Christmas Unwrapped | 2023 Christmas Retail Trends Report | ACRS

CHRISTMAS UNWRAPPED 2023 Christmas Retail Trends Report

18 – 24 65+

14%

16%

25 – 34

AGE

16% 55 – 64

18%

<1% 18%

17%

18%

35 – 44

45 – 54

10% 10% 31%

1% 27%

3%

51%

49%

FEMALE

MALE 70%

30%

METRO

REGIONAL

In October 2023, ACRS surveyed 1,014 shoppers across Australia and asked them several key questions on their attitudes and behaviours towards seasonal sales and Christmas gift shopping.

Note: Percentages may not add up to 100% due to rounding.

2

Sales events have become more popular than ever, with many shoppers planning to make a purchase at a 2023 sales event.

We asked shoppers at which sales events they were planning to make purchase this year, and what they were planning to purchase.

3

Two thirds of Australian shoppers (65%) are planning to make a purchase at a 2023 sales event Planning to purchase at 2023 sales events and planned average spend $434 39% $162

$362

$370

-

35%

35%

Boxing Day

I do not plan to make a purchase at these events

12%

4% Single's Day

Black Friday

Cyber Monday

Type of product purchase planned for 2023 sales events Clothing, footwear, and accessories Consumer electronics Household Personal care Books and stationery Toys and games Food and beverages Media and entertainment Sporting goods and equipment Fine jewellery Gift cards and vouchers Event and experience tickets Travel and tourism Automotive

64% 36% 32% 27% 23% 22% 21% 18% 17% 14% 13% 12% 11% 9%

4

The majority of Australians are planning to buy Christmas gifts and related products this year.

We also asked who shoppers are buying for and how much they are planning to spend, and average spend has gone up across all categories compared to 2022.

5

% 88

of Australians will buy Christmas gifts and related products this year. This is trending down from 90% in 2022 and 92% in 2021.

Most Australians expect to do their Christmas shopping about the same time as usual (77%), but some have started or will start earlier than usual this year (18%)

The most common reason* for starting Christmas shopping earlier was having more time to plan Christmas shopping this year (59%)

Other common reasons for starting Christmas shopping earlier were to buy during promotion periods or sales events (36%) and for budgeting purposes (36%)

* This is a multiple choice question and responses may not sum to 100%

Shoppers mainly buy Christmas gifts for immediate family followed by friends – splurging on immediate family Who shoppers will buy for and average spend*

Amount of people shoppers will buy for Average spend 2023 and change y-o-y

88% 90% 90%

$427

13%

Immediate family

$246

30%

Extended family

$149

12%

Friends

11% 9% 6%

$132

30%

Colleagues

7% 6% 5%

$161

13%

Charity

$266

55%

Immediate family 30% 30% 35%

Extended family

39% 35% 35%

Friends

Colleagues

Charity

14% 11%

Myself

37%

39%

31%

36%

56%

23%

26%

30%

38%

55%

1 to 3

15% 5%

4 to 6

10 to 12

3%

11% 5% 2%

19%

20%

7 to 9

6%

3%

15%

11%

2%

6%

5%

12+

n.a

Oct-23

Nov-22

Nov-21

* This is a multiple choice question and responses may not sum to 100%; (n.a) Not included in 2021

Purchased gifts are the most popular present type this year, and shoppers plan to purchase across more product categories this year compared to 2022 Type of present shoppers are planning to give for Christmas this year

Type of product purchased as part of Christmas shopping*

Clothing, footwear, and accessories Immediate family

47% 38% 41% 37% 35% 35% 38% 35% 32%

Gift cards and vouchers 57%

28%

9% 4% 2%

Food and beverages Toys and games

Extended family

51%

22%

15% 9% 2%

Books and stationery Personal care

21% 20% 17% 20% 21% 15% 15% 15% 12% 15% 12% 11% 10%

Consumer electronics Friends

58%

16%

16% 5%

6%

Household Media and entertainment Event and experience tickets

Colleagues

52%

9%

17%

13%

9%

Fine jewellery Sporting goods and equipment

Purchased gift Handmade gift Regift

Money (cash or gift cards) Secondhand gift

Travel and tourism Automotive

Average spend 2023 and change y-o-y

5% 3% 5% 5%

Oct-23

27%

53%

$208

16%

$183

18%

$147

11%

$167

16%

$82

13%

$133

9%

$407

40%

$167

16%

$126

4%

$210

17%

$205

11%

$156

7%

$612

16%

$119

63%

Nov-22 * This is a multiple choice question and responses may not sum to 100%

Physical stores remained the most popular channel for Christmas purchases in 2023, with 82% of shoppers planning to purchase a product through this channel, a similar proportion to 2022 (80%).

80%

43%

Almost half of Christmas shoppers (43%) are planning to purchase through physical retailer websites (such as Myer) in 2023, a similar proportion to 2022 (45%)

37%

Almost half of Christmas shoppers (44%) are planning to purchase a product through online-only retailer websites (such as The ICONIC) in 2023, a higher proportion to 2022 (37%)

Physical stores are the most popular channel for Christmas purchases across most categories

Channels used to make Christmas purchases this year* 38%

31% 28%

27% 25% 20%

20% 17%

14% 10%

3%

11% 9%

8% 4% 1%

Clothing, footwear, and accessories

12% 10%

Gift cards and vouchers

8%

4% 3% 1%

11% 10% 8%

11%

10% 8%

9%9% 4%

1%

Food and beverages Toys and games

Physical stores

2% Books and stationery

0% Personal care

Physical retailer websites

9%

5%

7% 6% 4%

1% Consumer electronics

1% Household

Online-only retailer websites

9%

6% 4% 3%

5%

4%

1%

2% 1%

Media and entertainment

Event and experience tickets

Online marketplaces

10% 7% 4%4% 2% 1% Fine jewellery

4%4% 2% 1%

3% 2% 2%

1%1%

Sporting goods and Travel and tourism equipment

3% 2%2%1% 1% Automotive

Social media * This is a multiple choice question and responses may not sum to 100%

AUSTRALIAN CONSUMER & RETAIL STUDIES Monash Business School Level 6, Building S 26 Sir John Monash Drive Caulfield East, VIC 3145 T: +61 9903 2869 E: acrs@monash.edu W: monash.edu/business/acrs