Australian shoppers are used to retail discounts, from the classic ‘buy one, get one free’ through to more sophisticated loyalty card offers.
But a 29% discount? That stands out. And a host of small businesses are offering the unusual offer on Thursday, commemorating February 29 — the leap day in the 2024 leap year.
Consider businesses like handbag and softcase brand Bon Maxie, which is today offering 29% “almost everything” for its leap year sale.
Or jewellery brand Middle Child, which is proudly offering 29% off 29 distinct styles, for 29 hours only.
Natural Supply Co, a purveyor of organic and sustainably-produced makeup and accessories, has announced its own 29-hour, 29-item sale (for a 20% discount, but the implication is still clear).
And fitness equipment retailer Treadmill Offers has issued its own discount code for the occasion.
The novelty of a leap year is certainly cause for brands to hold a sale, and shoppers need to look no further than Halloween to see how unorthodox events can drive small business sales in Australia.
Yet February 29, 2024, arrives at a uniquely difficult time for Australian shoppers.
This month, Westpac’s consumer confidence index sat at 86 points.
That is well below the 100-point baseline, and even further away from the highs experienced when COVID-19 restrictions were lifted.
After the big-spending Black Friday and Cyber Monday period, and the classic Christmas cash-splash, many shoppers are keeping their wallets closed to counteract the high cost of living.
For some businesses eager to keep revenue flowing and customers engaged in early 2024, a flash February 29 sale seems apt — especially for those that didn’t, or couldn’t, capitalise on Valentine’s Day.
But there are some signs of optimism, even after the leap day comes and goes.
The same Westpac data noted a 6.2% rise in consumer sentiment compared to January’s reading, likely driven by the Reserve Bank of Australia’s decision to keep interest rates on hold.
Anneke Thompson, chief economist at CreditorWatch, put it this way.
The data “gives us some indication that consumers believe the worst is behind us, although it is unlikely we will see any real improvement in discretionary consumer spending until a cut to the cash rate is firmly in sight,” she said earlier this month.
The temporal oddity of an extra day on the calendar has an extra benefit for small businesses, too.
Workers whose pay is based on an annual wage will contribute a ‘free’ day to their employer in 2024, thanks to February 29.
The addition of a leap day in the work week doesn’t mean workers get an extra public holiday down the line, either.
That’s good news for small business employers — including those who won’t offer a cheeky 29% discount.
Senior Business Journalist
Focused on the small business sector, David’s work covers the political, regulatory, and economic issues facing Australian entrepreneurs. Prior to joining SmartCompany, he was a reporter for Business Insider Australia. You can follow him on LinkedIn.
