Who doesn’t like a bit of retail therapy when times are tough? Who can blame Australians for being unable to part with their spending habits amid the high cost of living forcing them to adjust household budgets?
While small businesses are tightening their belts and reducing costs where possible, Australians are continuing to shop for fashion, but just for far more affordable prices.
Australia Post (AusPost) notes customers are turning to “affordable retail therapy” while slowing down household spending.
However, shopping for fashion and apparel has spiked in the fourth quarter. The number of online purchases has increased by nearly 20%.
Tasmania has seen the strongest growth of online purchases year-on-year, with 8% growth, followed by Northern Territory and Queensland.
Aussies trying to stay on budget
AusPost’s Gary Starr believes that online shopping continues to grow despite the uphill battle with tight budgets. This has been directly attributed to Australians trying to combat the cost of living crunch.
“While Aussies are looking to stay on-trend, they are also looking to stay on-budget, with affordable fashion driving sales,” says Starr.
AusPost says that while household spending data shows citizens are “careful” with their dollars, online shopping is viewed as a way to “manage costs and shop strategically.”
Sales, bargains and deals
AusPost is noticing e-commerce volumes are rising, with shoppers taking advantage of sales. Customers are using online shopping tools to compare prices, deals, and products for the best value for money.
The average cost of living in Australia in 2024 is $4,312 per month. For a family of five, it increases to $7,786 per month.
While consumers are on the hunt for bargains that can help them stretch their money, end-of-financial-year deals have come early this year. This has also made consumers spend money on early deals, mainly clothing and footwear.
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About the author
Mia is a multi-award-winning journalist. She has more than 14 years of experience in mainstream media. She's covered many historic moments that happened in Africa and internationally. She has a strong focus on human interest stories, to bring her readers and viewers closer to the topics at hand.
