Analyst Warn Flat Xmas Amid Housing Slump
Analysts are warning local retailers to brace for flat Christmas spending, with sliding property prices and low income growth tipped to deliver sales in line with last year.
With NSW among the worst hit property markets, analysts expect Sydney residents to be particularly bearish this Christmas.
As per The Australian, a Macquarie Wealth Management survey sent to clients forecasts 53% to spend more online shopping this holiday season than last – further disrupting a tough retail climate.
Electronics, entertainment, games and clothing are considered the most at risk of online disruption.
Despite this, Maquarie has rated Wesfarmers, Coles and JB Hi-Fi as outperform.
The survey reveals 61% of respondents will spend the same Christmas shopping this year, with 21% less.
Whilst the majority of category trends remain similar to last year, a key difference is a spike in online food and liquor expenditure – jumping from 8.5% to 11% as the number one category purchased online.