Business

Coastal counties saw sunshine spending boost in May

Consumers splurged most on getting both themselves and their homes summer ready

AIB’s Spend Trend report for May shows that almost all seaside counties saw increased consumer spending. Photograph: Tom Honan

Ellen O'Regan
Sat Jun 17 2023 - 06:01

Coastal counties saw the benefits of a sunshine spending boost in May, as AIB’s latest spending report shows consumers splurged most on getting both themselves and their homes summer ready.

AIB’s Spend Trend report for May 2023 shows that almost all seaside counties saw increased consumer spending last month, with an overall increase of 1 per cent in daily spending across the country.

Meanwhile, the midland counties of Monaghan, Westmeath, Offaly and Tipperary all saw decreases in daily spending, as people moved to the coast to enjoy the weather.

The monthly data was compiled from around 70 million debit and credit card transactions in store and online during May.

READ MORE

Consumers splurged on health and beauty last month with an 8 per cent increase while trends seem to suggest people are getting summer ready as spending on clothing increased by 3 per cent.

There was also an 8 per cent rise in spending on hardware in May as well as a 4 per cent increase in spending on homeware, suggesting people are getting into gardening and outdoor living as the weather improves.

Despite these summer fuelled spikes in certain sectors, the data shows that groceries still account for the highest spend among consumers.

Spending on supermarket essentials remained flat in May when compared to April but had risen by 9 per cent compared with the same month in 2022, as the cost of living crisis continues to bite.

There were decreases in the hospitality sector, including a 12 per cent drop in spending in places to drink and a 10 per cent decrease in hotel spending but AIB noted this could be attributed to May having a weekend less than April this year.

[ AIB, EBS double some deposit rates for savers ]

John Brennan, head of SME banking at AIB, said that the data shows emerging summer spending habits, as well as further evidence of the rising cost of living.

“Our comprehensive data spans a great range of society and it’s interesting to note that older people had the biggest increase in hardware spend, while younger people had the highest increase in clothing spend. We can also see a spread from inland to coastal areas,” he said.

“This information is important for businesses so they can analyse the data and react to ongoing trends, allowing them to plan for the summer months and ensure they can best support their customers and offer them the services they want,” he added.

LATEST STORIES