Expressway bolsters retail spending in Kāpiti
Findings from a report commissioned by the Kāpiti Coast District Council to measure the economic impact of the Mackays to Peka Peka Expressway on the local retail environment show strong growth in retail spend across the district.
The report prepared by Marketview compares eftpos and credit card transaction data from Kāpiti retailers between 24 February and 31 August this year against the same period last year.
The reports shows that retail spending was up 7.6% across the district with those aged between 25 and 39 increasing their share of retail spend by more than 17.3%. Tourists are spending 17.7% more in our district since the Expressway opened.
Strategy and Planning Group Manager Sarah Stevenson says the data shows that in the first month after the Expressway opened to traffic Kāpiti retailers enjoyed a healthy increase in retail spend by locals and visitors to our district.
“The Expressway has made it easier for people to move around and while there has been a slight drop in passing trade on the old State Highway 1, local residents are not only spending more in the district but their shopping habits have changed.
“We are seeing changes in where and at what time people are choosing to shop, for example we are seeing strong increases in retail spend during weekdays,” Ms Stevenson said.
Retailers in the Te Roto Drive /Kāpiti Landing precinct and Paraparaumu Beach have seen the most notable increases in spending, up 19.5% and 15.4% respectively. Healthy increases in day-tripper and tourism spending and passing trade has contributed to this growth.
Mayor K Gurunathan says the economic benefits of the Mackays to Peka Peka Expressway are coming home to roost.
“The fact that people now have two quality north-south connections is having a positive impact on our retail environment.
“Kāpiti is now more connected and accessible for locals and those wanting a day out from Wellington and retailers need to seize the opportunity this presents by ensuring their offerings continue to meet customer expectations and growing their niche markets,” said the Mayor.
A further two reports will be completed to enable the Council to gain a full 12 month view of the impact the Expressway is having on Kāpiti’s retailers. The Mayor has also asked Council staff to look at changes in traffic flows on key local roads to help Kāpiti residents and businesses to make more informed decisions.
To view the Marketview report visit http://www.kapiticoast.govt.nz/Our-District/Economic-Profile