Spending on household goods and in department stores has fallen across Australia, signalling the end of a period of heightened discretionary spending.
This is according to figures released today by the Australian Bureau of Statistics, which show Australian retail turnover rose 0.6 per cent overall in September.
This marks the ninth consecutive rise, following a 0.6 per cent rise in August, and a 1.3 per cent rise in July.
Spend on household goods fell 0.8 per cent, however, following last month’s large rise of 2.6 per cent. This fall would have been even larger had it not have been for the release of the iPhone 14 series and the latest Samsung Flip and Fold models, according to the ABS.
It also marks the fourth monthly fall in household goods spend in the last six months.
Department store spending also dropped, a modest 0.4 per cent, although clothing, footwear and personal accessory retailing had the largest percentage rise, up 2.0 per cent following a large fall of 2.3 per cent in August.
“This month’s [overall] rise was again driven by the combined strength in the food industries,” Ben Dorber, ABS head of retail statistics said.
“Food retailing rose 1.0 per cent, while cafes, restaurants, and takeaway food services rose 1.3 per cent.
“Many retailers remained open for the National Day of Mourning, an additional one-off public holiday in September, and this boosted spending on food, alcohol and dining out.”
The next three months are likely to show increased household goods spend, given the lead up to the Christmas season. Whether September’s figures are a blip, or a sign of how things will shake out the new year, remains to be seen.
