ARA projects $10.5 billion EOFY sales this year

Australian shoppers are expected to spend $10.5 billion during mid-year to end-of-financial-year (EOFY) sales, marking a $400 million (3.9 per cent) increase from last year.
Joint research from the Australian Retailers Association (ARA) and Roy Morgan shows consumers are keen to take advantage of big-ticket and seasonal items or tax-deductible purchases. At the same time, retailers look to boost revenue amid discretionary spending and ongoing economic uncertainty.
“The sales have already begun,” said Fleur Brown, chief industry affairs officer at ARA. “Retailers have reduced prices on clothes, shoes, accessories, homewares, furniture and electronics. It’s a terrific opportunity for shoppers to find great deals for winter.”
Shift in spending patterns
Clothing, footwear and accessories remain the most popular categories, attracting 34 per cent of respondents, followed by household appliances and white goods (19 per cent) and electronics and tech (12 per cent).
The study also found a notable shift in shopping behaviour, with online spending declining. Just 44 per cent of shoppers plan to buy online, down 11 per cent from last year, suggesting a greater interest in in-store purchases, particularly for larger items.
An estimated 6.1 million Australians – 26 per cent of the adult population – plan to take part in the sales. Among them, 37 per cent intend to spend more than last year, 42 per cent will spend the same, and 21 per cent plan to spend less.
The average shopper is expected to spend $1714, up 4.6 per cent from last year. Consumers under 35 are forecast to be the biggest spenders, with an average spend of $2065 and a total contribution of $4.3 billion. This group includes 2.1 million shoppers, making it the largest cohort.
Men are expected to outspend women, averaging $2044 compared with $1430 for women, equivalent to a total spend of $5.8 billion for men and $4.7 billion for women.
Additionally, more consumers are planning to spend at higher levels this year. About 36 per cent intend to spend between $1000 and $4999, up 15 per cent from last year. Another 11 per cent plan to spend $5000 or more, up 5 per cent.
Brown said that the current trading environment made this year’s EOFY sales period critical.
“Given market volatility and persisting headwinds, these sales present an opportunity for retailers to stimulate growth as they begin to recover from the protracted spending downturn,” she added.
“Household budgets have been under significant strain, and these sales offer shoppers great value for money.”
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