By January 1, I stopped counting.
It didn’t matter how large or small the business was, the number continued to swell on what appeared to be a daily basis.
It was unprecedented and to this date, continues.
From independent brands to major department stores, the Christmas trading period was marked by fundraising campaigns for firefighters, wildlife and remote communities.
There were point of sale campaigns, online fundraising initiatives, daily profit contributions and in-store drop off points for vital donations.
It was a struggle to keep up with the influx of daily contributors.
The Australian fashion industry can hold its head high in its response to the current, devastating bushfire season.
As our country continues to reel from the humanitarian toll of this climate crisis, it’s now time to assess the economic impact.
According to conservative estimates, the cost to the national economy has already topped $2 billion and the long-term repercussions could be even worse.
Westpac has placed the number at $5 billion in direct losses, calculating the cost as comparable to the Black Saturday fires in Victoria, which destroyed 2029 homes and saw 173 direct fatalities.
There are many factors to consider when weighing up the fiscal distress to victims and the community.
There is the direct impairment to fire-affected regions from lost tourism, agricultural and retail income.
There is the rise in insurable losses and elevated mortgage arrears in affected regions, not to mention unemployment and downward pressure on property prices in these bushfire zones.
Even away from ravaged landscapes, there is also the economic loss of productivity in CBD to consider, as city-wide smoke plumes took their toll in Sydney and Melbourne.
There are, of course, factors which could counteract this economic impact and make the rebuilding process easier for victims and communities.
Prime Minister Scott Morrison has allocated a $2 billion bushfire recovery fund, with anticipation of an interest rate cut by the Reserve Bank next month.
In the scope of GDP, rebuilding efforts and additional healthcare requirements could also contribute jobs and revenue growth.
How this translates to consumer confidence and spending power is yet to be evaluated in the midst of this ongoing crisis.
Mosaic Brands has already attributed a Christmas sales drop to residual causes.
Some 20% of the Group’s stores have been directly impacted by the fires and approximately 32% of the business’ 1386 stores are in regional areas where consumer confidence is fragile, resulting in the lower comparable sales.
(The Group, it should be praised, has made a stunning $1 million clothing donation to those affected by fires).
It’s certainly an area we will all be monitoring closely as the year unfolds.
One thing is for sure however, the power of community has never waned. In an industry where trends come and go, our goodwill and charity remain steadfast.