Consumer spending grew much faster than the population. In 2024 it reached $117m, 22% ahead of 2023 ($96m), ad 66% ahead of 2019 ($55m). Over the five years to 2023 (the latest data) the June population grew by 40%, well behind 138% growth in spending over the five years to March 2024.
The main reason for this difference is increased spending per head. Additional resident numbers accounted for $11.2m of the growth and higher spending per person accounted for $28m.
The reasons for higher spending per head include:
· Average household incomes rising as more working people moved into an area long dominated by a largely retired population;
· Increased construction, trade, and business-related spending;
· The introduction of two large format stores – Bunnings and New World – enabling residents to meet more of their spending needs locally rather than elsewhere (reducing spending “leakage”); and
· The additional retail capacity encouraging people from a wider catchment to shop in Mangawhai (from elsewhere in Kaipara, the southern part of Whangarei District, and the northern part of Auckland).
At the same time, visitor spending grew by $20m (69%) to reach $50m in 2024, accounting for 34% of total retail growth, compared with 19% due to the gain in population and 47% due to higher spending per resident.