NZ electronic card spending climbs in October on Rugby World Cup, school holidays

Wednesday 9th November 2011

New Zealanders increased spending at retailers on the credit and debit cards last month, suggesting positive benefits from the Rugby World Cup and later-than-usual school holidays.

Electronic card transactions at retailers rose 1.5 percent, seasonally adjusted, in October, the biggest gain since April, according to Statistics New Zealand. The actual value of sales rose 6.3percent from the same month of 2010.

Monthly spending beat the 1.2 percent increase forecast in a Reuters survey. Core retailing, which excludes auto-related sectors, rose 0.9 percent, and overall spending climbed 1.8 percent, the department said.

Retailers including Briscoe Group have cited the RWC for helping lift sales. In the third quarter, Briscoe posted a 9.2 percent revenue gain on a ‘sensational’ performance from its Rebel Sports stores.

The figures show 56.8 percent of the spending was on debit cards and 43.2 percent on credit cards.

The biggest spending gains in October, seasonally adjusted, were in apparel, up 4.8 percent, and fuel rose 4 percent.

Consumables declined 0.2 percent and durables gained 0.5 percent. Hospitality rose 0.6 percent. Non-retail, excluding services, rose 2.5 percent.

BusinessDesk.co.nz

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