Australian Retail Turnover Surges in November Thanks to Black Friday Sales
Australian retail turnover experienced a significant boost in November 2023, with a 2.0 percent increase (seasonally adjusted), according to recent data released by the Australian Bureau of Statistics (ABS). This rise follows a slight fall of 0.4 percent in October and a 1.0 percent increase in September. The success of Black Friday sales played a crucial role in driving this surge, as retailers began their promotional periods earlier and extended them compared to previous years.
ABS head of business statistics, Robert Ewing, highlighted the impact of Black Friday on consumer spending patterns. He explained, The strong rise suggests that consumers held back on discretionary spending in October to take advantage of discounts in November. Shoppers may have also brought forward some Christmas spending that would usually happen in December.
Rises in all retail industries contributed to the overall growth in November, but it was the spending on discretionary goods during Black Friday sales that had the most significant impact. Household goods retailing experienced a notable increase of 7.5 percent, followed by department stores (4.2 percent), clothing, footwear, and personal accessory retailing (2.7 percent), and other retailing (1.1 percent).
Retailers reported that the popularity of Black Friday sales resulted from consumers seeking out discounts to cope with the pressures of the cost of living. The ABS data also revealed positive growth for both food-related industries in November, with cafes, restaurants, and takeaway food services, as well as food retailing, each seeing a 0.4 percent increase.
The surge in retail turnover was not limited to specific regions, as all states and territories experienced substantial rises. South Australia recorded the largest increase at 2.8 percent, followed closely by Victoria with a 2.4 percent rise. Notably, both states had experienced a decline in October, further indicating the significant influence of Black Friday sales.
Ewing emphasized the nationwide impact of Black Friday, stating, It’s clear that spending during Black Friday sales continues to grow across the country, with retail turnover increasing by more than one percent in all states and territories. Such growth demonstrates the enduring popularity and influence of Black Friday events in the lead up to Christmas.
The ABS’s latest data reflects the evolving nature of consumer spending patterns, which have been disrupted by the increased prominence of Black Friday sales. To address these changes, the ABS released an article exploring how the influence of Black Friday events affects the seasonality of retail turnover.
The ABS expressed gratitude to the businesses that contributed to the data, as their continued support enables the accurate tracking and analysis of retail trends.
In conclusion, November’s retail turnover in Australia witnessed a significant 2.0 percent increase, driven largely by the success of Black Friday sales. The ABS data clearly demonstrates the impact of these promotional events on consumer spending patterns, with rises across various retail industries. As Black Friday continues to gain popularity, it is likely to have a lasting effect on the seasonality of retail turnover in the country.
