Consumer confidence rises to 2.5-year high amid Black Friday boost

Result driven by Black Friday sales and improved buying conditions

Consumer confidence rises to 2.5-year high amid Black Friday boost

News

By Mina Martin

The ANZ-Roy Morgan Consumer Confidence Index climbed 2.7 points to 88.4, marking its strongest performance since May 2022.

This is a 12-point improvement compared to the same period last year and 5.6 points higher than the 2024 weekly average.

Consumer confidence varies across states

Consumer confidence levels varied by state.

New South Wales, Queensland, and Western Australia saw increases, while Victoria and South Australia experienced declines.

The surge in optimism was largely driven by improved perceptions of current buying conditions during the Black Friday and Cyber Monday sales period, ANZ-Roy Morgan reported.

Financial sentiment sees gradual shifts

Current financial conditions

Fewer than one in four Australians (23%) feel their families are better off financially than a year ago, a modest one-point increase. Meanwhile, 47% report being worse off, unchanged from the previous week.

Future financial conditions

Optimism for the year ahead grew slightly, with 34% expecting their families to be better off financially next year (up two points), while 29% foresee worsening conditions (down two points).

Economic outlook remains cautious

Short-term economic confidence

Just 8% of Australians anticipate “good times” for the economy in the next year, a two-point dip, compared to 29% predicting “bad times.”

Medium-term economic confidence

Longer-term outlooks showed slight improvement, with 12% expecting “good times” over the next five years (up two points) and 19% predicting “bad times” (unchanged).

Black Friday boosts spending confidence

The annual Black Friday and Cyber Monday sales lifted the “time to buy major household items” index by seven points, reaching 31% – the highest figure since April 2022.

The proportion of those saying it’s a “bad time to buy” dropped slightly to 42%, the lowest level since June 2022.

Expert insights from ANZ

ANZ-Roy Morgan Australian Consumer Confidence rose 2.7 points last week to 88.4, its highest level since May 2022,” said ANZ economist Sophia Angala (pictured above).

“The ‘time to buy a major household item’ sub-index saw its largest weekly rise since Black Friday sales in 2023.”

Angala also highlighted a dip in inflation expectations to 4.8%, a decline from the previous week’s 5%, aligning with RBA’s target.

The data underscores how seasonal sales and stable inflation can buoy consumer

Read the ANZ-Roy Morgan Consumer Confidence report in full here. To compare with the previous week’s, click here.

Get the hottest and freshest mortgage news delivered right into your inbox. Subscribe now to our FREE daily newsletter.

Related Stories

Keep up with the latest news and events

Join our mailing list, it’s free!