The latest Retail Trade Survey figures released by Stats NZ show an increase in retail sales for the quarter ending December.

Core retail sales rose 4.5 per cent to $27 billion in the quarter, outpacing inflation and led by gains in pharmaceuticals and electronics.

“Pharmaceuticals and other store-based retailing experienced a big jump, which may have been buoyed by the increasing presence of big box pharmacies,” said Carolyn Young, Retail NZ CEO.

“This market segment also includes souvenir shops and stationery stores where the holiday spending period was likely a factor,” she said.

In addition, sales of electronic goods, which dominate the Black Friday sales period at the end of November, saw an increase. 

Despite the rise in sales value, stock values for core retail industries declined by 0.5 per cent compared to last year.

For the clothing, footwear and accessories segment, there is a steeper decline, with stock values down 4.9 per cent.

“While the decrease in stock values was just half a per cent, it reflects what we are hearing from our members, that retailers are adjusting their stock levels and softening their sales targets to reflect the restrained levels of consumer spending,” said Young.