63% say Christmas spending plans unaffected by Covid pandemic
32% say they will do most of their shopping online this year
People will spend a combined average of $1059 on gifts
Women will spend three times as much as men, 65+s expected to splurge
71% will pay for Christmas expenses with savings
According to a new survey of 1,000 Australians regarding their spending habits this Christmas commissioned by Savvy, about a third of respondents said they will do most of their shopping for 2021 online.
As for the economic impact of COVID-19 restrictions, 33% say it will have an insignificant impact on their spending habits, while 30% are neutral. Only 9% said COVID impacted them very significantly.
As for their spending habits, 47% will spend the same amount on gifts as last year, while 13% will spend more. 33% said they will spend less than last year, while 8% won’t buy gifts at all.
42% of the 18-24 cohort (n=119) said they will spend less, as will 40% of the 25-34 cohort (n=192). In real numbers, the average spend on gifts among the 18-24s will be $386 and $574 for 25-34s. Grandkids will feel spoiled by the 65+s numbers: they intend to spend an average of $2,916.
Victorians (n=253) also intended to spend the most on gifts, averaging $2550; five times as much as other states.
The total average spend of Australians this Christmas will total up to $1656, when gifts ($1059), food ($209), alcohol ($103), travel ($113), decorations ($58) and eating out ($114) are taken into consideration.
When asked how they intend to fund Christmas purchases this year, a whopping 71% answered savings. Credit cards was the second largest means, though represented only 16%.
Who Gets What
Don’t be surprised if your present this year comes in an envelope or over email – 45% say they’re getting gift cards or vouchers for friends and family – 47% of men and 44% of women respectively.
40% said they would be buying toys, 31% say clothing or apparel, 21% say inexpensive novelty gifts, and 20% say money. A quarter (24%) may actually get “what they want or need” under the Christmas tree.
As of publication, your Christmas present may already be on the way – 12% say they will do 80-100% of their shopping online – which if extrapolated to the wider population suggests 2.3 million adult Australians.
On the main, 43% of Australians will do at least 40% of their Christmas shopping online.
“Despite mail delays and shortages for electronics, Australians have taken to online shopping with vigour. Some may be used to it due to extended lockdowns; others just like the convenience,” says Bill Tsouvalas, Managing Director at Savvy. “32% say they want to avoid crowds, saying the pandemic has influenced their method of shopping. 30% say they will shop anywhere there are bargains. Not even pandemics can stop Australians from hunting down a bargain!”
The traditional Boxing Day sales have been supplanted by American import Black Friday/Cyber Monday; 37% say that they’ve taken to Black Friday sales to save on purchases; 36% say they’ve looked online for cheaper prices. Only 20% are looking forward to Boxing Day bargains. The best spending curb is not spending at all: 44% say they have set an agreed limit to what they’ll spend overall.
“It seems like Australians are content to make a happy Christmas time and forget about the year that’s gone by,” Tsouvalas says. “It’ll be music to the ears of retailers who have done it so tough, too.”
Savvy is one of Australia’s largest online financial brokers, focusing on personal and commercial financial products. Founded in 2010, the firm has seen rapid growth, a testament to their provision of market leading rates and reaching customers with the latest in media and technology. Savvy is a proud supporter of Kids Under Cover, a charity assisting homeless and at-risk youth to strengthen their bonds to community and education. Savvy was named one of BRW’s fastest growing companies in 2015.