Despite the recession threatening to dampen the festive spirits of many shoppers across Europe and the rest of the World, Irish consumers will again lead the way for Christmas spending, paying out an average of €1,354 per household.
This is by far the biggest outlay per family in Europe, with British spending the next highest reaching €803, with the French in third with payments totalling €518.
Susan Birrell, spokesperson for Deloitte, one of the ‘Big 4’ accounting firms said, “Last year, our survey found that consumers were still spending despite a gloomier outlook on the economy. This year, that outlook has deteriorated even further, and the purse strings are finally being pulled tight.”
This appears to be correct with a 5.3% fall in Christmas spending predicted for 2008 compared to their 2007 findings. However, the survey also revealed that Irish consumers still plan to enjoy the seasons’ festivities by shelling out €688 on gifts, €422 on food and €264 on socialising.
Despite traders fearing financial uncertainty in the run up to the holiday season, Tom Coffey of the Dublin City Centre Traders Association remained positive pointing out that the City’s Christmas lights had been switched on eight days earlier than usual as a way of letting people know that all the fun is there to be had in Dublin.
Despite some of the doom and gloom of consumer caution, House of Fraser at Dundrum Town Centre experienced increased sales figures on last year and according to Jayne O’Keefe, marketing manager for Dundrum Town Centre, they have not been alone.
She said, “Our footfall figures are up. We definitely seem to be bucking the trend here. We’ve had a lot of new stores opening; Hamleys for example gets people coming to visit us.”
Austin Hughes of KBC Bank also remained upbeat saying, “There’s been a bit of a media myth about feckless consumers who’s maxed out on their credit card. That is true about some people but in truth, we are seeing that consumers have actually become a very cautious lot. They have money and will spend it, but retailers have to be a lot more innovative.”
Whether consumer or trader, hopefully the current economic climate will not affect the festive celebrations too much. There are still bargains to be found and money to make.
‘Tis the season to be jolly…Merry Christmas from all at Home Payments!