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).

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.

The Australian retail industry has witnessed steady growth, exhibiting a market size of XX million in 2025 and a promising CAGR of 5.00% over the forecast period. Key drivers propelling this growth include rising disposable income, rapid urbanization, and an evolving consumer landscape. The industry's segments encompass product categories ranging from food and beverages to electronics, while distribution channels include supermarkets, specialty stores, online platforms, and others. Major industry players include Aldi Group, Metcash Ltd, Woolworths Group Ltd, Wesfarmers Ltd, and JB Hi-Fi Ltd. These companies drive innovation and competition, adapting to consumer trends and enhancing customer experiences. While online retail has gained significant traction, brick-and-mortar stores continue to hold a strong presence, offering personalized experiences and convenience. The industry also faces challenges such as supply chain disruptions, labor shortages, and increased consumer price sensitivity. Despite these restraints, the Australian retail industry remains resilient and poised for further expansion, driven by ongoing urbanization, technological advancements, and evolving consumer preferences. Recent developments include: In November 2020, Wesfarmers retail businesses continued to expand their business. Kmart opened new stores in Camberwell and Casey in Victoria and Cockburn in Western Australia, all converted from Target stores, alongside its newest K Hub store in Bairnsdale in regional Victoria.. Notable trends are: Demand for Food and Beverages Continues to be Strong Despite the COVID-19 Challenges.

As of March 2025, the gross operating profit of businesses in the retail trade industry in Australia amounted to approximately 6.83 billion Australian dollars. The highest gross operating profit of retail trade businesses was recorded in December 2020.

At the end of financial year 2024, there were over 156,930 businesses operating in the retail trade industry across Australia. This represented an overall increase of over 23,290 retail trade businesses across the country since 2017.

About Dataset Description: This dataset contains detailed information about retail sales and customer foot traffic in Australia. It includes data on sales trends, customer demographics, peak traffic times, and product categories, providing a comprehensive view of the retail landscape.

Context: Understanding customer behavior and sales trends is essential for optimizing retail operations. This dataset can be used to analyze patterns in sales by time of day, evaluate the effectiveness of staffing during peak hours, and gain insights into popular product categories and demographics.

Source: Data collected from various Australian retail outlets to capture a wide range of business types, including clothing stores, electronics shops, grocery stores, and bookstores. The information is anonymized and aggregated to protect customer privacy.

Inspiration: This dataset was inspired by the need for detailed retail analytics to improve business strategies. By examining foot traffic, sales, and customer satisfaction, retail managers can better understand consumer behavior and make informed decisions.

Market Size statistics on the Consumer Goods Retailing industry in Australia

Retail property operators in Australia have endured highly volatile trading conditions over the past five years, as shifting consumer preferences and economic volatility have shaped a turbulent landscape. The rapid rise of ecommerce has contributed to a steady decline in demand for traditional retail space, prompting tenants to reassess their store portfolios and, in many cases, reduce their physical footprints. Segmentation across the market has increased: many prime locations have remained in high demand, supported by resilient consumer traffic, while secondary and legacy centres have faced elevated vacancies and downwards pressure on leasing terms. Major operators like Scentre Group have concentrated capital expenditure on refurbishments, sustainability initiatives and large-scale premiumisation, reinforcing their appeal to top-tier tenants seeking modern, energy-efficient premises and amenities. Overall, industry revenue is expected to have risen at an annualised 2.3% over the past five years to total $37.2 billion in 2024-25, when revenue is anticipated to grow 2.4%. High interest rates and cost-of-living pressures have influenced the industry’s performance, as consumers have reined in discretionary spending and retailers have hesitated to expand. These headwinds have made asset quality and operational excellence critical. Upgraded centres with strong anchor tenants (like major supermarkets Coles and Woolworths) and strategic locations continue to attract healthy tenant demand, in contrast to weaker performing assets, which have been exposed to persistent vacancies. The trend towards omnichannel retailing, with operators integrating click-and-collect and logistics support, has offset challenges related to increased online sales, particularly in lifestyle-oriented suburban centres that have maintained foot traffic and occupancy rates. Meanwhile, operators have been diversifying their income streams – like turnover rents, parking and management services – and leveraging technological efficiencies in property management to support profit margin growth, even as overall conditions remain volatile. Looking ahead, the industry operators will face a more challenging environment. Intensifying ecommerce growth and persistent cost pressures are set to limit broad-based expansion, placing greater emphasis on portfolio quality, tenant retention and adaptable leasing structures. While operators that focus on mixed-use redevelopment and advanced sustainability standards will be better positioned to weather these headwinds, legacy and underinvested properties may face rising vacancies and stiffer competition. Overall, industry revenue is projected to contract at an annualised 1.4% over the five years through 2029-30 to $34.7 billion.

Online shopping has cemented its place in the retail market, buoyed by rising adoption and better technology. 2024 data shows 9.8 million households shopping online, up from 8.2 million in 2019, a clear sign of growing penetration. This performance has benefited from safer payments, easier returns and smoother mobile access, while new competitors like Shein and Temu push prices down and keep pressure on margins. Augmented reality, chat-enabled service and social shopping are blurring the lines between instore and online, letting shoppers try before they buy and discover products through feeds on Instagram, YouTube and TikTok. In this environment, faster broadband and the rollout of 5G coverage are expanding the audience, enabling more impulse buys and seamless checkouts. Over the past five years, the online market’s growth has wavered with the pandemic, then settled into a more price-aware rhythm. The 'search and compare' habit means shoppers cut back when discretionary income tightens and 62% switched brands in 2024 to save money. The share of weekly online shoppers rose from 27% in 2021 to 29% in 2025, with a similar increase in the number of consumers shopping every two to three weeks. (26% in 2021 to 30% in 2025). Profitability lagged early on due to fierce competition and high fixed costs, but retailers trimmed overheads, modernised fulfilment networks and used social content to sustain margins. The market also saw international entrants intensify competition, contributing to the demise of some domestic platforms. Industry revenue is anticipated to grow at an annualised 3.4% over the five years through 2025-26 and is expected to total $64.9 billion in the current year, when revenue will climb by an estimated 6.8%. Going forwards, online sales should keep climbing thanks to broader product ranges, better mobile experiences and pay-later options that streamline purchases. AR-enabled sizing and virtual try-ons will reduce friction in fashion and accessories, while loyalty schemes and free shipping will reward repeat customers. Profit is set to climb as pricing becomes more responsive and import costs ease from a stronger Australian dollar. With omnichannel strategies, showrooming and social commerce, the line between online and offline will stay blurred and hybrid stores will become mainstream rather than niche. Overall, industry revenue is forecast to climb at an annualised 5.9% over the five years through 2030-31 to total $86.6 billion.

Discover the latest insights into the booming Australian retail market. This comprehensive analysis reveals a projected market size of $350 billion AUD in 2025, growing at a 5% CAGR. Explore key drivers, trends, restraints, and the leading players shaping this dynamic sector. Learn more about market segmentation and regional performance. Notable trends are: Demand for Food and Beverages Continues to be Strong Despite the COVID-19 Challenges.

In the year ended December 2024, the gross value added (GVA) by the retail trade industry in Australia amounted to around 106.7 billion Australian dollars. In 2023, the GVA by Australia's retail trade industry was about 106.5 billion Australian dollars, which followed a steady year-on-year upward trend for the industry spanning over a decade.

Australia Employment: Trend: Retail Trade data was reported at 1,342.971 Person th in Feb 2025. This records an increase from the previous number of 1,339.947 Person th for Nov 2024. Australia Employment: Trend: Retail Trade data is updated quarterly, averaging 1,141.028 Person th from Nov 1984 (Median) to Feb 2025, with 162 observations. The data reached an all-time high of 1,342.971 Person th in Feb 2025 and a record low of 685.097 Person th in Nov 1984. Australia Employment: Trend: Retail Trade 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.G021: Employment: by Industry.

Supermarkets have maintained stable volume-driven business strategies amid a pricing environment that has been in the spotlight. Conflict in the Middle East, avian flu outbreaks and other inflationary pressures have driven prices up, with many stores passing on these costs to consumers. While consumers are paying more for groceries and upstream suppliers are seeing their margins shrink, supermarkets Coles and Woolworths have maintained relatively stable profit margins, among the highest in the world. The continued expansion of Aldi and Amazon has forced the two established industry giants to shift gears recently to remain price-competitive on both the physical store and online service fronts, launching short-term price discounting initiatives. These supermarket giants also rely on loyalty programs and promotions. Coles and Woolworths have displayed interest in data analytics, strengthening their relationships with analytics data giants like Palantir to optimise their marketing and operational processes. The ACCC's landmark supermarkets inquiry, while not finding evidence of price gouging, identified 20 key recommendations that would ensure a more sustainable market and avoid oligopolistic exploitation. Supermarket and grocery revenue rose significantly following the COVID-19 outbreak. A combination of panic buying, along with the suspension of many specials and promotions in supermarkets, boosted grocery turnover at the beginning of the period, spiking revenue for the two years through 2020-21. This high benchmark at the start of the period has resulted in an industry correction and an annualised revenue contraction of 0.4% to $144.3 billion over the five years through 2025-26. Revenue is estimated to climb 0.4% in 2025-26, reflecting the price-driven industry growth that falling tobacco sales have offset. Supermarkets and grocery stores are set to perform well, with industry revenue slated to climb at an annualised 1.5% through 2030-31 to $155.6 billion. Population growth will remain a key growth factor that stores rely on, as many continue a volume-driven business approach to generating revenue. Should the transparency-related recommendations from the ACCC's inquiry be implemented, some price-driven growth may be curtailed. Eventually, when inflationary pressures subside and consumer sentiment returns to a positive level, supermarkets and grocers will be well-positioned to take advantage of consumer appetite for value-added and premium goods. Strong growth in online sales is set to continue.

In Australia Smart Retail Market, offering valuable insights, key market trends, competitive landscape, and future outlook to support strategic decision.

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 in Australia increased 4.90 percent in June of 2025 over the same month in the previous year. This dataset provides - Australia Retail Sales YoY - actual values, historical data, forecast, chart, statistics, economic calendar and news.

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.

The Luxury Retailing industry has thrived over the past few years, despite challenges posed by the COVID-19 pandemic and the cost-of-living crisis. Australian luxury retailers was relatively insulated from the financial instability that affected most of the global retail sector during the pandemic. Store closures and lockdowns drastically reduced instore sales, while travel limits decreased revenue from international travellers. However, housebound consumers redirected savings for overseas trips into luxury purchases to make lockdowns more comfortable. Social payment packages supported this spending. The pandemic forced luxury retailers to embrace a long-overdue digital movement and establish an online presence. This allowed luxury retailers to profit from the pandemic-induced online shopping boom. Rising household discretionary income and market polarisation also stoked demand for luxury products until 2021-22. Ever-changing consumer preferences have created opportunities for diverse luxury brands, boosting the number of enterprises. The domestic luxury market’s strength has attracted international fashion houses like Louis Vuitton to expand their physical footprints in Australia, especially in Sydney and Melbourne, with a greater focus on capturing international visitors’ attention at airports. Post-pandemic revenge spending has allowed retailers to increase prices, countering business inflation and yielding higher profit margins. However, due to rising cost-of-living pressures, consumers are becoming more conservative with their spending. As a result, industrywide revenue is expected to grow at an annualised 2.6% over the five years through 2025-26, to total $7.5 billion, with revenue anticipated to grow a mere 1.4% in 2025-26. Going forwards, industry revenue is projected to increase at an annualised 2.5% through the end of 2030-31, reaching $8.5 billion. This growth will stem from increased discretionary income, improved consumer sentiment and a recovery in inbound tourism. Intensifying industry competition will arise from flagship stores investing in exclusive products and customer service. Emerging luxury brands targeting wealthy tourists will significantly shape the industry, benefiting independent boutiques that can readily adopt new and niche labels. Potential public policies to boost Australia’s fashion market are forecast to lead to more Australian-owned luxury brands, bringing new players into the industry.

In May 2025, the monthly online retail revenue generated in Australia amounted to just over 4.49 billion Australian dollars. This surpassed the previous peak of around 4.52 billion Australian dollars in online retail revenue recorded in April 2025. Online retailing in Australia To draw customers back into physical stores after the COVID-19 pandemic, Australian retailers are placing a strong emphasis on creating seamless shopping experiences that combine online and in-store channels. Nevertheless, online shopping remains a crucial element of the retail sector in Australia. In February 2025, Australia's online retail spending increased for both domestic and international merchants across all categories when compared to the previous year. Several Australian households made weekly online purchases, indicating the rising reliance on e-commerce in daily life. According to around 68 percent of Australian participants in a 2024 survey, convenience was the primary reason for their online purchases. Australia’s leading e-commerce platforms The e-commerce market in Australia is shaped by both global giants and well-known local companies that cater to a wide variety of customer needs. In the year preceding July 2024, a survey revealed that Australian customers' preferred online retailer or marketplace was the U.S.-based marketplace Amazon, from which around 54 percent of participants had made purchases. Australian retailers Kmart and Woolworths came in joint third after eBay, drawing in 40 percent of online buyers, respectively. Chinese online platform Temu has also seen a rise in popularity in recent years due to its heavily discounted products, with the Temu shopping app being Australia's most downloaded online marketplace app in 2024.

Times have been tough for discount variety stores. Mounting external competition from discount department stores, supermarkets and online-only retailers has strained discount variety stores’ revenue. These retail giants not only offer a diverse selection of quality goods but also leverage loyalty reward schemes to entice consumers, which narrows the gap between them and traditional discount variety stores. Even so, the industry’s profitability has recently climbed on the back of a changing product mix. Overall, revenue is expected to have dropped at an annualised 2.6% over the five years through 2024-25, to $2.3 billion. This trend includes an anticipated 1.6% uptick in 2024-25. Discount variety stores have navigated challenging terrain marked by intensified competition from growing supermarket and department store chains and online retailers. The expansion of global giants like Costco has generated significant pressure. Online shopping has emerged as a formidable competitor, attracting customers with niche products and minimal shipping fees. To counter this, traditional discount variety stores have enhanced their online platforms, an effort that has been somewhat successful in maintaining competitiveness. Industry revenue is forecast to edge upwards at an annualised 1.5% over the five years through 2029-30, to $2.4 billion. The continued push for online shopping is poised to erode bricks-and-mortar discount variety stores’ customer base, aligning with consumers’ preferences for seamless online shopping experiences. Superstores like Aldi and Costco, backed by powerful buying capabilities and appealing product ranges, will likely expand and claim further market share. Discount department stores like Kmart will also continue to capture consumers, fuelling competition.