Christmas Eve shopping in the Rotorua Central Mall. Photo / Ben Fraser
Some Bay of Plenty retailers are feeling positive, with shoppers splashing the cash more this Christmas.
However, others are reporting a drop in foot traffic as bargain hunters go online or people become more “cost-conscious” with their wallets.
Retailers say increased customer spending over the holiday period is critical to meeting their sales targets and kickstarting their January 2025 trading figures.
Data from electronic payment provider Worldline NZ showed core retail merchant spending over the first two weeks of December reached $1.65 billion, up by 1.2% compared to last year.
But spending across the regions was mixed and some of the larger regional centres, including the Bay of Plenty and Wellington, were both down (0.7% ) compared to the same time last year. The average transaction value was also slightly down compared to December 2023.
Worldline NZ’s latest payments network data showed Christmas Eve 2024 took the honours as the busiest shopping day of the year, with the peak hour for transactions [607,299) being from noon to 1pm and the peak minute for transactions (10,408) being at 12.08pm.
A breakdown for Christmas Eve core retail merchant spending for the Bay of Plenty region was not available.
A spokeswoman from Smiths Shoes Tauranga in Grey St told the Bay of Plenty Times the business had “very positive” Black Friday trading results.
“In fact, it was our best-ever Black Friday sales day in 20 years and we’ve also had a pretty decent week of sales leading up to Christmas and Boxing Day.”
She said Boxing Day had not traditionally been the store’s busiest trading day.
“But as a destination store, most customers don’t just walk in off the street, and we can’t compete with the big-chain sports stores like Rebel Sport.”
Julie Hammon, owner of Hammon Diamond Jeweller in Grey St, said her store was experiencing a relatively “subdued” trading period this December compared to previous years.
“It’s been pretty difficult trading all year because of challenging economic conditions, access issues and the lack of retail offerings in parts of the CBD.
“We are looking forward to a bit of break after a very long and arduous trading year.”
The jeweller closed on Christmas Eve and opens again on December 30.
Hammon was “very grateful” to her long-established loyal customers for continuing to support the business.
One downtown Tauranga retail manager, who asked not to be named, said the business’s sales figures for December were down compared to December 2023 but he was not surprised because at this time of year many more shoppers headed to malls than the city centre.
“As a destination retail store, we cannot compete with shopping malls where people are looking for the convenience of having lots of stores to choose from all under one roof and free parking,” he said.
The manager said the store’s Boxing Day sales were normally the biggest trading day of the year, but given the downturn in the economy and huge draw of shopping malls, it was difficult to predict whether this year’s Boxing Day sales would match those of 2023.
Doing business in the current economic climate and with the number of empty shops continued to be a challenge, he said.
Mount Business Association destination manager Michael Clark earlier said Mount Mainstreet businesses reported spending was “still tighter than last year” but it was picking up the Christmas holiday period drew closer.
Clark said Mount Mainstreet was on track to have “a very busy summer”.
Gabi Sutton, manager of the North Beach store in Maunganui Rd, which sells street-, surf- and skate-style clothing, said leading up to Christmas the store’s December sales figures were “tracking well”.
“We’re definitely seeing more people spending and feeling more comfortable to shop. People have also been spending more compared to last year. And we have also seen a spike in online orders.
“However, foot traffic remains down compared to last year. Especially because we aren’t seeing as many cruise ship visitors as last year.
“Boxing Day is our biggest trading day and we hope that sets the scene for good sales figures throughout January and February.”
One Mount Mainstreet retail assistant said the store she worked at had been “super busy”.
“We’ve even had to open the store early the past week to cater for demand from shoppers who have been turning up outside our usual trading hours.”
Bryce Heard, Rotorua Chamber of Commerce chief executive, said Rotorua’s town centre had been humming pre-Christmas, with lots of people heading to shopping malls to snap up bargains and it was ” absolutely crazy” trying to find parking for cars.
Heard hoped that boded well for great trading in the Boxing Day sales for the city’s retailers.
Rotorua Antiques and Collectables store owner Chris Cameron told the Rotorua Daily Post his December sales figures were “up and down” this year compared to December 2023 and the store would be shut on December 25 and Boxing Day.
“One of the things I have noticed is that people are being more cost-conscious about their spending and aren’t spending money on the big-ticket items this Christmas.”
Ahu Boutique Rotorua acting manager Wairata Warbrick said the Eruera St store’s December sales figures were about the same as December 2023.
Wairata put this down to people being “more cautious” about spending decisions.
“We’ve definitely had a good run this month in the lead-up to Christmas. And thanks to our loyal customers we’ve had an all right month, and definitely hope to boost that with our Boxing Day sales,” she said.
“And if people haven’t spent all their money by then we’re hoping to have great trading figures for January 2025.”
The manager of McLeod Booksellers in Pukuatua St, Rotorua said their December sales figures were “pretty much the same” as last year.
“I get a feeling that local people are being a bit more cautious with their spending, but fortunately spending by some of our wonderful tourists is helping.”
Overall, Rotorua city centre was quieter than last year, she said.
Sandra Conchie is a senior journalist at the Bay of Plenty Times and Rotorua Daily Post who has been a journalist for 24 years. She mainly covers police, court and other justice stories, as well as general news. She has been a Canon Media Awards regional/community reporter of the year.
Police say they are following lines of inquiry to catch the offender.