Happy New Year! Now, you made resolutions, right? I hope you haven’t given up on them already!
Better health, fitness and increased savings have been the focus of most Australians’ New Year’s resolutions over the past five years and this has had mixed results for the associated industries.
Let’s take a look at which businesses win and which ones lose from each of the popular resolutions.
I will quit smoking and stop drinking
For many Australians, the New Year signals a fresh start to healthy living and unsurprisingly, smoking and drinking regularly top the list of vices to either quit or cut down on.
And it seems many of us are actually succeeding!
IBISWorld forecasts domestic demand for Australia’s cigarette and tobacco products to fall by five per cent next year, which is obviously bad news for the tobacco product wholesalers.
Our alcohol consumption is also expected to fall by 1.2 per cent. However, liquor retailers need not worry about their revenue, it is actually forecast to increase by 2.8 per cent.
How so? Well, despite the fact that our appetite for booze is taking a slight dip, we have simultaneously acquired a taste for the finer stuff with more Aussies switching to higher quality, more expensive alcoholic beverages.
I’m probably sipping a glass of Dom Perignon Rose as you read this…
I will save more money this year
After the crazy Christmas shopping frenzy, many of us snap back to reality and resolve to pay down credit card debt, increase their savings and invest in assets.
We actually spend less in January than in any other month!
However, as the year progresses, we often slide back into our old habits of reckless spending and the credit cards come out again in full force. But despite all the temptations of consumerism we face daily, we have been quite successful with this resolution lately.
Australia’s household savings ratio is expected to rise from 8.8 per cent five years ago to 9.9 per cent this year. This has in turn seen the financial planning and investment advice industry grow by an annualised 2.6 per cent to $4.4 billion over the past five years.
I will eat healthier
Australians are becoming increasingly aware of what they eat, and this is fuelling demand for fresh, organic, low-carb, gluten-free, dairy-free and weight-loss products.
This trend has forced supermarkets and grocery stores to expand their range of healthy products. We have also seen more healthy takeaway outlets such as salad and juice bars and frozen yoghurt chains open up all over the country.
Burgers and pizza on the other hand have gradually lost market share these past five years.
I will get fit and stay in shape
We will see a spike in gym memberships and demand for personal trainers in late January and February as many of us return from holidays and begin their New Year fitness plans.
Despite our best intentions however, Australia’s obesity level continues to climb and it is our longer working hours that deserve the most blame for our bulging waistlines.