Australians are expected to spend AU$5.4 billion (US$3.98 billion) during the Cyber Monday and Black Friday sales in 2021, as pent-up shopping desires due to pandemic-related lockdowns in October look to be replaced with revenge spending across the country in November.
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According to the Australian Retailers Association (ARA) and Roy Morgan Research, the AU$5.4 billion (US$3.98 billion) spend would be an Australian record for the four-day shopping bonanza, which this year takes place from 26th November to 29th November. The event also places November as Australia’s biggest month for shopping in the year, the groups said.
“For the past two years, November has beaten December as the biggest month for Australian retail sales throughout the year. Black Friday and Cyber Monday can be credited with this trend as people snap up some bargains and shop early for Christmas,” said Paul Zahra, CEO of ARA.
“We are forecasting consumers to spend AU$5.4 billion (US$3.98 billion) over the four-day sales period. What began as an American shopping tradition has been embraced by Australians in a big way. This event is renowned for having the biggest pre-Christmas in-store and online bargains,” continued Zahra.
Around half of Australia’s population emerged from extended lockdowns during October, meaning pent-up desires to shop will add to the spending surge in November.
“Retail sales for the Black Friday and Cyber Monday four-day shopping period are forecast to drive a surge in retail spending in November as Australians get in early for their Christmas gifts,” said Roy Morgan CEO Michele Levine.
“The end of long lockdowns in Sydney, Melbourne and Canberra will drive strong retail spending during the month to match, or even exceed, last year’s records,” continued Morgan.
The Christmas trading quarter is the most critical time for Australian retailers in the retail calendar, when most stores make up two-thirds of their annual profits.
However, supply chains globally are facing significant pressure on the back of Covid-19, with many retailers having to navigate shipping delays and threats of industrial action from port workers and couriers, while attempting to get their products to shoppers ahead of Christmas.
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Consequently, consumers need to be shopping early to ensure products arrive in time, concluded Zahra.
Retail sales lifted a staggering 13.2 percent in November last year, pushed on by Black Friday and Cyber Monday sales and restrictions easing during Covid-19.