Millions of Australians are gearing up for a substantial spending spree on Boxing Day sales, with a whopping $2 billion expected to be spent during the post-Christmas sales.
Despite the ongoing cost-of-living crisis, data from comparison website Finder shows 32% of Australians, equivalent to approximately 6.5 million people, are planning to take advantage of discounted retail.
Each shopper is anticipated to spend an average of $356, contributing to the staggering $2.31 billion in total spending across the country.
Breaking down the demographics, the research shows that spending is more common among Gen Y and Gen X, with expected expenditures of $432 and $354, respectively.
In contrast, Gen Z and baby boomers are likely to be more frugal, with projected expenditures of $292 and $208.
The research also highlights a gender discrepancy, with women planning to spend more than men, with an average of $395 compared to $312.
Chris Jager, a shopping expert at Finder, notes that Boxing Day has become one of the most eagerly anticipated sales events following Black Friday.
“We’re expecting to see a plethora of discounts both in-store and online,” Janer said.“Many will be looking to the sales to save on things they’ve had their eye on or missed out on over Black Friday.”
However, Finder’s research also indicates that sale fatigue is starting to set in, with 34% of Australians feeling overwhelmed by recent sale events.
Additionally, 24% found the barrage of sales promotion texts and emails unbearable, and 9% admitted to making impulse purchases during the frenzy.
Jager emphasises the importance of mindful spending, suggesting that shoppers should resist the pressure to spend simply because of a sale.
“Aussies are spending more than they had initially set out to do, due to fear of missing out,” he said.“It’s important to remember that just because there’s a sale on doesn’t mean you have to spend.“If there’s nothing you have your heart set on, save your money and yourself from a New Year debt hangover.”
It follows research showing a growing number of people are turning to credit cards to navigate the challenges posed by escalating living costs, new research shows.
At least 15% of Australians, equivalent to 3 million people, have resorted to obtaining a credit card in the past 12 months.
Shockingly, 6% of respondents are now depending on credit cards to manage their day-to-day expenses, translating to 1.2 million who have sought financial relief through credit amidst the ongoing cost of living crisis.
