Our take on the latest Retail trade survey (Mon 24 Aug 2020)
Retail volumes down 9.5%pa
Supermarket and liquor spending both up 17%pa
Spending on accommodation down 21%pa
The key numbers...
- Retail trade volumes were down 9.5%pa in the June quarter, the largest fall on record.
- Supermarket spending jumped 17%pa, as did liquor spending; non-store retailing grew 11%pa, with these categories being the most accessible during COVID-19 Alert Levels 3 and 4.
- Spending on accommodation fell 21%pa; clothing, footwear, and accessories spending dropped 18%pa; and spending on food and beverage services fell 15%pa, as activity in these segments was severely constrained.
- For the same reasons, motor vehicles and parts retailing declined 17%pa.
Winners and Losers
Retail Spending by Category - June 2020 quarter (% change from June 2019 quarter)
...and our reaction
- Supermarket spending, the largest component of retail spending, more than doubled its growth rate from the March quarter, which was already a record.
- Non-store and commission-based retailing grew 11%pa, showing a boost in online retailing due to restricted access to brick-and-mortar stores.
- Spending on electrical and electronic goods increased 9.6%pa, with this sector also benefiting from increased online retail activity.
- Spending on accommodation and food and beverage services will remain constrained in light of the continued border closure and absence of international tourists.
- The extension of Auckland’s Level 3 lockdown, and the Level 2 restrictions for the rest of the country until at least September 6, will add to the burden on the retail sector.
Latest updates
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-0.5% Total retail sales volumes in the June 2026 quarter (seas. adj.)+0.7% Core retail sales volumes in the June 2026 quarter (seas. adj.)+6.5%pa South Island core retail sales in the June 2026 quarterPremium
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Mon 23 Feb 2026
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Retail spending recovery gaining traction
Thu 27 Nov 2025
Quarterly
Core retail sales volumes up 1.2% in September (seas. adj.)
Seven of 13 core industries saw quarterly rises (seas. adj.)North Island growth starting to follow the South’s lead