Today is one of the biggest days for retailers with Kiwis ready to open their wallets for Black Friday sales.
The Reserve Bank is desperately trying to counter inflation but their warnings to rein in consumer spending may go unnoticed as New Zealanders' eyes wander towards the enticing Black Friday sales.
On Thursday the Reserve Bank Governor Adrian Orr urged Kiwis and the Government to think hard about spending to lower demand as inflation remains consistently high at 7.2 percent.
It followed the release of the Reserve Bank's Monetary Policy Statement (MPS) on Wednesday, which predicted inflation has not yet peaked, the official cash rate (OCR) will need to continue to rise, and as a result, New Zealand faces a year-and-a-half of either zero or negative growth.
The Reserve Bank hiked the OCR by 75 basis points on Wednesday - the largest-ever rise - to increase interest rates and hopefully curb inflation.
But despite Kiwis being strapped for cash, First Retail Group managing director Chris Wilkinson said the country is in for a lot of spending on Friday.
"We are going to see a lot of spending and I guess it's counterintuitive to what people may imagine to be happening in this current climate," Wilkinson told Ryan Bridge on AM. "But what we're thinking is people are going to be out spending, they are going to be looking for that value today because that's going to be more important than ever this year."
He said advertisements have been "on steroids" this year. Bargains may be more elusive for Kiwis who dream for the time when prices of just about everything was cheaper.
Annual food prices have reached a 14-year high and New Zealanders are having to sacrifice electricity and petrol to get buy.
While a lot of Kiwis won't have the extra money to go out and shop this Black Friday, Wilkinson said he expects consumers will largely be buying staple, everyday items and many consumers are likely to stock up on products while they are discounted.
For consumers able to take advantage of the sales remember to be wary of fake sales when out shopping.
The key to finding the best deals on Black Friday is to plan ahead and conduct essential price research by looking at different stores and product's price histories.
