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Retailing around the $51 billion Christmas tree 

WITH Santa and his reindeers scheduled to leave the North Pole in just a few short weeks, the Australian Retailers Association (ARA) and Roy Morgan are predicting Australians to spend more than $51 billion over the Christmas trading period from November 9 to December 24, 2018.

The ARA expects Aussie shoppers will be dashing through local shops to purchase the ultimate gifts for their friends and family this Christmas, and Russell Zimmerman, executive director of the ARA said shoppers will be turning to retail stores to tick presents off their lists.

“With the festive season commencing in less than two days, most Aussies will be in the process of setting-up their Christmas lights and decorating their Christmas trees in preparation for the upcoming festivities,” Mr Zimmerman said.

"Likewise, retailers have also followed suit, embellishing their store windows with captivating displays and offering a variety of new and exciting products for consumers to spoil their loved ones with.”

With the ARA and Roy Morgan expecting shoppers to increase their spending in the ‘Other retailing’ category by 2.7 percent, products from the Electronics and Hi-Fi categories are projected to be highly sought-after this Christmas, with Ryan Murtagh CEO at Neto explaining the uprise in popularity from this category.

“Being connected is now cheaper, easier and cooler than ever before. With new gadgets and technology hitting the high street, there is now a marketplace for both tech-savvy youngsters and adults to indulge in these products, providing significant opportunities for retailers who operate in this category,” Mr Murtagh said. 

According to the Neto State of E-Commerce report, the electronics category saw a 22 percent year-on-year growth in 2018.

With the average basket size for this category in excess of $116, Cameron Trainor, managing director at JB Hi-Fi, said the demand for personal devices including smartphones, tablets, laptops and advanced internet of things (IoT) connected devices like Google Home and Smart TVs have contributed to the high volume of rapid growth in the electronics category.

“Gaming, fitness accessories, smart home technologies and robotics are amongst the most popular items for consumers to purchase this Christmas. Our retailers are stocked and ready to go with innovative products to stimulate consumer preferences ahead of the upcoming festive season,” Mr Trainor said.

Hitwise’s Weekly Internal Site Searches data from eBay reveals gaming consoles, including Nintendo Switch and Xbox One, are the top trending products for Christmas, with wireless headphones and drones amongst the top 10 most popular searches, the ARA believe retailers who specialise in electronics will have a bountiful Christmas this year.

“As mentioned in Neto’s State of E-Commerce report, the electronics and hi-fi markets are worth a considerable $3 billion, and the ARA suspect gaming consoles and smart home technology products will be flying off the shelves this Christmas,” Mr Zimmerman said.

“Christmas is the season of giving and with a fantastic range of technology on offer this festive season, Christmas trees across Australia will be filled with new and exciting and gifts to unwrap on the big day.”

ARA Roy Morgan Pre-Christmas Sales Predictions

November 9 – December 24, 2018


2018 Pre-Christmas Sales Growth by Category

State

2017 Pre-Christmas actual results ($mil)

2018 Forecast Pre-Christmas sales ($mil)

Predicted Growth

FOOD

20163

20908

3.7%

HH GOODS

8757

8931

2.0%

APPAREL

3906

4028

3.1%

DEPARTMENT STORES

2935

2943

0.3%

OTHER

7127

7321

2.7%

HOSPITALITY

7117

7348

3.2%

NATIONAL

50005

51479

2.9%

[ARA / ROY MORGAN]

 

2018 Pre-Christmas Sales Growth by State

State

2017 Pre-Christmas actual results ($mil)

2018 Forecast Pre-Christmas sales ($mil)

Predicted Growth

NSW

16132

16629

3.1%

VIC

12843

13512

5.2%

QLD

9907

10071

1.7%

SA

3320

3422

3.1%

WA

5395

5366

-0.5%

TAS

998

1038

4.0%

NT

495

501

1.2%

ACT

914

940

2.9%

NATIONAL

50005

51479

2.9%

[ARA / ROY MORGAN]

https://www.retail.org.au/christmas-predictions/

Neto’s 2018 State of eCommerce Report

Hitwse’s Hot Holiday Products and Top Toys.



About the Australian Retailers Association:
Founded in 1903, the Australian Retailers Association (ARA) is Australia’s largest retail association, representing the country’s $310 billion sector, which employs more than 1.2 million people. As Australia’s leading retail peak industry body, the ARA is a strong pro-active advocate for Australian retail and works to ensure retail success by informing, protecting, advocating, educating and saving money for its 7,500 independent and national retail members throughout Australia. For more information, visit www.retail.org.au or call 1300 368 041.

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ARA respects passage of the Modern Slavery Bill

THE Australian Retailers Association (ARA) has acknowledged the passage of the Modern Slavery Bill 2018 through the Federal Parliament.

The new legislation introduces a mandatory reporting requirement for large businesses and organisations, among other means designed to tackle modern day slavery. 

According to the 2016 Global Slavery Index, modern slavery is estimated to affect 45.8 million people across the world. Under the new laws, businesses exceeding $100 million in annual turnover will be required to investigate their supply chains and report on their activities to stamp out instances of modern slavery.

The ARA expects the first modern slavery reports to be completed by the end of the 2019/2020 financial year.

Russell Zimmerman, executive director of the ARA, said many retailers have already employed ethical sourcing programs and are passionate about eliminating modern slavery from their supply chains.

“These new laws will introduce a collective approach to address instances of modern slavery, which will make it far easier for individual organisations to make a bigger impact through their supply chains,” Mr Zimmerman said.

“We believe a competitive, market-based approach to investigating and stopping modern slavery will produce results by encouraging a ‘race-to-the-top’ mentality amongst retailers.”

The ARA undertook comprehensive consultations with major retailers, submitted to three separate inquiries, and engaged directly with the Federal Government to ensure that the new requirements were flexible and practical for retailers.

“We have been extensively involved in the development of the new laws over the last 18 months and the ARA continues to be the only retail organisation advocating for a pragmatic approach on behalf of the industry,” Mr Zimmerman said.

“The complex and interconnected nature of many supply chains can cause major headaches for retailers when trying to eliminate unethical practices and potentially also when complying with modern slavery reporting.”

Mr Zimmerman said previous calls for strict penalties and the introduction of an Anti-Slavery Commissioner went too far, and that the new laws strike the right balance.

“The ARA will continue to represent retailers when the development of regulations and guidelines begins in-earnest over the next few months, to ensure that pragmatism prevails,” Mr Zimmerman said.

“Moving forward, we will be seeking for further clarity on behalf of retailers regarding a number of practical elements, including for concession retailers and resellers, as well as the financial impact of the extensive auditing which will be required to satisfy the reporting obligations.”

The ARA will has produced a brief explainer for retailers on what the changes will mean for their businesses, which can be accessed here.

Retailers can also stay informed and up-to-date with the latest developments and guidance by visiting www.retail.org.au, or by checking the fortnightly Retail Voice newsletter.


About the Australian Retailers Association:

Founded in 1903, the Australian Retailers Association (ARA) is Australia’s largest retail association, representing the country’s $310 billion sector, which employs more than 1.2 million people. As Australia’s leading retail peak industry body, the ARA is a strong pro-active advocate for Australian retail and works to ensure retail success by informing, protecting, advocating, educating and saving money for its 7,500 independent and national retail members throughout Australia. For more information, visit www.retail.org.au or call 1300 368 041.

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National Congress calls on Govt to enact recommendations on constitutionally enshrined Voice

NATIONAL CONGRESS has reported that it is pleased that the final Joint Select Committee report on the Voice to the Parliament has recommended the constitutionally enshrined Voice and setting up of the truth and justice commission.

Now the National Congress of Australia's is urging the Federal Government to now accept the recommendations and act on them.

"We would like to thank the committee for their work and recognising the inputs and recommendations made by our peoples," reported a National Congress  official communique.

"We echo the recommendations that accepting the Statement from the Heart at Uluru will inform Australians of facts of what has happened in the past and continues today, knowing and understanding the truth and history will only strengthen the identity of this nation.

"The recommendations in the final report are received with the hope that its implementation should be first priority of the 46th Parliament. We also hope that legislation is passed quickly to enact a process of truth-telling involving local organisations and regional communities and the creation of a truth and justice commission."

Recommendations made by the National Congress of Australia’s First Peoples have been acknowledged and appreciated by professor Tom Calma in the report, underlining the work done by the organisation to further the rights of First Nationsl peoples and action on the voice to the Parliament.
 
Jackie Huggins, co-chair of the National Congress said, “We hope that the call to enshrine the voice, truth and justice commission in the 46th Parliament is met. We urge the government to now legislate the recommendations without further delay." 
 
National Congress co-chair Rod Little said, "The government must realise there is much that can be done before the election to progress important work identified within the recommendations of the report. First Australians continue to be locked out of making decisions on matters that impact our families and communities and ultimately rightful recognition in the Constitution will go a long way to improving the lives of future generations.”

"The success of this country has been built on First Peoples suffering, however here is an opportunity to create a brighter future for this nation through equality and justice for all Australian’s including First Australians.

"This report needs to be embraced positively and legislative action is urged to set us on a path that would enable a partnership to seriously close the gaps and address concerns our people have faced for so long. We call on this government to urgently enact the reforms proposed in the final report, commencing with a truth-telling and agreement making commission."

About the National Congress of Australia's First Peoples

National Congress is the peak organisation representing the rights of Aboriginal and Torres Strait Islander peoples. National Congress was established following extensive consultations with Aboriginal and Torres Strait Islander peoples and leaders and has represented First People at the federal level since 2010. National Congress represents close to 10,000 individual members from across Australia as well as over 180 peak and other Aboriginal and Torres Strait Islander organisations.

www.nationalcongress.com.au

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Power networks show productivity improvements for customers

AUSTRALIA'S electricity network businesses have achieved significant productivity improvements in 2016-17, ensuring that consumers pay no more than necessary on their power bills.

Reports released by the Australian Energy Regulator (AER) yesterday show that productivity among electricity distributors has increased by 2.7 percent, while productivity in transmission businesses rose a record-setting 5.8 percent.

Energy Networks Australia CEO Andrew Dillon said distribution businesses had improved performance for the second year in a row, outstripping the productivity increases of the entire Australian economy and the utilities sector.

“Even better, transmission businesses have had the single biggest productivity increase in the measure’s recorded history,” he said.

“These results, plus the fact that network prices have been falling in every State across the national electricity market for the past three years – up to 20 percent in some cases - are great news for customers.”

Productivity is measured as the level of output a network business provides relative to the amount of inputs it uses.

“An increase in productivity means a business can produce the same or improved service to customers at a lower cost,” Mr Dillon said. 

“The main driver of the productivity gains is networks finding ways to reduce their costs while still managing to enhance reliability for customers.”

Mr Dillon said the AER investigation into productivity showed incentive regulation was working as networks were delivering real value to customers under the current regulatory framework.

“When networks save money by improving productivity, customers get a bigger slice of the savings than the businesses do,” he said.

“Seventy percent of any operating cost saving is given back to customers over time, so a more productive business means lower bills for customers.”

www.energynetworks.com.au

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Final report of the Joint Select Committee on Constitutional Recognition and a Voice to Parliament

THE Joint Select Committee on Constitutional Recognition relating to Aboriginal and Torres Strait Islander Peoples has presented its final report to the Parliament.

The committee was established in March to consider matters relating to constitutional change, including the recommendations of the Expert Panel, the previous Joint Select Committee, the Statement from the Heart, and the Referendum Council.

At the outset, the committee understood and acknowledged that the Statement from the Heart was a significant turning point in the discussion about the constitutional recognition of Aboriginal and Torres Strait Islander peoples.

As such, the committee focussed its efforts on the central proposal for constitutional change made in the Statement from the Heart — the proposal for a First Nations Voice.

The committee has also been mindful of the need to ensure that its recommendations are legitimate and acceptable to Aboriginal and Torres Strait Islander peoples, the Parliament, and, ultimately, the Australian people.

In its interim report, the committee considered the proposal for a Voice in detail, and since July the committee continued to seek the views of Aboriginal and Torres Strait Islander peoples and others about how best to achieve constitutional recognition.

In its final report, the committee endorsed the proposal for a Voice. The committee recommends a process of co-design between government and Aboriginal and Torres Strait Islander peoples to determine the detail of the Voice, to conclude within the term of the 46th Parliament.

The committee further recommends that the appropriate legal form of the Voice be determined following this process of co-design.

The committee considers that these recommendations are significant steps for the Parliament to discuss and consider, and significant steps towards a bipartisan and agreed approach to advancing the cause of constitutional recognition. 

The committee also makes recommendations in relation to truth-telling about Aboriginal and Torres Strait Islander history, traditions, and culture. The committee hopes that a fuller understanding of Australia’s history will lead to a more reconciled nation.

The committee has acknowledged and thanked everyone who participated in the inquiry, including those who made written submissions and gave evidence at public hearings around Australia.

The final report is available on the committee’s website at: www.aph.gov.au/jsccr.

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