01/11/2024 Savvy shoppers gear up for sales, urged to be alert for scammers

Savvy shoppers gear up for sales, urged to be alert for scammers

1 November 2024

Australians anticipate spending just over $600 (per person) this Black Friday and Cyber Monday, with men, on average, looking to spend about $220 more than women^[1]. Clothes are the most popular sales purchase (46%), followed by technology (28%) and homewares (21%).

However, spending may be slightly down year on year. The average Australian estimates they spent around $630 during last year's sales events, more than anticipated spending this year.

Many are also using the discount and deals bonanza to save ahead of the festive season. Over half of Australians plan to buy items for Christmas during sales (56%), and close to a quarter (23%) are saving money to participate in Black Friday and Cyber Monday sales.

"Australians have marked the Black Friday and Cyber Monday sales on their calendar and plan to make the most of the deals on offer from retailers," said Westpac's Managing Director, Cash & Transactional Banking, Mandy Rutherford.

"While there's been a slight reduction in shopping budgets this year, on average consumers are still looking to spend around $600 in the sales, with clothes, technology, and homewares topping the wish list.

"We're also seeing shoppers get savvy with their spending - with one in two Australians planning to shop the sales ahead of Christmas. Bargain hunters should beware though of scammers looking to capitalise on the Black Friday frenzy," said Rutherford.

Almost 40 per cent (38%) of Australians say they have previously been exposed to a buying or selling scam online during festive season sales, particularly when looking to purchase technology items (37%) and clothes (31%).

"Sometimes, when faced with the lure of a large discount, it's hard to determine a good discount and a too good to be true discount. Plan your purchases, and pause before you buy, to ensure that they are within your budget and you are buying from a reputable retailer," said Rutherford.

Westpac Senior Economist Matthew Hassan says the data reflects a similar trend to 2023, with spending spiking during sales as bargain hunters made their money go further but dropping off steeply in non-sales periods as people worked to tighten their belts.

"People want to economise in the lead-up to Christmas gift-giving, planning their purchases to save on spending. But despite best-laid plans, impulse purchases still happen at the checkout, and retailers will be working hard to encourage people to spend.

"We know some retailers are doing it tough, with the rising costs of doing business, so we may not see those huge discounts we have seen in previous years," Hassan said.

For Westpac customers looking to make the most of these sales, they have access to exclusive cashback offers in the Westpac app. Eligible customers can also save on sales spending by purchasing with their points in an Australian first-with Westpac Altitude Rewards customers able to use their Altitude Points towards purchases where Mastercard is accepted.

For added protection, Westpac customers are encouraged to use their Westpac digital card when shopping online. Westpac's digital card features a dynamic CVC that changes every 24 hours, preventing criminals who obtain card details from making ongoing payments on the card.

This year, Black Friday falls on Friday 29 November, with Cyber Monday occurring on Monday 2 December.

ENDS

^[1] Men $721.8; cf. Females $499.4

Three top tips for staying safe when shopping sales:

Pause before you buy: A moment of pause before buying can prevent impulsive decisions and ensure you're dealing with a reputable retailer, especially if buying on social media and online marketplaces, such as Facebook Marketplace. Check the seller's reputation and reviews, do a reverse image search on Google for photos of the item you're buying, and be on the lookout for red flags such as incorrect spelling.

Use secure payment services: Check if your bank provides features that could help prevent scammers from intercepting and using your card details. If you have a Westpac credit or debit card, use your Digital Card found within the Westpac app with its three-digit security code (CVC) that changes every 24 hours. Steer clear of payment methods like direct digital transfer to unverified recipients, gift cards, cash, currency exchange offices, or cryptocurrency, as they may be used by scammers.

Remain vigilant: If you purchase items in sales and anticipate notifications about shipping, always visit the business website directly to find out about your order. It is common for scammers to claim to be a delivery service via a text message, including a link to track delivery. The link may download software onto your device, allowing the scammer to steal money or personal information or link you to a fake website.

For more tips on staying safe when online shopping, visit the Westpac website.

Additional tools to help customers stay safe online and manage their spending in the Westpac app include:

• Savings Goals: Enables customers to set up multiple savings goals and track progress in their app, helping them stay motivated when saving and better plan their spending.
• Budget Planner: Can help avoid overspending by detailing how much available cash a customer has once they have set their monthly money ins and outs, allowing them to plan their spending based on their income and monthly expenses.
• ShopBack: Allows more than five million Westpac credit and debit card customers to access exclusive offers via the Westpac app and a dedicated Westpac page in the ShopBack app and website.
• Pay with Points: An Australian first, customers can use Altitude Rewards Points on everyday items anywhere Mastercard is accepted.
• Westpac SaferPay: An Australian-first innovation, Westpac SaferPay alerts customers to potential scams through a series of questions served to a customer making a new payment that is detected to have high scam risk.
• Westpac Verify: An up-front risk indicator to alert customers when there is a potential account name mismatch when they're adding a new payee using a BSB and account number.
• Dynamic CVC: A temporary Card Verification Code that changes every 24 hours for security purposes.

About Westpac research: The research was commissioned by Westpac and conducted by Lonergan Research in accordance with the ISO 20252 standard. Lonergan Research surveyed 2,009 Australians 18+ with surveys distributed throughout Australia including both capital city and non-capital city areas. The survey was conducted online amongst members of a permission-based panel, between Friday 4th of October 2024 and Monday 14th of October 2024. After interviewing, data was weighted to the latest population estimates sourced from the Australian Bureau of Statistics.

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