Australia's retail sales grow 4.3% in September ahead of holiday peak

Broad sector gains point to steady consumer demand

Australia’s retail sales grew 4.3% year on year (YoY) to USD24.7b (A$37.8b) in September, signalling resilient consumer spending as retailers gear up for the year-end trading season, according to the Australian Retailers Association (ARA).

Online and recreational goods led growth with a 7.2% rise, followed by cafés, restaurants, and takeaway food at 6.2%. Sales of household goods climbed 4.9%, department stores 3.6%, and clothing and footwear 3.5%, whilst food retailing increased 2.4%.

Western Australia posted the strongest state performance with 6.0% growth, ahead of South Australia at 5.1% and Queensland at 4.9%. New South Wales and Victoria recorded slower gains amid softer metropolitan spending.

The ARA said consumers continued to spend despite higher costs, supporting a stable retail outlook entering the key November–December period. 

It added that discretionary retailers face margin pressures, making the Christmas trading season vital for sustaining sales momentum.