Australians tipped for record $21bn summer shopping splurge as Boxing Day sales begin

Record sales are expected this Boxing Day with shoppers tipped to splurge more than $20bn during the summer sales period.

The Australian Retailers Association has estimated people will spend $21bn in the post-Christmas sales through to mid-January.

Some shoppers are preparing to shrug off Covid concerns and visit CBDs and major shopping centres. However, online purchases are expected to surge this year.

The Australian Retailers Association, chief executive, Paul Zahra predicted an online record.

Zahra said he expected total sales to exceed last year because people could or would not spend their money on overseas travel during the Covid pandemic.

People had also saved money after spending more time at home, he said.

Australians spend about $60bn a year on overseas travel and this money is being spent other ways.

The National Retail Association (NRA) pegs the nationwide spend on Boxing Day alone at a record-breaking $2.9bn.

Spending increases in Queensland and Western Australia are expected to increase by 6% in each state, followed by New South Wales and the ACT with 5% each, while Victoria and South Australia are expected to have a 4% growth.

Meanwhile, a Commonwealth Bank survey found 69% of Australians were planning to buy something on Boxing Day.

The average spend planned was $557, which was 14% higher than last year. Clothing was tipped to be the most popular purchase. Technology, home electronics and white goods were next on the shopping list.

Woolworths group boss Brad Banducci, whose responsibilities include Big W, this month said some toys and consumer electronics were proving difficult to source.

Some overseas manufacturers have struggled to keep up with demand during the pandemic.