Australian retail sales increased 3.6 per cent year over year to $37.1 billion in February 2025, reflecting improved consumer sentiment amid higher wages and lower inflation.
Australian Bureau of Statistics (ABS) data showed that other retailing category, which includes cosmetics, sports, and recreational goods, has a turnover of $5.83 billion, up 5.55 per cent.
Food sales rose 4.08 per cent to $14.77 billion while cafes, restaurants, and takeaway sales grew 3.37 per cent to $5.59 billion.
Department store sales climbed 3.23 per cent to $1.96 billion and household goods jumped 2.89 per cent to $5.88 billion.
Sales of clothing, footwear , and accessories totalled $3.09 billion, up 0.4 per cent.
“Consumer sentiment is on the uptick, and February’s trading result is a reflection of that. Wages are up and inflation is down, so Aussies feel safer about spending,” said Lindsay Carroll, National Retail Association (NRA) Interim CEO.
“This is a solid result during a challenging economic period. While it is a disappointing result for clothing and accessories, with many retailers in that category under extreme pressure, it’s encouraging to see another month of steady growth across most spending categories,” said Fleur Brown, Australian Retailers Association (ARA) Chief Industry Affairs Officer.
Both groups called on the federal government to further support businesses, with Brown noting that the economy is still “far from a retail recovery.”
“We urge policymakers to focus on measures that boost investment and productivity, so that retailers, as the second largest employing sector in the nation, can continue to provide opportunities, job security, and sustainable growth for the economy,” said Carroll.