Retail Spending Steady In September: Australia

Australian retail turnover rose 0.1 per cent in September 2024, according to seasonally adjusted figures released today by the Australian Bureau of Statistics (ABS).

This comes after growth of 0.7 per cent in August 2024 and a flat result in July 2024.

Robert Ewing, ABS head of business statistics, said: "After a boost last month from warmer-than-usual weather, retail spending held firm in September."

Trend estimates from March 2020 to June 2022 are not available due to the degree of disruption and volatility caused by COVID-19. Trend estimates throughout the pandemic period are likely to be unhelpful and potentially misleading for users in interpreting underlying trend in retail activity.

Turnover results were mixed across the industries.

Household goods retailing (0.5 per cent) had the largest rise, having been the only industry to fall last month (-0.4 per cent).

"The rise in household goods was led by Western Australian spending on hardware and gardening items after unseasonal rainfall last month reduced sales," Mr Ewing said.

Cafes, restaurants and takeaway food services (0.4 per cent) was the only other industry to rise this month.

Department stores (-0.5 per cent), clothing, footwear and personal accessory retailing (-0.1 per cent) and food retailing (-0.1 per cent) all had small falls following rises in August.

"The August boost in spending on alcohol was temporary, with a sharp reversal in liquor retailing this month driving the fall in food spending," Mr Ewing said.

Other retailing remained unchanged (0.0 per cent).

Retail turnover growth was mixed across the country with most states and territories maintaining August levels.

"The Northern Territory had the largest fall as heavy unseasonal rain impacted spending. It was the first monthly fall following four consecutive monthly rises," Mr Ewing said.

Today's release also includes quarterly retail sales volumes, which rose 0.5 per cent (seasonally adjusted) in September quarter 2024.

The rise in the September quarter followed consecutive falls of 0.4 per cent in both the June and March quarters 2024.

"Retail sales volumes rose for only the second time in the past two years, regaining some of the lost ground in discretionary spending this year," Mr Ewing said.

Trend estimates from March 2020 to June 2022 are not available due to the degree of disruption and volatility caused by COVID-19. Trend estimates throughout the pandemic period are likely to be unhelpful and potentially misleading for users in interpreting underlying trend in retail activity.

Retail volumes on a per capita basis (-0.1 per cent) fell for the ninth straight quarter, down 1.9 per cent compared to this time last year.

Retail price growth (0.6 per cent) slowed this quarter, down from a 1.0 per cent rise in the June quarter, based on data from the latest Consumer Price Index.

"The September quarter rise in volumes coincides with an easing of retail price growth this quarter," Mr Ewing said.

"Recent spending patterns continue to show that consumers remain price conscious and responsive to discounting."