In 2024, Australia’s department store retail revenue amounted to approximately 22.85 billion Australian dollars, marking a slight increase from the previous year. Nonetheless, over the past decade, the country’s annual department store turnover has remained relatively stagnant. Kmart: Australia’s leading department store Across Australia’s major department store chains, Wesfarmers-owned Kmart stands out as a dominant force. With over 300 locations nationwide, Kmart boasts the largest physical presence among the country’s department store chains. Alongside its substantial store network, the company has witnessed strong financial performance, with an annual revenue exceeding nine billion Australian dollars in the 2024 financial year. This success is mirrored in the digital sphere, where kmart.com.au recorded the highest web traffic across popular department store websites in Australia. While Kmart thrives, several of its rivals, including BIG W, Myer, and David Jones, as well as sister company Target Australia, have seen plateauing or declining sales. Department stores: will they evolve and keep up? While department stores are a long-standing staple of Australia’s retail sector, the shopping format has increasingly faced competition from online retailers and marketplaces, such as Amazon, eBay, and Temu, as well as specialty retailers. In the age of e-commerce, traditional retail formats like department stores have had to quickly adjust and expand their online presence to keep up. Australia’s department stores are starting to adapt, with luxury brand David Jones launching its mobile app in December 2024 as a part of its 65-million-dollar technological transformation plan to strengthen its online footprint. Nonetheless, with more retailers entering the physical and online retail landscape, the once unique shopping experience offered by department stores has become increasingly challenged.

Market Size statistics on the Department Stores industry in Australia

Australia’s department stores generated a monthly retail revenue of approximately 1.94 billion Australian dollars in May 2025, marking an increase from the previous month. The country’s department store sector seems to be showing signs of recovery after its monthly turnover hit a significant low at the peak of the COVID-19 outbreak in Australia. Which department store chains operate in Australia? Across Australia's leading department store chains, discount chain Kmart has established itself as the dominant player, with over 300 locations nationwide. This extensive presence surpasses its main competitor, BIG W, which operates around 180 stores. In third place, Kmart's sister company, Target Australia, had almost 125 locations. Kmart's strong market position is further evidenced by its impressive financial performance, with revenue exceeding nine billion Australian dollars in the 2024 financial year. Kmart's success highlights the continued demand for affordable retail options in the Australian market, with mid-range and luxury department stores such as Myer and David Jones struggling in comparison. Keeping up with digital transformation The COVID-19 pandemic accelerated the shift towards online shopping, with department stores starting to adapt to changing consumer behaviors as their market share is increasingly challenged by online retailers and marketplaces. In February 2025, kmart.com.au recorded over 20.5 million visits, the highest among popular department store websites in Australia. BIG W's online platform also performed well, attracting almost 14.9 million site visits.

Discount department stores have battled for consumer shopping dollars. The early phase of the COVID-19 pandemic gave stores like Kmart a temporary lift, with strong demand for home, active and kids' products, as Australians spent more time at home. However, pandemic-related shutdowns, reduced trading days and supply disruptions quickly eroded gains. Following the initial rebound when stores returned to normal operations, intensifying cost-of-living pressures struck down sales once again. Even so, the industry responded with aggressive pricing and an expanding private-label range, determined to capture increasingly value-conscious consumers. Overall, industry revenue is expected to contract at an annualised 1.1% over the five years through 2025-26 to $17.8 billion. This includes an anticipated upswing of 1.3% in the current year owing to improving economic conditions. Volatility has defined the discount department store market over the past five years. While the pandemic prompted store network consolidation, including Target reformats and Big W closures, the major brands – Kmart, Target and Big W – have solidified their market dominance, increasing the barriers for smaller retailers. Digital competition from ecommerce giants like Amazon and Kogan has also forced the market to ramp up investment in omnichannel experiences and loyalty programs. While smaller retailers have struggled to keep up, larger chains have become more agile and efficient, leveraging their scale to negotiate better terms of trade, invest in logistics and further squeeze competitors via permanent price drops and streamlined operations. Going forwards, easing inflationary pressure and forecast interest rate cuts are set to restore some consumer purchasing power, boosting discretionary spending and confidence. ABS data already shows department store sales growth trending upwards, and major retailers are betting big on omnichannel investments, like Kmart’s new fulfilment centre and innovative store formats targeting younger demographics. However, competition will remain fierce, especially from online titans, and ongoing price wars will pressure both margins and market share. Smaller discount department stores are likely to face further consolidation, shrinking market size and employment. Still, for the big brands able to drive costs down and respond quickly to evolving consumer preferences, profitability is poised to strengthen, setting the stage for renewed growth in the years ahead. Overall industry revenue is on track to climb at an annualised 1.3% over the five years through 2030-31 to reach $19.0 billion.

The Australia department stores market size is projected to grow at a CAGR of 4.60% between 2025 and 2034.

Australia Retail Market is Segmented by Product Category (Food and Beverage, Personal and Household Care, and More), by Retail Format (Supermarkets and Hypermarkets, Convenience Stores, and More), by Distribution Channel (Offline Retailing, Online Retailing, and More), by Payment Mode (Cards and EFTPOS, and More), and by State (New South Wales, Victoria, and More). The Market Forecasts are Provided in Terms of Value (USD).

Market Size statistics on the Discount Department Stores industry in Australia

This report is the result of Conlumino’s extensive market research covering Australia Department Stores. It provides detailed historic and forecast sales value of the market at channel level. "Department Stores in Australia: Market Snapshot to 2019" provides a top-level overview and detailed insight into the operating environment of Australia retail industry. It is an essential tool for companies active across Australia retail value chain and for new players considering entering the market. Read More

Retail turnover in Australia has seen a continued year-on-year increase since 2005. In 2024, total retail revenue in the country was approximately 436.76 billion Australian dollars, an increase of over 10 billion Australian dollars from the previous year. Australia's key retail segments The Australian food retail industry saw steady year-on-year growth over the same period, with annual food retail turnover reaching over 173 billion Australian dollars in 2024. The country's second-largest retail segment, household goods, also showed overall strong performance, recognizing annual revenue of approximately 70.4 billion Australian dollars that same year. Department stores remain the smallest segment of the country's retail industry, with the annual revenue of department stores showing slow growth compared to other segments. The online retail boom Accelerated by the COVID-19 pandemic, online shopping plays a major part in the everyday lives of consumers across Australia. Predominantly, Australians spend the most online on online marketplace goods and homewares. In 2025, products in the homeware and appliances category accounted for 19.1 percent of all online spending, and groceries and liquor for almost 15 percent. Amazon was the leading online retailer purchased from among online shoppers in Australia in the 12 months to July 2024, followed by eBay, Kmart, and Woolworths.

Australia Retail Sales: Chain Volume: 2022-23p: Department Stores data was reported at 4,913.000 AUD mn in Mar 2025. This records a decrease from the previous number of 7,412.400 AUD mn for Dec 2024. Australia Retail Sales: Chain Volume: 2022-23p: Department Stores data is updated quarterly, averaging 3,700.800 AUD mn from Sep 1983 (Median) to Mar 2025, with 167 observations. The data reached an all-time high of 7,412.400 AUD mn in Dec 2024 and a record low of 1,662.000 AUD mn in Mar 1984. Australia Retail Sales: Chain Volume: 2022-23p: Department Stores data remains active status in CEIC and is reported by Australian Bureau of Statistics. The data is categorized under Global Database’s Australia – Table AU.H002: Retail Sales: ANZSIC 2006: by Industry: Chain Linked: 2022-23 Price.

Australia Retail Sales: Chain Volume: 2022-23p: Trend: Department Stores data was reported at 5,835.500 AUD mn in Mar 2025. This records an increase from the previous number of 5,771.200 AUD mn for Dec 2024. Australia Retail Sales: Chain Volume: 2022-23p: Trend: Department Stores data is updated quarterly, averaging 3,599.600 AUD mn from Sep 1983 (Median) to Mar 2025, with 157 observations. The data reached an all-time high of 5,835.500 AUD mn in Mar 2025 and a record low of 1,972.300 AUD mn in Sep 1983. Australia Retail Sales: Chain Volume: 2022-23p: Trend: Department Stores data remains active status in CEIC and is reported by Australian Bureau of Statistics. The data is categorized under Global Database’s Australia – Table AU.H002: Retail Sales: ANZSIC 2006: by Industry: Chain Linked: 2022-23 Price.

The aus_retail dataset, found in the tsibbledata package in R, is designed for studying time series analysis, particularly in the context of retail trade in Australia. This dataset contains monthly retail data in Australia and is structured as a tsibble (time series tibble), making it well-suited for time series analysis.

Dataset Overview:

Time Period: Monthly data from 1982 to 2018. Key Variables: - State: Australian states, such as New South Wales, Victoria, and Queensland. - Industry: Types of retail industries, including Department Stores, Food Retailing, Clothing, Footwear, and Personal Accessories. - Series ID: This is a unique identifier for each subset of the retail data, combining both the state (State) and the industry (Industry). - Turnover: The total turnover in the respective retail industry (in millions of Australian dollars). - Month: The date of the monthly data. This dataset can be used to analyze trends in retail sales across different states and industries, helping to forecast future sales or observe patterns over time.

Australian Retail Market size was valued at USD 245 Billion in 2024 and is projected to reach USD 375 Billion by 2032, growing at a CAGR of 4.2% from 2025 to 2032.

Australian Retail Market: Definition/Overview

The Australian retail market is defined as the sector encompassing all business-to-consumer (B2C) sales of goods and services through various channels including physical stores, online platforms, and omnichannel retail formats. The market structure is characterized by a mix of large retail chains, independent retailers, and emerging digital platforms.

Furthermore, the retail landscape is shaped by factors such as urbanization, digital transformation, and changing consumer behavior patterns. The integration of technologies such as artificial intelligence, data analytics, and automated checkout systems is implemented to enhance customer experience.

Retail Sales: Western Australia: Department Stores data was reported at 200.300 AUD mn in Mar 2025. This records an increase from the previous number of 172.300 AUD mn for Feb 2025. Retail Sales: Western Australia: Department Stores data is updated monthly, averaging 125.850 AUD mn from Apr 1982 (Median) to Mar 2025, with 516 observations. The data reached an all-time high of 378.400 AUD mn in Dec 2024 and a record low of 33.200 AUD mn in Feb 1983. Retail Sales: Western Australia: Department Stores data remains active status in CEIC and is reported by Australian Bureau of Statistics. The data is categorized under Global Database’s Australia – Table AU.H014: Retail Sales: ANZSIC 2006: by Industry and State. [COVID-19-IMPACT]

Australia's annual clothing retail industry revenue amounted to over 24.4 billion Australian dollars in 2024, marking a slight rise from the previous year. In 2020, the industry’s revenue dropped by over one billion Australian dollars after increasing steadily between 2015 and 2019. Australia’s clothing retail industry In the 2024 financial year, New South Wales and Victoria were Australia’s leading states in terms of the number of operating clothing retail businesses and also in clothing industry retail revenue. In 2025, trends showed that Australian consumers were increasingly purchasing clothing online, with fashion retail accounting for just over ten percent of online spending in Australia. Australian shopping trends In recent years, Australian shoppers have become increasingly sustainability conscious, as people across the globe strive to reduce their clothing waste and turn away from fast fashion. More Australian consumers are acknowledging the benefits of trading clothing items in the secondhand circular economy, as well as purchasing clothing created from sustainable and ethically sourced materials, even if it means paying more. Nevertheless, the quality, appearance, and style of apparel remain important factors in Australian consumers’ clothing choices.

In 2024, the annual revenue of the clothing, footwear, and personal accessory retail industry in Australia amounted to over 36 billion Australian dollars. This marked a rise from the previous year and a recovery in clothing retail revenue after a decline in 2020 during the pandemic.

This chart provides a comprehensive view of the total app spend in the Mass Merchants & Department Stores sector, segmented by region. It illustrates how much stores in different regions are investing in apps and software to enhance their business operations and customer services. In United States, the total app spend is significant, with stores investing $417.06K, which accounts for 63.77% of the overall app expenditure in the Mass Merchants & Department Stores. Australia follows, with a total spend of $56.46K, making up 8.63% of the category's total. India also shows considerable investment in technology, with a spend of $30.49K, representing 4.66% of the total. These figures not only reveal the financial commitment of stores in each region towards technology but also indicate regional trends and priorities in the Mass Merchants & Department Stores market.

Australia's online retail spending rose across all segments for both domestic and international merchants in February 2025 compared to the year prior. In the grocery and liquor category, online retail expenditure to domestic merchants increased by around *** percent compared to the previous year. In comparison, international merchants in this category experienced a rise of **** percent. Leading online retailers and marketplaces As of 2024, Amazon and eBay were the top online retailers and marketplaces across Australia, with more than ** percent of online shoppers purchasing from Amazon and over ** percent from eBay that year. Both websites attract millions of monthly site visits, with eBay at around **** million visits per month as of February 2025. Australia’s supermarket giants, Woolworths and Coles, were also among the top online stores purchased from across the country, with Woolworths Group holding the largest share of Australia’s grocery retail market. Discount department stores Kmart and BIG W were also among the leading online retailers; nonetheless, department store chains have started to lose ground to online marketplaces such as Amazon, eBay, and Temu. Unsurprisingly, books and e-books were Amazon Australia’s most popular purchase categories, largely due to the popularity of Kindle and Audible, as well as the site often offering paperback books at lower prices compared to chain or independent bookstores. Online retail trends In 2020 and 2021, widespread restrictions to in-store shopping across Australia resulting from the COVID-19 pandemic drove many consumers to online shopping channels. Consequently, the country’s e-commerce market boomed during that period, with e-commerce growing by over **** percent in 2020 and 2021. Market growth slowed somewhat in 2022; nevertheless, long-lasting changes to consumer behavior are noticeable, with many shoppers engaging in omnichannel shopping activities. Shopping smart is becoming essential in current times, as inflation affects household disposable income, with consumers increasingly conducting in-depth research before purchasing, shopping during sales periods, bulk buying, and purchasing items, such as birthday or Christmas gifts, in advance. Furthermore, in recent years, product sustainability has come into greater focus across Australia, with many online shoppers preferring to purchase from ethical and sustainable brands.

Verdict Retail’s, "Global Retail Sales of Department Stores: Market Size, Growth and Forecast to 2020" provides detailed historic and forecast statistics on retails sales from 2010 to 2020 taking place at "Department Stores" for each category at country and segment level. The segment level analytics are provided for the following product categories: (where applicable) Apparel, accessories, luggage and leather goods Books, news and stationery Electrical and electronics Food and grocery Furniture and floor coverings Health and beauty Home and garden products Music, video and entertainment software Sports and leisure equipment Verdict Retail categorizes "Department Stores" as multi-Channel retailers, focusing primarily on non-grocery categories with distinct departments specializing in defined product areas. "Global Retail Sales of Department Stores: Market Size, Growth and Forecast to 2020" report is the result of Verdict Retail’s extensive market research covering the retail industry in Global. The report acts as an essential tool for companies active across the Globe's retail industry and for new players considering entering the market. The comprehensive statistics within the report provides insight into the operating environment of the market and also ensures right business decision making based on historical trends and industry model based forecasting. Countries covered in this report: Argentina, Australia, Austria, Belgium, Brazil, Bulgaria, Canada, Chile, China, Colombia, Czech Republic, Denmark, Egypt, Finland, France, Germany, Greece, Hong Kong, Hungary, India, Indonesia, Republic of Ireland, Israel, Italy, Japan, Malaysia, Mexico, Netherlands, New Zealand, Norway, Peru, Philippines, Poland, Portugal, Romania, Russia, Saudi Arabia, Singapore, Slovak Republic, South Africa, South Korea, Spain, Sweden, Thailand, Turkey, United arab Emirates, United Kingdom, Ukraine, United States, Venezuela. This is an on-demand report and will be delivered within 2 working days (excluding weekends) of the purchase. Read More

Australia Retail Sales: sa: Department Stores data was reported at 1,954.800 AUD mn in Mar 2025. This records a decrease from the previous number of 1,963.900 AUD mn for Feb 2025. Australia Retail Sales: sa: Department Stores data is updated monthly, averaging 1,297.350 AUD mn from Apr 1982 (Median) to Mar 2025, with 516 observations. The data reached an all-time high of 1,963.900 AUD mn in Feb 2025 and a record low of 470.400 AUD mn in Jan 1983. Australia Retail Sales: sa: Department Stores data remains active status in CEIC and is reported by Australian Bureau of Statistics. The data is categorized under Global Database’s Australia – Table AU.H015: Retail Sales: ANZSIC 2006: by Industry and State: sa. [COVID-19-IMPACT]