Big retailers like Kmart had ‘little impact’ on Ashburton CBD
By local democracy reporter Jonathan Leask:
Large retailers popping up outside Ashburton’s CBD have had little impact on spending in the town centre, according to a new report.
Infometrics was commissioned to analyse how major retailers operating outside the CBD zone were impacting central economic activity, and the wider Ashburton economy.
The report was in response to the Ashburton District Council recognising the potential impact of new retail developments on the CBD.
The developments include the River Crossing precinct, which opened at the end of 2022 with Kmart as the anchor tenant.
On the other side of SH1, Briscoes shifted out of the CBD to set up next to a new Rebel Sport in April, with a Chemist Warehouse opening next door.
Infometrics analysis found that, to date, the value of electronic card spending in Ashburton's CBD has been relatively consistent since October 2021.
“Given inflation over this period, this suggests a slight pullback in real spend per transaction, however, there is no clear effect associated with the opening of Kmart,” the report said.
Total spending, excluding fuel, grocery and alcohol, in Ashburton’s CBD rose 5.6% between the first half of 2022 and the first half of 2023, ahead of the national increase of 3.2%.
Infometrics also found there was little evidence that the introduction of new retailers outside of the CBD hurt overall retail employment.
As of February 2023, there were 1570 people employed in retail in central Ashburton (the CBD area and the fringe retail centres), up 60 people from February 2022.
The report suggested the rise was likely driven by Kmart's opening and associated hiring activity.
Kmart is understood to have added 100 jobs between February 2022 and February 2023, but the net growth being less, a net 55 jobs, “could suggest that other department stores and leisure retailers have either been unable to replace staff lost to Kmart or have otherwise reduced their staffing”.
The report concluded that spending had been similar to before big box retailers moved in.
“Overall the retail sector is under a degree of stress nationally, reflecting the cost of living pressures being borne by households, and the flow on effect to their spending.
“With spending eroded by still-high inflation, modest nominal growth in sales could translate to a decline in real sales.”
The report cost $4000, with data costing $2325.
A report on the impact on the wider Ashburton economy has not yet been received.
Poll: Should we be giving the green light to new mining projects? 💰🌲
The Environmental Protection Authority announced this week that a proposed mine in Central Otago (near Cromwell) is about to enter its fast-track assessment process. A final decision could come within six months, and if it’s approved, construction might start as early as mid-2026.
We want to know: Should mining projects like this move ahead?
Keen to dig deeper? Mike White has the scoop.
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53.1% Yes
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46.9% No
‘Tis the season to not get scammed ...
As Christmas gift shopping moves increasingly online, scammers are ramping up their activity across the country.
Dunedin’s Investigation Support Unit is seeing more and more people fall victim to scams and other fraudulent activity, particularly on Facebook Marketplace.
There are a few ways to avoid the scams and keep yourself safe doing online trades this holiday season, says Southern District Service Delivery Manager Senior Sergeant Dalton.
🔒 “A good first step when looking to purchase something on Marketplace is to check when the seller’s Facebook profile was created. If it’s very recent, there is a higher risk that they have just created this account for a one-off fake item.”
🔒 Another important step is to make sure the seller’s profile name and bank account name match up. “We’re seeing a lot of scammers claiming their bank account name is different because it belongs to their partner or family member - that’s a huge red flag."
🔒 “When you’re selling, never trust a screenshot anyone sends you showing that payment has been made. Check your own bank account to make sure a payment has gone through."
🔒 “Quite frankly, it’s best for all parties to agree to pay, or be paid, for items in cash and in-person. Ideally in a public place with CCTV coverage."
🔒 "If you’re buying a car, check Carjam.co.nz to see if it’s stolen or if there’s money owed on it.”
A reminder: Suspicious activity can be reported on 105
Turn Wallpaper Scraps into Beautiful Blossoms
These blossoms made from Resene wallpaper left over after decorating will mean your décor will be blooming gorgeous, no matter the season. Find out how to create your own wallpaper flowers with these easy step by step instructions.
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