stores$53.8$55.43.0%
Electronic/Computer/Phones$33.5$35.76.6%
Sporting and Camping Equipment/Cycles$46.6$49.66.4%
Floor Covering & Furniture$36.3$38.25.2%
Gardening Stores$17.4$17.82.4%
Hardware / Building Supplies$164.3$180.910.1%
Department$265.3$272.42.7%
Food retail / wholesale$775.3$831.67.3%
Food takeaway$85.0$93.810.4%
Transport / Travel$109.1$116.76.9%
NZ (including others not itemised)$3,336.5$3,567.76.9%

About Paymark
In November 2009, Paymark honoured a significant business, retail, and economic milestone with the celebration of its 20th birthday. Since its inception in 1989 when three banks came together to form Electronic Transaction Services Limited (now known as Paymark Limited), Paymark has grown to become an integral part of New Zealand’s economic landscape with arguably the best EFTPOS system in the world.

Quick facts:
• By March 1990 volumes through the network exceeded 1 million transactions a month
• 1994 the company increased its computer processing power to accommodate volumes exceeding 10 million transactions a month
• 28 August 1996, Paymark makes history by installing an off-shore EFTPOS terminal at a general store, Scott Base, Antarctica
• In 1998 Paymark passed another milestone as the 1 billionth EFTPOS transaction was processed
• In February 2012, Paymark processed its 10 billionth transaction
• More than 74,000 merchants and 116,000 terminals are currently connected to the network that is now 3DES and EMV compliant. Today, the Paymark network processes over 75% of all electronic transactions in the New Zealand retail market on behalf of more than 50 card issuers and acquirers.

ENDS

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Power Outages, Roads Close: Easter Storm Moving Down Country

The NZ Transport Agency says storm conditions at the start of the Easter break are making driving hazardous in Auckland and Northland and it advises people extreme care is needed on the regions’ state highways and roads... More>>

ALSO:

Houses (& Tobacco) Lead Inflation: CPI Up 0.3% In March Quarter

The consumers price index (CPI) rose 0.3 percent in the March 2014 quarter, Statistics New Zealand said today. Higher tobacco and housing prices were partly countered by seasonally cheaper international air fares, vegetables, and package holidays. More>>

ALSO:

Notoriously Reliable Predictions: Budget To Show Rise In Full-Time Income To 2018: English

This year’s Budget will forecast wage increases through to 2018 amounting to a $10,500 a year increase in average full time earnings over six years to $62,200 a year, says Finance Minister Bill English in a speech urging voters not to “put all of this at risk” by changing the government. More>>

ALSO:

Prices Up, Volume Down: March NZ House Sales Drop 10% As Loan Curbs Bite

New Zealand house sales dropped 10 percent in March from a year earlier as the Reserve Bank’s restrictions on low-equity mortgages continue to weigh on sales of cheaper property. More>>

ALSO:

Scoop Business: Chorus To Appeal Copper Pricing Judgment

Chorus will appeal a High Court ruling upholding the Commerce Commission’s determination setting the regulated prices on the telecommunications network operator’s copper lines. More>>

ALSO:

Earlier:

Cars: Precautionary Recalls Announced For Toyota Vehicles

Toyota advises that a number of its New Zealand vehicles are affected by a series of precautionary global recalls. Toyota New Zealand General Manager Customer Services Spencer Morris stressed that the recalls are precautionary. More>>

ALSO:

'Gardening Club': Air Freight Cartel Nets Almost $12 Million In Penalties

The High Court in Auckland has today ordered Swiss company Kuehne + Nagel International AG to pay a penalty of $3.1 million plus costs for breaches of the Commerce Act. Kuehne + Nagel’s penalty brings the total penalties ordered in this case to $11.95 million ... More>>

ALSO:

Crown Accounts: Revenue Below Projections

Core Crown tax revenue has increased by $1.9 billion (or 5.0%) compared to the same time last year. However this was $1.1 billion less than expected and is reflected across most tax types, continuing the pattern of recent months. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news