Boxing Day sales are expected to blow Black Friday out of the water. Photo / NZME
Boxing Day sales are expected to blow Black Friday out of the water. Photo / NZME
Retail watchdogs say a Boxing Day frenzy is likely to outpace the huge surge in shopping during the entire week of Black Friday.
Retail comparison site PriceMe chief executive officer Gavin Male predicts Boxing Day will live up to its reputation as New Zealand’s “busiest day of the yearfor shoppers” because it is driven by older New Zealanders’ shopping traditions and post-Christmas habits.
Spending on Black Friday had been diluted because retailers had stretched the event over a week or more.
Northland retailer and Chamber of Commerce president Tim Robinson said it was too difficult to predict if Boxing Day might turn into the shopping bonanza PriceMe envisions.
The cost of living was still biting hard, interest rates were still high, and in his opinion that grim situation looked set to last at least another 12 months, Robinson said.
“I guess everyone’s hoping Boxing Day sales will be big. Whether they’ll be bigger than Black Friday, who would know?
“The reality is that the retail spend is way down year on year and has actually been declining month on month, so it will be interesting to see whether Boxing Day has an impact or not,” Robinson said.
“I don’t think anyone’s willing to put a line in the ground and say, yes it’s going to do this or not.”
PriceMe survey statistics show Kiwis have been hanging out for discounted prices. Photo / 123RF
Robinson noted a weather bomb predicted for Northland on Christmas Day and Boxing Day could have a bearing on Boxing Day sales.
“My gut feeling is though, that if nothing else, people will probably want to get out and have a look to see if there were any bargains to be had and it’s up to individual retailers to try to convert that interest into a sale.”
Male said given retail struggled to attract shoppers, people could expect a surge of unbeatable deals to close out the year.
“It’s also looking very likely that Boxing Day sales may well start before the day itself, so keep your eyes peeled for online bargains from Christmas Eve.”
Male believed Kiwis were hanging out for discounted prices and were choosing to wait for big annual sales such as Black Friday and Boxing Day to make larger purchases and to buy household essentials.
PriceMe survey statistics showed purchases went up by 47% the week of the Black Friday sales with more shoppers taking advantage of the Black Friday sales early, he said.
Shoppers also appeared to be focused on buying what they needed rather than luxury items. Tech, homeware - particularly small appliances - and health and beauty products, had dominated the top 100 items purchased during Black Friday.
Can shoppers expect “a surge of unbeatable deals” to close out the year? Photo / Brett NZME
Male encouraged Kiwis to check they were getting the best deal for their shopping, especially in an economic climate where high inflation still ruled and sales and discounts were no longer as grandiose as they might have been in the past.
Leading payment service provider Worldline reported spending was further up in the first week of December.
Worldline NZ’s chief sales officer Bruce Proffit said that after months of consumer spending trending below year-ago levels, it was more positive in the first week of December, which caught some of the extended run of the Black Friday sales. Spending was likely to continue to increase - as it did traditionally - up until Christmas.
Small household appliances were popular during this year's Black Friday sales and could be again on Boxing Day. Photo / Michael Craig
Meanwhile, Consumer NZ’s communications and campaigns adviser Abby Daman shared top tips for crushing the Boxing Day sales this year:
Come up with a game plan
In this ongoing grim economic environment, an increasing number of shoppers (27%) were relying on Buy Now, Pay Later services than in January of this year (24%). However, shoppers needed to think carefully before signing up because if you start missing payments, you’ll pay hefty default fees.
To avoid impulse buys, shoppers should do their research, discern their wants from their needs, set a budget – and actually stick to it.
“While the Consumer Guarantees Act has great protections, retailers aren’t required to provide refunds if you change your mind.”
Limitations or blanket disclaimers on sale items like “no refunds” or “no exchanges on sale items” were misleading as were claims consumers need the original packaging and receipt to return a faulty item.
“If you buy a heavily discounted product on Boxing Day only to find out it’s got a fault, the retailer is required to put things right. You don’t need the original packaging, and an e-receipt or bank statement should be sufficient to show proof of purchase.”
Shoppers should be alert to online pressure tactics and not be tempted by extended warranties – you’re already covered under the Consumer Guarantees Act.
“Don’t believe the ‘someone in Auckland just bought this’ or ‘only three left!’ claims.
“They’re often not true – they’re marketing strategies that play on our FOMO (fear of missing out) and can be very effective at encouraging impulse buys."
if you’re in the market for a specific product, wait for it to come on sale. Don’t be tempted by a lesser product simply because it’s the one with the discount sticker on the day.
Price isn’t always an indicator of quality. “Just because something is discounted, doesn’t mean it’s a good deal.”
Don’t play the long game when it comes to gift cards.
“Check your wallet for any unused gift cards before heading to the sales.
“One in five gift card holders end up with expired cards, and Consumer estimates over $10 million is wasted on unredeemed gift cards every year. So, when it comes to gift cards, we recommend you ‘use it or lose it’ this Boxing Day.”
Sarah Curtis is a news reporter for the Northern Advocate, focusing on a wide range of issues. She has nearly 20 years’ experience in journalism, much of which she spent court reporting. She is passionate about covering stories that make a difference.
