Strict Restrictions Could Hurt Holiday Retail Sales in Australia

Strict Restrictions Could Hurt Holiday Retail Sales in Australia

Victoria has some of the strictest COVID-19-related restrictions in Australia. Many retailers in the state who are planning ahead for holiday shopping find this worrisome.

But the concern is not about consumer demand. It’s about supply.

Average Customer Spend is Increasing, but Restrictions Limit Supply

According to, retail giants like Woolworth and Coles are concerned that supply issues may flare up during the holiday, as supply chains are limited or hampered due to restrictions in the state. Restrictions impact day-to-day operations for the majority of brick-and-mortar businesses. 

It’s especially troubling because consumer demand is actually on the rebound. The latest Insights data shows that Average Customer Monthly Spend is steadily increasing in Australia, and has recently reached pre-COVID-19 levels. This trend is expected to continue throughout the remainder of 2020.

Going forward, if retail brands are limited in supply, they won’t be able to satisfy increasing demand.

Keep an Eye on Demand

Ahead of the increasing demand that recent data suggests, business leaders in Victoria have been meeting with state and government leaders to ensure that restrictions don’t impact supply chains too severely.

One way that retailers can protect themselves is by keeping an eye on data showing the latest demand trends. This will help them predict fluctuations in demand, and take precautions to ensure they aren’t affected by supply chain issues down the road. 

Check in at Insights to stay up-to-date on global and national growth trends.

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