Department stores gain most as Boxing Day spending lifts 6.4% – Paymark

Department store spending rose 68%, followed by appliance and home decorating stores. 

Electronic spending on Boxing Day lifted 6.4% this year, led by growth in department stores, appliance stores and home decorating, eftpos company Paymark says.

It processed $139 million in payments, while the volume of transactions increased 3.4% to 2.5 million. The figures have been adjusted to exclude large clients moving to or from Paymark over the past 12 months.

The year-earlier figures weren't available. Last year the company said adjusted spending on Boxing Day rose 1.9% to $152.7 million.

Many consumers hit the shops and queue for bargains on Boxing Day to take advantage of big discounts offered by retailers.

Department stores recorded the strongest spending growth this year, lifting 68%, while appliance store spending increased 53%, home decorating stores up 38%, toy and game shops up 26%, footwear shops up 10% and book shops up 9.1%.

Paymark says "sustenance was required while shopping" with spending at fast food outlets up 16% and restaurant and cafe spending up 9.3%.

On a regional basis, spending rose 26% on the West Coast, 24% in Marlborough, 16% in Wairarapa and 13% in Gisborne,

By contrast, Paymark says spending increased just 3.7% in Auckland/Northland and 2.4% in Wellington, the company said.

Paymark says it has more than 100,000 terminals accounting for more than 75% of the market. It is owned by the four major trading banks, though it was put up for sale in february 2016.

(BusinessDesk)

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