The ABS has revealed the numbers from November's sales boom with retail experiencing YoY growth across a variety of industries.
The Australian Bureau of Statistics (ABS) have revealed that Australians shopped big in November. According to figures from the ABS, retail sales increased 2.2 percent year on year in November 2023 with shoppers spending more than $36.5 billion across the country.
The hospitality industry saw significant growth with cafes, restaurants, and takeaway up 4.3 percent contributing to $5.406 billion of the spend. The food category also grew up 2.8 percent as shoppers stocked up for the festive season, totalling a significant $14.263 billion spend for the month.
Department stores saw a huge resurgence as shoppers cashed in on sales events such as Click Frenzy, Black Friday, Cyber Monday, and more. As a result, department stores recorded an increase of 3.3 percent in November.
Recreational, sporting goods, cosmetics was up 1.2 percent percent and household goods recorded its first year on year increase in 2023 (up 0.5 percent), The only category to record a decline was clothing, footwear and accessories which dropped a marginal 0.1 percent yet still bought in $3.078 billion.
Australian Retailers Association (ARA) CEO Paul Zahra said November’s results were bolstered by essentials such as food, dining out and Black Friday spending.
“While spending expectations heading into the broader pre-Christmas spending period were subdued, the growing popularity of Black Friday gave retailers some much-needed reprieve with shoppers seeking out bargains amid intense financial pressure.
“This certainly contributed to November’s overall spending growth, especially considering the Reserve Bank of Australia’s decision to raise the cash rate on Melbourne Cup Day.
“Food and takeaway again led the growth, and this is consistent with what we’ve seen all year – shoppers are prioritising the essentials under cost-of-living pressure.
“Shoppers are increasingly feeling the crunch of cost-of-living pressures and interest rate increases, making it a challenging time to be a discretionary retailer,” he said.
It is expected that due to big spending in November, December performance will likely have been effected.