As Australians brace themselves for the colder months ahead, it is important for retailers to be prepared for the predicted change in spending patterns.
The next few months will bring many holidays, events and parties, so get your business Autumn-ready with these predicted trends on your side.
St. Patrick’s Day (March 17)
Whether people prefer to sit back with an Irish beer or dress their children up in all-green outfits, St. Patrick’s Day is very beneficial to retailers.
In 2015, the average person who celebrated St. Patrick’s Day spent $36.52 on festive food, green decorations and more, overseas statistics suggest.
This trend will continue in 2016, with Australians putting their money towards Irish pub dinners, apparel for the St Patrick’s Day parade and family lunches.
What should retailers do?
St. Patrick’s Day sales are common and are a great way to sell clearance products, promote certain items or to simply treat your loyal customer base to a discount or two-for-one deal.
Easter (25-28 March)
Total spending for Easter, which includes purchases of apparel, decorations, gifts, candy, food, flowers and more, is expected to reach $3 billion. Please see our article on the projected Easter spending for 2016 here.
Mother’s Day (May 8)
In 2014, Australians spent over $1.4 billion indulging the mums in their life. This figure has been steadily increasing since 2012 and will be expected to grow in 2016.
According to the same 2014 survey, the most money was being spent on cafes and restaurants and this category had the highest growth rate. This trend is predicted to continue in 2016, with family lunches and Mother’s Day dinners accounting for a large proportion of our spending.
Considering that Mother’s Day presents are, most of the time, bought by their partners, we recommend marketing efforts that will capture their significant other’s attention quickly.
In 2016, there will be a move towards ‘experiences’ rather than typical gifts such as flowers, chocolate, perfume and clothing. Families will purchase tickets to events that the whole family can enjoy, such as cooking classes, spa trips or a family dining experience.
What should retailers do?
Gift sets are a great way to capture the buyer’s attention, as it is easy for them to grab and leave with the feeling that they have bought a wholesome gift for the significant Mother in their life. As a retailer, ensure that you advertise these as ‘Mother’s Day specials’ and offer gift-wrapping.
The cold weather effect
Finally, keep an eye on the weather. The ‘cold weather effect’ will bring a huge demand for new clothing and winter essentials such as heaters.
Be aware of the weather changes as cold snaps can happen at any time– from late May to late August. If this does happen, ensure that you promote your mid-season clearance sales to sell excess stock that has been piling up since February and March.
Be proactive and monitor monthly weather forecasts for your city to ensure that you take advantage of these retail opportunities. If there is a cold front in your city, heater sales and household winter item sales, such as kettles and blankets, will boom.
Photo credit: © Monkeybusinessimages | Dreamstime.com – Multl Generation Family Walking Along Autumn Path With Dog Photo