Aussie Xmas cutbacks

Frugal shoppers wait for bargains to help curb spending

MANY frugal Australians are planning to curb their spending this festive season and most will be ticking off their present lists by visiting bricksand-mortar stores.

Some of the biggest shopping events of the year will begin next week, including Black Friday and Cyber Monday, and many cash-conscious shoppers are waiting to snap up a bagful of bargains.

A new report by financial comparison website Mozo found shoppers were planning to spend $449 on gifts alone this year, but about 28 per cent of consumers intended to curb their spending.

This has been blamed on a struggling economy, including the rising costs of living, stagnant wages and increasing unemployment.

Mozo spokeswoman Kirsty Lamont said many Australians were feeling the pinch and had to rein in the spending, but they might not stick to a strict budget.

“Households are feeling the pinch when it comes to their finances and may not be as generous as they have been in the past on the gift-giving front,” he said.

“But we are still seeing a majority of Australians saying they are not going to be sticking to a budget.”

About 62 per cent of shoppers said they wouldn’t set out a strict budget ahead of Christmas.

Latest Australian Retailers Association and Roy Morgan predicted Australians would splash almost $53 billion from mid-November through until Christmas Eve.

ARA executive director Russell Zimmerman has urged consumers to buy from Australian stores ahead of buying from overseas outlets.

The Mozo report also found 70 per cent of shoppers planned to do a majority of their purchasing instore, despite online shopping proving popular.

Tribeca Financial’s chief executive officer Ryan Watson urged shoppers to “set yourself a spending limit and stick to it”.

“Decide how many people you want to buy for and set an individual present spending limit for each person,” he said.

“Without sounding too much like a grinch, only buy presents for people that you really have to.”