Unlike other European countries, the pillar of the Irish economy has never been domestic demand, but rather a focus on the international market, serving the entire European continent and even the globe. The Irish government prioritizes attracting foreign investment as the cornerstone of its economic development, with low taxation serving as a key "trump card." Many overseas investors, targeting Ireland's numerous preferential investment policies, view investment immigration to Ireland as their premier choice. As the Irish economy continues to recover, domestic consumption is also gradually increasing. According to the retail association Retail Ireland, it is estimated that Irish households will spend nearly 2450 euros this Christmas, an increase of 3.5% compared to last year, and 600 euros more than in other months.
This Christmas will be the busiest period for shops in Ireland since the 2008 economic crisis. With only a dozen days left until Christmas, it seems this year will be a happier one for most retailers.
Fashion, footwear, electronics, and furniture are performing best among many product categories.
Competition for foot traffic among stores has made Christmas shopping more affordable, with retailers offering consumers more high-quality, low-cost products, especially in the food and beverage category. This Christmas shopping forecast also tracked sales promotion data from retailers over a 10-month period, showing a 2% year-on-year increase in sales. Retail Ireland states that there are many reasons for this.
Additionally, nearly 59,000 more people are employed in Ireland for the Christmas season, and increased employment means more people have more money to spend. Most working-class households are 3% better off than they were last year, which has once again boosted disposable income.
Retail Ireland Director Thomas Burke stated: "As we enter the busy Christmas period, Irish retailers are feeling more positive and optimistic. The coming weeks will be the most important sales period of the year, and key indicators are all pointing in the right direction."
"The recovery in the retail sector is not evenly distributed; sales growth remains weak in categories such as books, news media, stationery, and groceries," he said. "The consumer's continued demand for value explains the difference between retail volume growth and value growth, with volume growth being more than three times that of value growth, which further indicates that Irish shops are all offering discounts and promotions. While this is not ideal for retailers, it is a boon for Irish consumers as they continue to hunt for Christmas bargains."