AUSTRALIAN RETAIL SALES FOR APRIL 2025

Australian retail sales rose 4.0% in April 2025 year-on-year.

The March-April period has been distorted by the shift of timing of Easter over the past two years.

Therefore, the combined March-April results are more relevant and show retail sales growth of 3.6%.

The strongest areas are online, pharmacy, beauty and recreational goods.

The weakest areas remain liquor, cafes & restaurants and department stores.

What we’re seeing and hearing in retail

• Late start to winter: Our feedback on sales in furniture and apparel has been quite strong for May 2025. Weather across April-May was 1.3 degrees warmer, but the temperature has dropped in past two weeks.
• Price rises landing: We’ve seen price rises for whitegoods and appliances in the order of 5%-10% in past two months. However, discounting is also stepping up suggesting the price rises haven’t stuck.
• Retail property tight: More retailers are finding it difficult to secure good retail sites. Retail property deals in QSR and supermarkets are being done at tight cap rates.

Sub-sector insights

Online retail: Online sales grew 7.5% which was a slowing on the 13.7% in March. Food online grew 12.6% with non-food online sales rising 5.2%.

Supermarkets: Supermarket sales were up 4.7% in April and 3.7% for the combined March-April period reflecting higher fresh produce prices, meat prices and favourable weather. Early feedback on Woolworths Lower Prices program has been positive. Aldi’s growth has lifted too.

Liquor: Liquor sales rose 6.8% in April highlighting the Easter timing with March growth of -7.7%. The two months combined for liquor were still down 1.0%. The six-year CAGR to end of April 2025 is 6.6%.

Takeaway food and restaurants: Takeaway food sales rose 7.2% in April 2025, with combined growth of 4.9%. The sector has been more aggressive on pricing value offers, which may be lifting transaction count.

Pharmacy & cosmetics: Pharmacy and cosmetics sales rose 9.0%, with combined March-April also up 9%. The category has delivered incredibly strong growth over six years helped by product innovation and more stores.

Electronics: Electronics sales were up 3.9%. The combined March-April was up 5.6%. JB Hi-Fi’s trading update indicated a mild slowing in whitegoods in Feb and March from the pace it achieved in January.

Hardware and furniture: Hardware sales grew 1.5% (up 2.1% on a March-April combined). Furniture was flat in April but up 1.8% on a combined basis. March benefited from the timing of Easter in this category.

Recreational goods: Recreational goods remain strong growing 6.9%. This is a continuation of strong growth in March.

Department stores: Department stores sales was up 2.7% but 1.4% on a March-April combined basis. Myer called out a recent improvement as weather conditions promoted more winter apparel sales.

Fashion: Clothing grew 0.3% but 3.7% on a March-April basis. Footwear was up 0.3% in April and 0.8% for March-April. Myer’s Apparel Brands segment comparable sales were down 3.7%, noting increased discounting.

Australian retail sales long-term trends

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