Recent heatwaves may have driven many Victorians inside and under the cool breeze of an air-conditioner, but select retailers appear to have profited from upmarket coolers and lush outdoors accessories.
Temperatures crept into the high 30s for much of Victoria’s Labour Day long weekend, and the mercury also rose across South Australia and Tasmania, complicating public holiday plans for many across the nation’s south-eastern region.
Heatwaves can be a boon for select small businesses, particularly ice creameries, pubs and restaurants serving cool drinks, and any venture lucky enough to exist in an air-conditioned shopping complex.
The recent high temperatures also appear to have helped brands like Leisure-Tec Australia, which reported strong sales of its MyCOOLMAN portable fridges leading up to the heatwave.
Adam Olive, media and marketing manager for the distributor, said the brand noticed a clear correlation between high temperatures starting in regional Victoria and portable fridge sales.
“If you start out in the west where the heat has come from, we do notice a spike in sales, whether it’s across ice boxes, or in particular, fridges,” Olive said.
The spending on MyCOOLMAN portable fridges, which can cost anywhere between $399 for its new recreational models, to nearly $2,000 for its deluxe dual-zone models, cuts across fears of a broad consumer spending downturn.
Olive said the brand’s showing at a recent caravan and camping expo was met with great interest, especially from those who invested in caravanning and motorhomes when COVID-19 closed Australia’s international border.
“I think people realised during lockdown that there is a lot to see and do in our own backyard,” he said.
“People who went out and invested in motorhomes, caravans, camper, trailers, and that type of thing.
“Obviously it’s a significant investment. And a lot of them are wanting to get out and travel a lot more and utilise that investment,” he said.
Olive said the new recreational series fridges can be used on the beach — but even those who don’t want a full refrigerator set-up have options to make their heatwave holidays a touch more luxurious.
A new wave of artfully-designed towels, sunshades, and cabanas is encouraging Australians to shell out on the seashore.
Brands like Kollab, Layday, Sunny Life, and Isla are just a few of the upstart labels convincing beachgoers to move upmarket and away from the typical Bunnings and Kmart offerings.
Take Kollab, nestled in Victoria’s Mornington Peninsula, which offers colourful beach umbrellas between $200 and $299.
More comprehensive sun coverage comes from products like Sunny Life’s beach cabana, which goes for $199.
Or, for the beachgoer hoping for an all-in-one solution, Isla offers a beach bundle, complete with umbrella, beach rug, towel, cooler bag, and a carry strap, on sale for $510.
These are a far cry from the rough-and-ready options many Australians grew up with, but take a stroll to your nearest shoreline, and you might see a few of those shades sprawled out in front of you.
Should that fail, take a brief glimpse of your Instagram feed, and you’ll likely find a friend or influencer reclining under a paisley umbrella or cabana.
Indeed, recent market research shows that Australians are, paradoxically, prepared to spend big on what is ostensibly a free activity.
Research commissioned by ING in December last year showed Australians were planning to spend more time than usual at their local beach over the summer.
Of those, 54% circled the cost of living as a key contributor to their decision to spend a day more time on the beach — an activity which, in and of itself, requires little to no financial outlay.
However, beachgoers said they were actually willing to spend an average of $230, rising to $306 for families, on accouterments like beach canopies, towels, and beach chairs.
While economists speak of a broad spending cooldown, it seems some niche retail areas remain hotter than others.
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.
