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

 


Sixth Quarter of Strong Growth

Sixth Quarter of Strong Growth

Auckland, Monday 7 April 2014; Spending through the Paymark network for the first quarter of 2014 marks the sixth consecutive quarter of strong spending, with a quarterly seasonally adjusted increase of 1.6 per cent for the period.

Mark Spicer, head of customer relations at Paymark, says “the growth rate we have experienced this quarter is similar to that of the previous five quarters and the underlying spending pattern is consistent with continued New Zealand economic growth into 2014.

“Looking more closely at the figures for March, there is a hint of deceleration across some sectors and centres but it is difficult to get a clear guide with Easter having shifted from March in 2013 to April this year.”
Spending through Paymark’s network in the month of March was up 6.8 per cent, year on year.

“During March spending via credit cards was up 10.4 per cent year on year and we believe that this can be explained, in a large part, by the surge in the volume of contactless cards being used, especially at petrol stations and supermarkets. Spending using debit cards remained lower at 3.9 per cent during the month, also affected by the switch in card use.”

“Strip out the supermarkets and petrol stations, and the annual growth rate for spending through the rest of the economy through Paymark was 5.9%, still a good growth rate but below the 6.5% annual average growth for these sectors over the previous six months”

Trading during March was positive for those operating in the hospitality sector (cafés and restaurants, bars and clubs and takeaways), which experienced continued strong trading during March, up 12.5 per cent, 10.6 per cent and 9.4 per cent year on year respectively.

Growth rates were also high at hardware (+10.5 per cent year on year) and furniture and floor covering (+13.6 per cent year on year) stores.

In contrast, spending at chemists (+3.5 percent) and department stores (-0.3 percent) was only modestly different to last year.

Spicer says that spending through the company’s network in March this year will have been affected by the shift in Easter timings and that the pattern of higher than usual growth in the major centres alongside a dip in those areas traditionally associated with holidaying is to be expected.

“In 2013 Easter fell in March whereas this year it will fall in April. The shifting Easter dates will have a big impact on many sectors and retailers around the country and we can especially see that in the accommodation sector where lower than otherwise usual growth has been recorded.

Annual growth in the accommodation sector dropped below the double-digit growth experienced in the previous three months to 7.9 per cent.

Around the country, growth in March was strongest in Auckland/Northland (+ 6.8 per cent year on year), Palmerston North (+ 6.8 per cent year on year) and Canterbury (+ 8.2 per cent year one year).

Regions experiencing slower growth included Wanganui (+ 2.1 per cent year on year, West Coast +0.9 per cent year on year and South Canterbury (+1.7 per cent year on year).

“As always, there are mixed experiences but, overall, we have seen a solid start to the year,” concludes Spicer.

- ENDS -

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Company Results: Air NZ Rides The Tourism Boom With Record Full-Year Earnings

Air New Zealand has ridden the tourism boom and staved off increased competition to deliver the best full-year earnings in its 76-year history. More>>

ALSO:

New PGP: Sheep Milk Industry Gets $12.6M Crown Funding

The Sheep - Horizon Three programme aims to develop "a market driven, end-to-end value chain generating annual revenues of between $200 million and $700 million by 2030," according to a joint statement. More>>

ALSO:

Half Full: Fonterra Raises Forecast Milk Price

Fonterra Co-operative Group Limited today increased its 2016/17 forecast Farmgate Milk Price by 50 cents to $4.75 per kgMS. When combined with the forecast earnings per share range for the 2017 financial year of 50 to 60 cents, the total payout available to farmers in the current season is forecast to be $5.25 to $5.35 before retentions. More>>

ALSO:

Keep Digging: Seabed Ironsands Miner TransTasman Tries Again

The first company to attempt to gain a resource consent to mine ironsands from the ocean floor in New Zealand's Exclusive Economic Zone has lodged a new application containing fresh scientific and other evidence it hopes will persuade regulators after their initial application was turned down in 2014. More>>

Wool Pulled: Duvets Sold As ‘Premium Alpaca’ Mostly Sheep’s Wool

Rotorua business Budge Collection Limited (Budge) and sole director, Sun Dong Kim, were convicted and fined a total of $71,250 in Auckland District Court after each pleading guilty to four charges of misrepresenting how much alpaca fibre was in their duvets. More>>

Reserve Bank: Labour Calls For Monetary Policy To Expand Goals

Labour's comments follow a speech today by RBNZ governor Graeme Wheeler in which Wheeler sought to answer critics who variously say he should stop lowering interest rates, lower them faster, or that inflation-targeting should no longer be the primary goal of the central bank's activities. More>>

ALSO:

BSA Extension And Sunday Morning Ads: Digital Convergence Bill Captures Online Content

Broadcasting Minister Amy Adams has today announced the Government’s plans to update the Broadcasting Act to better reflect today’s converged market... The Government considered four areas as part of its review into content regulation: classification requirements, advertising restrictions, election programming and contestable funding. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news