THE Australian Retailers Association (ARA) said the seasonally adjusted rise (0.4 percent increase) in monthly retail trade figures (month-on-month) reported today by the ABS followed a 1.2 percent rise in September 2014.

While October’s month on month growth was modest, year on year retail growth rose 5.7 percent (seasonally adjusted, compared to October 2013) - a positive sign for the retail industry.

ARA Executive Director Russell Zimmerman said retail sales were fairly slow in October thanks to the unpredictable weather and the reluctance of consumers to get a head start on their Christmas shopping.

“In seasonally adjusted terms household goods retailing rose 1.4 percent. Other industries which experienced rises were food retailing (0.5%), department stores (2.0%), clothing, footwear and personal accessory retailing (1.1%) and other retailing (0.2%). Halloween may have played a helping hand in these categories achieving a bump in sales as the event is becoming a bigger treat for retailers every October with a growing demand for lollies, spooky costumes, decorations and pumpkins.

“In seasonally adjusted terms the states which displayed rises were New South Wales (0.7%), Queensland (0.4%), South Australia (1.2%), Western Australia (0.1%) and the Australian Capital Territory (0.4%). Victoria remained relatively unchanged (0.0%). Tasmania (-1.0%) and the Northern Territory (-0.4%) both experienced a fall in sales.

“The Australian Retail Index (delivered by BDO and Retail Express) reported that the end of October saw all sectors showing slight but positive growth results, with the exception of furniture which dropped 2.3 percent. This sector is not traditionally influenced by the Christmas rush as much as other retail sectors.

“October’s modest results are somewhat expected and it will be interesting to see whether November’s results show a much sharper spike in sales when pre-Christmas shopping gets into full swing.

“The ARA is confident that retailers will achieve the expected $45 billion in sales between 15 November and 24 December, and we look forward to confirming these statistics in the New Year,” Mr Zimmerman said. 

MONTHLY RETAIL GROWTH (September 2014 – October 2014 seasonally adjusted)

Department stores (2.0%), Household goods retailing (1.4%), Clothing, footwear and personal accessory retailing (1.1%), Food retailing (0.5%), Other retailing (0.2%) and Cafes, restaurants and takeaway food services (-2.1%). Total sales (0.4%).

South Australia (1.2%), New South Wales (0.7%), Australian Capital Territory (0.4%), Queensland (0.4%), Western Australia (0.1%), Victoria (0.0%), Tasmania (-1.0%) and Northern Territory (-0.4%). Total sales (0.4%).

YEAR-ON-YEAR RETAIL GROWTH (October 2013 – October 2014 seasonally adjusted)

Household goods retailing (11.5%), Cafes, restaurants and takeaway food services (7.1%), Food retailing (5.7%), Other retailing (2.8%), Clothing, footwear and personal accessory retailing (0.4%) and Department
stores (-0.2%). Total sales (5.7%).

New South Wales (9.8%), Victoria (6.0%), South Australia (4.8%), Tasmania (4.0%), Western Australia (2.6%), Queensland (1.9%), Australian Capital Territory (1.4%) and Northern Territory (1.1%). Total sales (5.7%).

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Since 1903, the Australian Retailers Association (ARA) has been the peak industry body representing Australia’s $265 billion retail sector, which employs over 1.2 million people. The ARA ensures retail success by informing, protecting, advocating, educating and saving money for its 5,000 independent and national retail members throughout Australia.

Visit www.retail.org.au or call 1300 368 041.

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THE Australian Retailers Association (ARA) urges all Australian state governments to stop playing politics and support the closing of the LVIT loophole following yesterday’s announcement that a coalition of American local and state government officials came together to insist on Congress levelling the tax playing field by passing the ‘Marketplace Fairness’ legislation.

The Marketplace Fairness Act (MFA) would bring sales taxes into the 21^st century enabling local stores and online sellers to operate under the same rules.

The Act helps main street businesses by allowing local and state governments to collect already-owed taxes regardless of whether a purchase is made physically in a store, on the phone or online.

ARA Executive Director Russell Zimmerman said this announcement has re-ignited the GST debate and highlights the importance of Australia following suit.

“Australian retailers have been at a disadvantage for too long as the current system is outdated and does not reflect the realities of today’s marketplace," Mr Zimmerman said.

“Unfortunately, politics had got the better of the process in Western Australia (WA), and the blame does need to be levelled at the WA State Government which is refusing to allow changes to the GST unless it gets a bigger share of the GST pie.

“The WA Government must understand the impact this tax is having on its own local retailers. This loophole is costing thousands of retail jobs in Australia – a further 33, 000 jobs will be lost by 2015 in the discretionary retail sector, having already lost 80,000 jobs since 2007.

“The ARA will not give up the fight - we will be re-engaging with all key stakeholders to once again push the case to change this unfair tax arrangement at all levels of government. We will also be sure to target those governments not acting in the best interests of their local businesses,” Mr Zimmerman said.

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Since 1903, the Australian Retailers Association (ARA) has been the peak industry body representing Australia’s $265 billion retail sector, which employs over 1.2 million people. The ARA ensures retail success by informing, protecting, advocating, educating and saving money for its 5,000 independent and national retail members throughout Australia.

Visit www.retail.org.au or call 1300 368 041.

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THE Reserve Bank of Australia’s (RBA) decision to keep the cash rate on hold at 2.5 percent will support the retail industry to achieve $45 billion in pre-Christmas sales, representing a 4.3 percent increase year on year.

Peak retail industry body the Australian Retailers Association (ARA)  Executive Director Russell Zimmerman said the current stability of interest rates has translated into a promising start to pre-Christmas trading.

“While retailers didn’t receive their Christmas wish of an interest rate cut today, the industry remains optimistic that the festive trading period is well and truly underway.

“With only three weeks until Santa arrives, foot traffic has increased in shopping precincts across Australia and retail tills are ringing.

“It seems the stable cash rate has encouraged consumers to let go of their purse strings a little earlier than usual this year, but in order for sales to continue building momentum as Christmas approaches (and for the retail industry to return to a growth of six percent) the Federal Government and RBA must do all that they can to ensure that retail trade is fully supported as consumers start their holiday shopping.

“This time last year the ARA forecast $42.2 billion would go through retail tills during the pre-Christmas trading period and this figure was later confirmed at an actual pre-Christmas spend of $43 billion. The ARA’s forecast was almost bang on, so it’s fairly safe to say the retail industry is optimistic for a cracker Christmas this year,” Mr Zimmerman said.

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Since 1903, the Australian Retailers Association (ARA) has been the peak industry body representing Australia’s $265 billion retail sector, which employs over 1.2 million people. The ARA ensures retail success by informing, protecting, advocating, educating and saving money for its 5,000 independent and national retail members throughout Australia.

Visit www.retail.org.au or call 1300 368 041.

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The Victoria Tourism Industry Council (VTIC) Chief Executive Dianne Smith has congratulated the Hon. Daniel Andrews MP, Leader of the Labor Party, and Victorian Labor on their election to government.

"On behalf of our members across the state we look forward to the implementation of the following commitments that will benefit the tourism and events industry," Ms Smith said.

These include:

- Funding for Sovereign Hill’s “Blood on the Southern Cross” experience.

- Support for the Ballarat Station precinct upgrade including proposed hotel and convention centre.

- Investment in upgrades to Geelong’s Simonds Stadium, Geelong Performing Arts Centre and St Kilda’s Palais Theatre.

- Support to further develop the Grampians Peaks Trail.

- Funding to grow Victoria’s wine industry through increased cellar door visitation.

- Commitment to widen the Tullamarine Freeway.

- Commitments to apprenticeships and training to support the creation of a well-trained, job-ready tourism workforce. 

"We urge the new government to make progress on this agenda as a priority, given its significance to the Victorian economy and wider business community," Ms Smith said.

"VTIC looks forward to working with the new government to ensure that Victoria’s tourism industry can continue to offer exceptional visitor experiences, create thousands more jobs and achieve the ambitious targets detailed in Victoria’s 2020 Tourism Strategy."

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The Victoria Tourism Industry Council (VTIC) is the peak body for Victoria’s tourism and events industry, providing one united industry voice. Tourism and events are growth industries for Victoria and contribute $19.6 billion to the state economy each year and employ more than 200,000 people.

vtic.com.au