Shift to appliances and practical gifts
Instead of going to the coast these summer holidays, many families are staying home and spending their 13th cheques on large appliances like fridges and washing machines.
Massmart, the JSE-listed retail group whose chains include Game, Makro and Dion Wired, has seen a shift to buying practical gifts this year.
The stay-at-home trend is seen in an uptick in DIY equipment along with braai and other family get-together accessory sales.
Game merchandise director Tyrone Vieira said: “Consumers are opting for practical purchases which are less indulgent, like school items for their children.”
Game’s top-selling Christmas items so far are personal navigation devices, especially the Garmin Nuvi range.
Apple iPods are Game’s second-biggest seller, followed by computer gaming consoles Xbox Arcade and the new Slimline PSP.
Vieira said the chain has seen no resistance to large-ticket items. Consumers are willing to spend, and discount stores like Game are benefiting from people being more price-conscious this Christmas.
Flat-panel TVs are Game’s fourth-biggest seller. Sister Massmart chain Dion Wired’s best seller is the Samsung Full High Definition LCD TV.
Dion Wired general manager Greg Hirsch said: “The iPhone and iPods are proving very popular among the youth.
“Smaller kids are asking for a Nintendo Wii, with its games and add-on peripherals such as extra remotes and steering wheels.
“Older kids and adults tend to go for the PS3 and the Xbox. Portable in-car DVD players are proving to be popular with people travelling on holiday by car.
“Middle-aged adults are buying LCDs and digital SLR cameras, and digital photo frames have been a sought-after Christmas present.”
Makro merchandise director Derick Kalan said: “Judging by the mix of category sales at present, we must assume that many consumers will be substituting their holiday getaway with shorter family excursions and get-togethers.
“There is a notable shift to useable, practical products that are being bought as gifts. These include laptops, printers, small appliances, cellphone contracts, GPS units, bicycles, treadmills, gym equipment, racket sports, gaming software, board games and so on.”