It is 'fashionable to be practical' this Christmas

Aussies think it is fashionable to be practical when it comes to buying Christmas presents this year so their savings accounts do not take too much of a hit.

This is according to new findings from the Australian National Retailers Association (ANRA) and American Express Annual Christmas Survey.

Some 1,000 people were questioned as part of the study, which found that Aussies are being cautious when it comes to splashing out, as 13 per cent expect to spend more than last year, while 34 per cent expect to spend less.

Department stores are to be this year’s number one destination for gifts and one in five people will be purchasing gift vouchers, the research revealed.

ANRA chief executive officer Margy Osmond commented: "Clearly, it’s fashionable to be practical this Christmas.

"The humble gift voucher is very popular with the baby boomers."

It is thought that many people will be converting their credit card rewards into retail vouchers.

A similar sentiment was revealed in the Westpac-Melbourne Institute Consumer Confidence Index published last week, which showed 35 per cent of Aussie households will not be spending as much as last year.

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