NZ Retail Sales Growth Fails to Keep Pace with Inflation
New Zealand retail sales are growing, but at a slower pace than inflation. The latest data from Stats NZ's Retail Trade Survey shows that several sectors have reported quarterly sales growth, with electrical and electronic goods leading the way.
Sales of electrical and electronic goods increased by 23.5% in the June quarter compared to last year, with an increase of $213 million to $1.12 billion. Retail NZ CEO Carolyn Young attributed this growth to a replacement cycle following increased technology purchases during Covid-19, as well as demand for AI-enabled devices.
Other categories such as pharmaceuticals, hardware and building supplies, and furniture and housewares also saw growth, but supermarkets, recreational goods, and department stores grew below inflation. Fuel sales surged 25.1% or $550 million to $2.74 billion, however, with costs continuing to account for a large share of household budgets.