1 00:00:00,120 --> 00:00:01,800 Speaker 1: You want some more than news. I got some. Here 2 00:00:01,840 --> 00:00:03,640 Speaker 1: we go from our light at the end of the 3 00:00:03,640 --> 00:00:06,360 Speaker 1: tunnel file. We found renewed confidence in the retail sector, 4 00:00:06,360 --> 00:00:09,360 Speaker 1: if you can believe it. June numbers so nearly seventy 5 00:00:09,400 --> 00:00:11,120 Speaker 1: percent think they're going to make it through to next year. 6 00:00:11,119 --> 00:00:13,360 Speaker 1: That's up from fifty seven, so that's a material increase. 7 00:00:13,440 --> 00:00:15,160 Speaker 1: Carolyn Young is of course, the retail in New Zealand 8 00:00:15,240 --> 00:00:17,360 Speaker 1: chief executive, and she's with there's Carolyn morning to you. 9 00:00:18,320 --> 00:00:19,640 Speaker 2: Good morning, Mike, thanks for having me. 10 00:00:19,800 --> 00:00:22,160 Speaker 1: Not at all. Sixty two percent missed their sales target. 11 00:00:22,200 --> 00:00:24,000 Speaker 1: See I always think that's weird. If you set your 12 00:00:24,000 --> 00:00:26,440 Speaker 1: sales target all wrong in Wonky, of course you're going 13 00:00:26,440 --> 00:00:27,760 Speaker 1: to miss it. I mean, depends what you set it 14 00:00:27,800 --> 00:00:28,400 Speaker 1: at it, don't you. 15 00:00:29,760 --> 00:00:32,280 Speaker 2: Well, obviously you're setting your sales target at stock that 16 00:00:32,280 --> 00:00:36,239 Speaker 2: you're purchasing, so you're purchasing stock on the expectation that 17 00:00:36,320 --> 00:00:38,280 Speaker 2: you'll sell it. And of course you're buying stock six 18 00:00:38,360 --> 00:00:41,600 Speaker 2: or nine months earlier. And we had been talking all 19 00:00:41,640 --> 00:00:44,640 Speaker 2: through twenty twenty four about the survive to twenty five. 20 00:00:45,320 --> 00:00:48,120 Speaker 2: But you know, twenty twenty five hasn't quite been as 21 00:00:48,159 --> 00:00:51,920 Speaker 2: boyant as great hope. So you know, looking ahead, retailers 22 00:00:51,920 --> 00:00:56,320 Speaker 2: are thinking Christmas is coming, you know boxing day sales, 23 00:00:56,400 --> 00:00:58,560 Speaker 2: you know the Christmas build up, you know that's going 24 00:00:58,600 --> 00:01:00,720 Speaker 2: to be a positive. I've already bought my Christmas in 25 00:01:00,760 --> 00:01:04,440 Speaker 2: summer stock. I'm starting to look at paying for it shortly. 26 00:01:04,600 --> 00:01:07,600 Speaker 2: Sales will return back at that time by the time 27 00:01:07,600 --> 00:01:10,039 Speaker 2: we get there with the economic sectors we're looking for. 28 00:01:10,080 --> 00:01:12,200 Speaker 1: Which is my next question. This is the critical part 29 00:01:12,240 --> 00:01:14,440 Speaker 1: the seventy percent. How much of that seventy percent is 30 00:01:14,480 --> 00:01:16,679 Speaker 1: based on all the economists and the so called experts 31 00:01:16,720 --> 00:01:18,800 Speaker 1: saying stand by, stand by, stand by, the good news 32 00:01:18,840 --> 00:01:21,480 Speaker 1: is coming versus the so called reality. Might we be 33 00:01:21,560 --> 00:01:23,880 Speaker 1: wrong and therefore their optimism is delusional. 34 00:01:25,760 --> 00:01:27,959 Speaker 2: Absolutely. Look, I think there's two factors in here. One 35 00:01:28,080 --> 00:01:30,720 Speaker 2: is that you know, all those economic factors, the headline 36 00:01:30,760 --> 00:01:33,200 Speaker 2: numbers are. You know, everyone's talking up a good talk, 37 00:01:33,240 --> 00:01:35,280 Speaker 2: and we actually have to see as turn around in 38 00:01:35,319 --> 00:01:39,160 Speaker 2: consumer confidence because until consumers see more money and their 39 00:01:39,200 --> 00:01:41,080 Speaker 2: wallet at the end of the week before their payday, 40 00:01:41,560 --> 00:01:43,399 Speaker 2: then they're not going to go out and spend any money. 41 00:01:44,160 --> 00:01:48,440 Speaker 1: No. Is it geographic and sectorial in other words, I 42 00:01:48,440 --> 00:01:50,360 Speaker 1: mean some if you can't do well in Queenstown at 43 00:01:50,400 --> 00:01:52,640 Speaker 1: the moment, you're not doing business properly. So is it 44 00:01:52,840 --> 00:01:54,200 Speaker 1: random depending on where you look. 45 00:01:55,960 --> 00:01:59,800 Speaker 2: It is definitely in the provinces and rural areas stronger 46 00:01:59,840 --> 00:02:03,680 Speaker 2: than it is in Auckland and Wellington for example. So 47 00:02:04,040 --> 00:02:07,360 Speaker 2: you know you're just talking about the rural sector that's 48 00:02:07,440 --> 00:02:10,840 Speaker 2: absolutely applicable here. You know, that is really holding up 49 00:02:11,880 --> 00:02:14,520 Speaker 2: that those funds are going back into those local economies. 50 00:02:14,960 --> 00:02:19,000 Speaker 2: So that's helping more buoyancy in those provincial areas in 51 00:02:19,040 --> 00:02:21,520 Speaker 2: New Zealand compared to the urban areas. 52 00:02:21,639 --> 00:02:23,760 Speaker 1: Good stuff, Carolyn. Always enjoy to have you on the program. 53 00:02:23,760 --> 00:02:25,840 Speaker 1: Carolyn Young, Retail New Zealand Chief Executive. 54 00:02:26,240 --> 00:02:29,120 Speaker 2: For more from the MI Casking Breakfast, listen live to 55 00:02:29,240 --> 00:02:32,320 Speaker 2: news talks that'd be from six am weekdays, or follow 56 00:02:32,360 --> 00:02:33,919 Speaker 2: the podcast on iHeartRadio.