4th April 2024
Sydney, Australia – The latest Beforepay Cost of Living Index reveals consumer spending decreased by 0.82% month-on-month in March. The new data shows daily average spending dropped to $60.28 in March, down from $60.78 in February. This decrease could mean that more Australians are feeling financial pressure due to increasing house and rent prices, leading to reduced spending in the categories measured in the Cost of Living Index.
The month-on-month decrease was largely driven by a decrease in average daily spend on groceries, down 2.46% from $15.07 to $14.70, and petrol down 1.43%, down from $7.68 to $7.57 as Australians start to pull back spend in essential categories.
When compared to February 2024, almost all categories saw a decrease in average daily spend. The only categories that did not see a decrease in average daily spend were shopping and durable shopping, a category that includes white goods. Shopping had a 1.07% increase from $7.5 to $7.58, and durable shopping goods saw a small 0.91% increase in average daily spend from $6.61 to $6.67.
When looking at the percent change in spend, fitness and health saw the largest decrease in average daily spend, reducing by 3.10%, suggesting that some Australians might be throwing in the towel on achieving their new year resolution of improved fitness resulting in gym membership cancellations.
Although there was a decrease in month-on-month spend, the year-on-year numbers show Australians are still spending 5.44% or $3.11 more each day than they did in March 2023 where the average daily spend was $57.17.
Kasey Kaplan, Chief Commercial Officer of Beforepay (ASX:B4P), said of the latest data: "With the latest figures from Beforepay’s March 2024 Cost of Living Index, we are seeing the cost of living pressure build, resulting in Australians having to pull back spend in essential categories. Setting budgets and not overspending is something everyone should consider to help improve their financial position in the current economy.”
The month-on-month decrease was largely driven by a decrease in average daily spend on groceries, down 2.46% from $15.07 to $14.70, and petrol down 1.43%, down from $7.68 to $7.57 as Australians start to pull back spend in essential categories.
When compared to February 2024, almost all categories saw a decrease in average daily spend. The only categories that did not see a decrease in average daily spend were shopping and durable shopping, a category that includes white goods. Shopping had a 1.07% increase from $7.5 to $7.58, and durable shopping goods saw a small 0.91% increase in average daily spend from $6.61 to $6.67.
When looking at the percent change in spend, fitness and health saw the largest decrease in average daily spend, reducing by 3.10%, suggesting that some Australians might be throwing in the towel on achieving their new year resolution of improved fitness resulting in gym membership cancellations.
Although there was a decrease in month-on-month spend, the year-on-year numbers show Australians are still spending 5.44% or $3.11 more each day than they did in March 2023 where the average daily spend was $57.17.
Kasey Kaplan, Chief Commercial Officer of Beforepay (ASX:B4P), said of the latest data: "With the latest figures from Beforepay’s March 2024 Cost of Living Index, we are seeing the cost of living pressure build, resulting in Australians having to pull back spend in essential categories. Setting budgets and not overspending is something everyone should consider to help improve their financial position in the current economy.”
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About Beforepay
The Beforepay Cost of Living Index shows the average daily spend of Beforepay registered users across multiple household expense categories. As of June 2023, the average annual individual Beforepay customer gross income was $60,469 (counting only the main source of income) with a broadly representative geographic and gender breakdown. The data may vary depending on the main bank account linked with Beforepay. To the maximum extent permitted by law, Beforepay and its related bodies corporate, make no representation or warranty, express or implied, as to the accuracy, completeness, timeliness or reliability of the contents of this article and do not accept any liability for any loss whatsoever arising from the use of this article or its contents or otherwise arising in connection with it.
For more information about the Cost of Living Index visit the Beforepay website: https://blog.beforepay.com.au/tag/cost-of-living-index
Contact Information: mediaenquiries@beforepay.com.au
