Motor vehicle sales bump up retail spending

Seasonally adjusted retail sales rose 0.4 percent in May 2010, Statistics New Zealand said today. This rise was led by a 2.3 percent ($33 million) increase in vehicle-related sales, which were partly offset by a slight (0.2 percent or $10 million) decrease in core retail sales.

The vehicle-related industries recorded both the largest increase and the largest decrease of the 24 retail industries this month. Motor vehicle retailing rose 7.5 percent ($43 million), while automotive fuel retailing fell 1.9 percent ($11 million).

In core retailing (which excludes the four vehicle-related industries) this month’s sales decrease was led by a fall in the hospitality industries. Falls in accommodation, and cafes and restaurants were only partly offset by a slight increase in bars and clubs.

Actual sales for core retailing were 0.6 percent lower in May 2010, than in May 2009. This is only the fourth time that monthly sales have fallen from a year before, since the series began in 1995.

Sales trends for both total and core retail sales have remained flat since late 2009.

Geoff Bascand 14 July 2010

Government Statistician

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For more information, including data tables, see Retail Trade Survey: May 2010.