HOT TOPICS:   Election 2014  |    Regional development   |  OCR                                 RESOURCES:    Economic calendar   |  Understanding China

Find your KiwiSaver fund

The comment stream

Reader poll

What will Fonterra's 2014-15 dairy season payout (Farmgate Milk Price that excludes dividends) ultimately be?

Choices

Interest.co.nz readers' poll suggests a restrained Xmas for New Zealanders

Posted in Personal Finance
 
By Amanda Morrall

New Zealanders are planning on keeping a tight rein on their Christmas spending this year with many opting to spend their money instead on travel or other experiences outside the retail sector.

In our most active poll since 2008, 140 readers (28%) said they planned on spending anywhere between $100 and a maximum of $500 on presents. That was followed closely by more than 130 (27%) who said they were earmarking Xmas money to visit family abroad or for "other experiences."

Surprisingly, more than 100 (21%) said they planned on boycotting the holiday altogether or at least dispensing with the gift buying side of Christmas.

Fewer than 50 said they planned on spending more than $1,000 on gifts and close to 80 indicated a spending range of between $500 and $1,000.

Our poll results are in contrast to predictions from credit data specialist Veda New Zealand which suggested a more spirited and carefree approach to gift giving based on credit applications being up 9% from 2011.

Managing director John Roberts told the Waikato Times that more favourable economic conditions bode also well for retailers this year.

"People have got through the global financial crisis and are managing their finances better. Home loans are coming off fixed-term programmes and moving into floating rates with people saving themselves 1.5 percentage points, which is quite a bit in terms of saved interest," Roberts said.

According to Paymark, which processes 75% of all electronic transactions, New Zealanders spent just over $4.6 billion combined last December.

The Retailers Association has also predicted a more exurberant consumer spend this year following a long period of deleveraging and debt restructuring.

Could it be that interest.co.nz readers are not representative of the public given their more acute interest in financial issues? We're interested to hear your thoughts in the comment stream below.

 

We welcome your help to improve our coverage of this issue. Any examples or experiences to relate? Any links to other news, data or research to shed more light on this? Any insight or views on what might happen next or what should happen next? Any errors to correct?

We welcome your comments below. If you are not already registered, please register to comment in the box on the right or click on the "'Register" link at the bottom of the comments.

Remember we welcome robust, respectful and insightful debate. We don't welcome abusive or defamatory comments and will de-register those repeatedly making such comments. Our current Comment policy is here.

4 Comments

I think there might be a

I think there might be a little bias in polling interest.co.nz readers ...
Is it true the gift to interest.co.nz readers this year is The Complete Works of Bernard Hickey, or is that just for staff? - Shame.

Yes, it's probably fair to

Yes, it's probably fair to say that Interest readers are slightly more fiscally sensitive than most.
 
Or "tight", in the words of their kids. :)