Irish consumer spending continued to increase at a sharp pace during October as household expenditure rose +6.8% year-on-year (YOY). This represents the fourteenth month of unbroken growth which has been recorded since the series began in September 2014.
The Visa Europe Irish Consumer Spending says the latest overall expansion in spending was broad-based by sector, with household goods again leading the way with a +14.2% spike in expenditure as consumers spent money on home improvements.
A second successive double-digit expansion in expenditure (+12.3%) at clothing & footwear stores was recorded as clothing retailers continued to experience strong demand.
Spending at hotels, restaurants & bars also rebounded in the year to October, up +11.5% from 12 months previously, after a relatively stable September. Pubs benefited in particular due to a number of sporting events during the month. The midterm break also provided a boost for the travel and recreational sectors. Families took advantage of the time off school to enjoy a holiday, with airlines recording a boost in their traffic figures during the month.
The latest Bond film’s release on the October bank holiday Monday coincided with a +8.5% increase in expenditure in the Recreation & Culture category, providing a boost for cinemas across the country.
Retailers on Irish high streets experienced the fastest rate of acceleration in the series so far, with a +5.2% rise in spending during October. Growth in eCommerce spending also remained substantial during the month, with another double-digit annual increase of +10.6%, following a rise of +11.8% in September. Looking ahead, the continued lack of inflationary pressure should help to maintain confidence among consumers and boost their spending power, with businesses hopeful that this will translate into higher expenditure in the run-up to Christmas, particularly with Black Friday (27th November) and Cyber Monday (30th November) taking place in November.
Growth in eCommerce spending remained substantial during October, but a sharp acceleration in the rate of expansion was seen in face-to-face spending. In fact, expenditure on the high street rose at the fastest pace in the series so far.
Double-digit growth in eCommerce spending was recorded for the fifth month running. This was despite the rate of expansion easing slightly to +10.6% in October, from +11.8% in September.
The yearly rise in face-to-face expenditure was +5.2% in October, comfortably the strongest in the series so far and surpassing the previous high from July.
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