Local shoppers spending more

Trevor Quinn

Wairarapa shoppers are remaining relatively cautious in comparison to their counterparts elsewhere in New Zealand and are resisting the early Christmas shopping urge, according to Paymark network figures just released.

They show October resulted in a moderate annual increase in spending across the region of 1.8 per cent on October 2011.

This increase is marginally lower than the average October increase of 2.7 per cent nationwide.

Paymark processes about 75 per cent of all electronic transactions in New Zealand. Head of sales and marketing Paul Whiston is confident spending will increase noticeably in coming weeks.

"Typically we see spending build momentum from mid-November, and judging from experience, with Christmas falling on a Tuesday, spending is likely to peak on the preceding Friday," he said.

Wairarapa Chamber of Commerce chief executive Stephanie Gundersen-Reid said the results were "fantastic news".

"It is a positive. It's great news for the region and it's great news for retailers that things are finally looking up.

"Christmas is still a number of weeks away and any increase [in spending] is great news for the region."

Mr Whiston has urged retailers to be prudent and he has also asked them not to expect miracles during the anticipated Christmas rush.

"Christmas is always big, in terms of both the volume and total value of transactions, and all indications suggest that trend will continue in 2012.

"But spending has been irregular of late, up one month and down the next.

"It's important not to be too expectant - anticipate a boost but not necessarily a boom."

Canterbury (+6.5 per cent) once again came out on top with the fastest annual spending growth by region, followed closely by South Canterbury (+5.5 per cent) and Southland (+5.3 per cent).

In Wairarapa, the number of card transactions during October was 2 per cent higher than a year ago in comparison to a 2.6 per cent increase nationwide.

Debit card usage increased 2.8 per cent in comparison to a 2.2 per cent rise for credit cards, which represents an increase for debit card usage for the first time since September 2011.

"It's important to note that there are some significant differences in spending between the sectors. Annual growth remains low amongst hospitality providers, largely as a result of the higher than usual spending during the Rugby World Cup. Likewise, food and liquor stores, and clothing retailers experienced low or negative growth during October," Mr Whiston said.

Paymark spending figures show New Zealanders are targeting fitness as well as gifts ahead of the festive season with an increase of 18.6 per cent in fitness centre and gym expenditure in October.

Dental care is another area which has performed well with an 19.1 per cent increase on October 2011.

There has also been an upward trend in relation to house related spending. Growth in furniture and floor coverings stores are up 9 per cent nationally, while hardware retailers and appliance stores recorded a subsequent increase of 7.7 per cent and 6.2 per cent respectively.