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Home / Rotorua Daily Post / Business

Consumer spend shows marginal rise

By Brendan Manning
Rotorua Daily Post·
14 May, 2013 03:40 AM2 mins to read

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Retailers' tills are ringing thanks to a string of high-profile events in Rotorua.

Figures released by Paymark, which processes about 75 per cent of New Zealand's electronic card transactions, show $243 million was spent in the Bay of Plenty region last month - a 0.8 per cent year-on-year increase. Rotorua-specific figures were unavailable.

Rotorua Chamber of Commerce chief executive Roger Gordon said retailers had benefited from high visitor numbers during recent months.

"It's well up over last year and there have been a number of major events that brought a lot of people in."

Raggamuffin, kapa haka festival Te Matatini and the inaugural Rotorua Bike Festival all contributed to a "very good visitor number increase", Mr Gordon said.

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"That would of course have been very much reflected not only in the visitors' spend, but also on the confidence that gave to the residential population."

The long hot spell of good weather was also to thank, Mr Gordon said.

"I tend to spend more when it's sunny."

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Nationwide, spending jumped 3.9 per cent during the first four months of 2013, with retailers reporting a buoyant trading period.

Year-on-year spending increases were highest at building and hardware stores (up 9.6 per cent) and pharmacies (up 6 per cent).

Hospitality businesses (up 4.8 per cent) also recorded increases, along with food and liquor outlets (up 4.1 per cent).

It had been a "positive start to the year for retailers in general", Paymark spokesman Paul Whiston said.

The number of card transactions last month was 6.2 per cent higher than a year ago, with credit card usage up 10.5 per cent and debit card usage up 4.9 per cent.

NZ Retailers Association chief executive John Albertson said there was "a slightly better feeling of optimism out there at the moment" amongst retailers.

Modest gains were also reported in big ticket retail stores - such as appliance and sporting equipment (up 2.8 per cent).

By the numbers

April 2013

4.89 million transactions in Bay of Plenty, $243 million spent (0.8 per cent year-on-year increase)

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78.79 million transactions nationwide, $3.91 billion spent (5.9 per cent increase)

April 2012

4.8 million transactions in Bay of Plenty, $241.2 million spent

74.22 million transactions nationwide, $3.69 billion spent

Source: Paymark

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