Zip Co's Spending Index from January to March 2021 indicates domestic spending on leisure and holiday activities skyrocketed when compared to the same period last year as international borders remained closed.
The buy now, pay later platform's spending data is based on transactions from its 1.5 million customers and 300,000 Pocketbook users.
Zip's chief operating officer Peter Gray said while the local tourism industry is still missing the international dollar, the data shows Aussies are out there "driving, diving and jumping in to support them".
“Zip’s data shows that while people couldn’t get overseas this summer, it hasn’t stopped them getting out of the house," he said.
"Caravan dealers are selling over double from this time last year and scuba-diving spend is almost four times what it was."
Takeaway spending is also up 18% on this time last year, despite sporadic lockdowns across a few states through the quarter.
The table below features personal loans with some of the lowest interest rates on the market.
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The comparison rates in this table are based on a loan of $30,000 and a term of 5 years unless indicated otherwise. The comparison rates are for unsecured personal loans only for the relevant amounts and terms. The comparison rates for car loans and secured personal loans are for secured loans unless indicated otherwise. WARNING: This comparison rate applies only to the example or examples given. Different amounts and terms will result in different comparison rates. Costs such as redraw fees or early repayment fees, and cost savings such as fee waivers, are not included in the comparison rate but may influence the cost of the loan. Comparison rates are not calculated for revolving credit products.
Monthly repayment figures are estimates only, exclude fees and are based on the advertised rate for the term and for the loan amount entered. Actual repayments will depend on your individual circumstances and interest rate changes. Rates correct as of November 23, 2024. View disclaimer.
Commonwealth Bank's latest household spending intentions report also shows improvement across five of its seven categories: home buying, travel, entertainment, education, and motor vehicles.
Health and fitness spending was flat, and retail spending intentions were lower, but CommBank put this down to the sharp spike last year as people bought home gym equipment and hoarded groceries and toilet paper.
“The travel sector was among the hardest hit by the onset of the COVID pandemic, with border closures and a country-wide lockdown stifling nearly all travel-related activity,” CommBank chief economist Stephen Halmarick said.
“This month’s data, while distorted by base-effects, still demonstrates how far the sector has recovered since last year.”
Zip director of corporate affairs Matthew Abbott says this could change with the Trans-Tasman bubble opening.
"Aussies are itching to travel overseas so we’re likely to see an increase in spending across accommodation and air travel, rentals like Airbnbs, now that the trans-Tasman bubble is open," he said.
"Spending in domestic outdoor holiday activities will stabilise when international borders fully reopen, as some Aussies remain cautious."
Private investigator spending up, aged care spending down
The Federal Chamber of Automotive Industries (FCAI) also reported an uptick in new car sales throughout the first quarter of 2021, albeit compared to a very low base at the start of 2020.
Zip's 'Detective and Investigator Services' spending category was also up 109% in the first quarter of 2021.
Spending on aged care was also down nearly 60%, which Zip puts down to the fallout of the Aged Care Royal Commission, as well as COVID affecting those facilities.
Despite the slow vaccine rollout, Australia is performing strongly in terms of COVID cases and deaths, and New Zealand recently welcomed its first Australian arrivals in more than a year.
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For home loans, the base criteria include a $400,000 loan amount over 30 years. For car loans, the base criteria include a $30,000 loan over 5 years. For personal loans, the base criteria include a $20,000 loan over 5 years. These rates are only examples and may not include all fees and charges.
*The Comparison rate is based on a $150,000 loan over 25 years. Warning: this comparison rate is true only for this example and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate.
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