Predictions for the year ahead.

It was a mixed bag for retailers during the all-important Christmas sales period with Black Friday making its mark and 2019 is off to a slow start with the declining housing market and subdued consumer confidence.

For Betta Stores Retail (BSR), CEO Graeme Cunningham described December sales growth as pleasing and ahead of 2017.

“Large screen panels, smart speakers, headphones all performed well as these markets continue to grow,” he told Appliance Retailer. “We also experienced strong sales of French Door refrigeration as well air conditioning thanks to the weather.”

He continued, “January has quietened by comparison but we are still up on 2018. We see the year ahead as having minimal growth due to the upcoming elections, a lack of major sporting activities as well as some external factors that may impact our economy.”

Speaking to Appliance Retailer, Camberwell Electrics owner, Hans Vanderstadt said sales were soft with Black Friday pulling sales early and overtaking Boxing Day, as well as an increased popularity in the purchase of gift cards.

“For us, air-conditioning and fans are performing well, in particular, Daikin in the top end of the market and Haier as a value for money offering,” he said.

“2019 will be steady as it goes. Retail has been fairly strong for the last 10 years and we are now feeling the impact of the housing market drop but consumers need to understand that the sky is not falling in; real estate is simply normalising.

“The benefit of the housing downturn is that consumers are reluctant to sell and are therefore staying in their homes and renovating the kitchen and bathroom.”

With the strength of the Black Friday weekend sales, Teds Cameras CEO, Nic Peasley said the Christmas period moved to a six week period bookended by that sale and the Boxing Day week.

“The weeks in between were certainly not as busy as in previous years as a number of sales were clearly pulled forward by the Black Friday sale,” he said.

“Overall, we are happy with the November/December sales although pricing continues to put pressure on margin. We are still seeing solid growth in mirrorless camera systems across most brands. Lens was also a solid performing category.

“I expect sales to remain flat in 2019 as political uncertainty continues, as well as the declining housing prices knocking confidence around. Pricing will remain aggressive as players strive to remain relevant and manage their inventory.”