Australian shoppers are set to spend a record $10.5 billion during this year’s End of Financial Year (EOFY) sales, according to research from the Australian Retailers Association (ARA) and Roy Morgan.

That’s a $400 million (3.9%) increase on 2024, as tech, fashion and appliance discounts drive big-ticket spending.

Tech and electronics remain hot categories, with 12% of shoppers eyeing gadgets, alongside clothing (34%) and white goods (19%).

ARA Chief Industry Affairs Officer Fleur Brown said the sales have arrived at a crucial time for both retailers and consumers.

“Retailers have slashed prices on everything from electronics to winter fashion,” said Brown. “With many Aussies also looking to snap up tax-deductible tech like computers and smartphones, EOFY is proving a key shopping period.”

Despite ongoing cost-of-living pressures, more than a quarter of Australians (about 6.1 million people) plan to shop the EOFY sales. Of those, 37% expect to spend more than last year, while the average shopper will fork out $1,714 – up $76 year-on-year.

Younger Australians are leading the charge, with under-35s tipped to spend $2,065 on average, contributing a massive $4.3 billion to the total. Men also plan to outspend women, averaging $2,044 versus $1,430.

Brown noted a shift back to physical retail, with online shopping down 11 percentage points to 44%.

“This may reflect the desire to secure bigger-ticket items in person or take advantage of in-store-only deals,” she said.

More Australians are planning to spend big, with 36% intending to shell out between $1,000 and $4,999 (up 15%), while 11% expect to spend over $5,000.

“These sales are critical for retailers navigating a volatile market,” Brown said. “It’s a chance to drive growth and offer consumers serious value.”