Posted December 03, 2018 12:31:00 The price of Christmas decorations is rising again, with many Australians struggling to afford them.
A number of big-name holiday brands are also struggling to make up the $600 million shortfall, with some retailers saying they will no longer be able to sell decorations this year.
Key points:The cost of holiday decorations in Australia is expected to rise by $600m over the next four yearsThe major brands are all struggling to survive the Christmas slumpThe government says it will spend $600million on holiday decoration subsidiesThe cost for a Christmas tree is $10,000, according to the Australian Bureau of StatisticsThe government is spending $600,000 this Christmas on Christmas decorations, which will add to the $11 billion it is projected to spend over the course of the year.
It is estimated that, by 2021, Australians will spend an average of $10.6 billion on holiday decorations, with the cost expected to climb to $20.5 billion.
However, many of the major retailers, including A&C, Coles, Woolworths, Marks & Spencer, H&, and JB Hi-Fi, are struggling to compete, according a report from the Australian Retailers Association.
“The Christmas season is a difficult time for retailers and retailers will be hit particularly hard by Christmas day prices,” the report said.
“This will have an impact on the cost of all of the goods and services consumers purchase from retailers.”
In the past, the big Christmas retailers were able to get Christmas decorations for less than $500, but that has changed.
The cost is now estimated to be $600 for a single-piece Christmas tree, $1,500 for a two-piece, and $3,000 for a three-piece.
While some retailers have been able to offer discounts on Christmas Day, most have struggled to compete on price.
This means many consumers are paying more for Christmas decorations than they would for comparable goods.
“Christmas is a big season for retailers, especially with our budget and the economy,” A&am spokesman David Kelleher said.
But he said they were also trying to compete with the new season, which has a lot more shopping, including a significant increase in travel.
“It is also very exciting for consumers who are coming in to the festive season and will have plenty of shopping opportunities to do so,” he said.
The Government has earmarked $600 billion over the period to help retailers cope with the surge in demand.
It will spend the money on holiday decorations, which are meant to make a Christmas day purchase less expensive.
But it is unclear whether the government will continue to subsidise the festive market.
The National Association of State Holiday Stores has called for the federal government to stop subsidising the Christmas market.
“We have seen many stores and businesses, including those with significant Christmas-related revenue, continue to make Christmas day sales significantly lower than the average Christmas Day retail price,” its president, Mark Wilson, said.
He said the government’s response had been to increase the Christmas discount by an average $1.25 to $10 in the past year, but it was unclear how much this was worth.
“If the government is serious about Christmas and keeping the Christmas season affordable, they must consider this issue as well,” Mr Wilson said.