Home topics news Credit: Eduardo Soares News News Where are Aussies cutting back spending? Yajush Gupta May 30, 2023 In the current economic landscape, SMEs must closely monitor consumer spending habits to anticipate market shifts and align their business strategies accordingly. According to Tracksuit’s data analysing consumer behaviour changes over the past three months, Australians are tightening their belts and reducing expenditures in several key areas. The data reveals interesting insights into the spending habits of Australians over the past three months, particularly in response to increasing costs. Among the various categories, groceries, eating out, and clothing are the top areas where Australians are cutting back on their expenses. Notably, a significant percentage of Australians, 65 per cent, have reduced their spending on groceries. This trend is particularly prominent among the younger demographic aged 18-34, who are the most likely to cut back in all three categories: groceries, eating out, and clothing. Regarding the reduction in grocery spending, consumers are employing different strategies. Approximately half of those cutting back on groceries have opted for cheaper alternatives. Additionally, 47 per cent have decreased the amount they buy. Regionally, consumers in Queensland have shown the highest inclination to cut back on groceries, with 68 per cent of respondents from this region indicating a reduction in their grocery spending. In Victoria, 66 per cent of consumers have also curtailed their grocery expenses, followed closely by those in New South Wales and the Australian Capital Territory, where 63 per cent have made similar adjustments.