Kiwis wine and dine in October

Retail card spending on eating out recovered in October, as Auckland moved out of COVID-19 alert level 2, Stats NZ said today.

In actual terms, spending at restaurants, cafes, and takeaways (food and beverage services) was up $79 million (8.8 percent) compared to October 2019.

This is the second highest monthly spend for food and beverage services in over 20 years, almost as high as the Christmas peak in December last year.

“Auckland moved down to COVID-19 alert level 1 on 8 October, loosening previous restrictions on social gatherings. This meant more people could gather for events and celebrations again, after crowd limits were imposed in earlier months,” business statistics manager Sue Chapman said.

MonthAccommodationFood and beverage services
Oct-18215131000837449000
Nov-18238334000860472000
Dec-18256489000947912000
Jan-19283262000872199000
Feb-19258163000824297000
Mar-19259200000928857000
Apr-19221331000857441000
May-19177381000869461000
Jun-19163244000844267000
Jul-19186658000865520000
Aug-19186649000886725000
Sep-19186976000858385000
Oct-19213478000897189000
Nov-19239510000924391000
Dec-19258089000988596000
Jan-20284443000928529000
Feb-20262212000892875000
Mar-20162500000662446000
Apr-201281900043743000
May-2054687000564614000
Jun-20109696000823808000
Jul-20157098000957378000
Aug-20109559000771540000
Sep-20133441000860279000
Oct-20167262000976349000

Spending on hotels, motels, and other accommodation was down $46 million (22 percent) compared with October 2019.

“The lack of international visitors is still hampering the accommodation industry, despite a small recovery in October, coinciding with the return to alert level 1,” Ms Chapman said.

Hardware and sports and camping equipment see pre-summer sales glow

Card spending on long-lasting goods (durables) had the largest retail industry rise, up $244 million (17 percent) from October 2019.

The rise in durables was mainly driven by furniture, electrical, and hardware retailing, up $138 million (20 percent) over the year to the highest October month value since the series began.

IndustryOct-18Oct-19Oct-20
” Furniture674212000674427000812193000
electrical and hardware retailing”128787000133123000169607000
Recreational goods290037000314220000343124000
Department stores309044000322544000362993000
Pharmaceutical and other store-based retailing

Sporting and outdoor activity equipment (recreational goods) saw the largest percentage increase of the four durables sub-industries, rising 27 percent from October 2019.

“Long-lasting goods businesses saw sales increases in items such as gardening and outdoor furniture as well as camping and sporting goods,” Ms Chapman said.

“People are setting up their homes, gearing up for fun summer activities and domestic travel, using money that may have been spent on overseas travel.”

Total retail card spending increases

In actual terms, total retail spending using electronic cards was $6.2 billion in October 2020, up $472 million (8.2 percent) from October 2019.

Month201820192020
Nov561192500058740610006171222000
Dec685712100069360240007209206000
Jan544702400056531820005891439000
Feb505662500052387300005691140000
Mar569887400057544600005651491000
Apr521161200054700020002870608000
May533693000055200940005188203000
Jun520217900052802750005701230000
Jul525589300053593080005968957000
Aug531959600054850070005438997000
Sep531437000053455360005734401000
Oct568068100057695640006241153000

Total retail card spending for the January to October period was $54.4 billion in 2020, down 0.9 percent compared with $54.9 billion in 2019. Comparatively, from 2018 to 2019, there was a 2.5 percent increase in spending.

“Several months of higher retail spending have almost made up for record low spending in April, though some industries have fared better than others,” Ms Chapman said.

The only industries to see falls in October were fuel and non-retail (excluding services).

Fuel was down $65 million (11 percent) over the year, mainly reflecting lower petrol prices.

Non-retail (excluding services) was down $244 million (13 percent) – this category includes travel and tour arrangement services heavily affected by international border restrictions, rental and hiring services, and gambling.

/Stats NZ Public Release. View in full here.