Retail in Asia

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Australian retailers to spend USD42b in pre-Christmas sales

Australian retailers could look forward to a steady improvement in retail sales over the Christmas period, with optimistic forecast from the Australian Retailers Association (ARA) and research partner Roy Morgan Research.

In a news release, ARA Executive Director Russell Zimmerman said shoppers would put about USD42.1 billion through retail tills from 14 November until 25 December, representing a 3.3 percent gain on sales during the same period in 2012 (USD40.7 billion).

“The 3.3 percent growth may result in shoppers starting their Christmas shopping a little earlier this year, rather than leaving it until late December. However, we also know that the week before Christmas will remain the busiest time for pre-Christmas shopping, and therefore the most lucrative time for retailers," he said

The ARA also said the organization is pushing for an interest rate cut in December as retailers are counting on the lead up to Christmas as an opportunity to catch up on past slower retail sales and get back on track financially.

“With 6.2 percent predicted growth, apparel sales indicate an increase in consumer confidence for the Christmas period. Much like 2012, food and hospitality are expected to account for a significant percent of the overall projected figure, while other categories such as department stores and clothing, footwear and personal accessories may rely on last minute Christmas sales and promotions for any significant growth in sales," he said.