NATIONAL: A new study has told fashion retailers what they want to hear in the lead up to Christmas: consumers have money. The Foundry Customer Checkup Study, conducted by The Australian Centre for Retail Studies, has found the majority of domestic consumers are not "overwhelmingly" concerned about the current economic climate, with 64 per cent rating their household finances as 'about the same' or only 'somewhat worse than last year'.
When asked about the future of their household income, 51 per cent said they felt their situation would remain about the same or somewhat better in the next 12 months.
The key change noted by the survey was in consumer shopping habits, with less impulsive purchases being made in favour of planned shopping trips. Consumers were avoiding more expensive items (66 per cent) and buying more private label products (57 per cent) while also taking greater advantage of promotions (55 per cent) and shopping around at different retailers, including discount outlets (55 per cent).
The news comes as a recent MasterCard Worldwide Index of Retail survey predicted that despite economic concerns, consumers would continue to spend for the rest of 2008. The survey predicted retail spending in Australia would reach $104.5 billion over the next six months.
The Foundry Customer Checkup Survey surveyed 1118 respondents from across the country.
Meanwhile retailers were preparing for a busy holiday spending season, with Kookai updating its website in advance of the Christmas trading period.