Thursday 3 June 2021
The Australian Bureau of Statistics (ABS) has confirmed $31 billion was spent on retail in April 2021 - an increase of 1.1% compared to the previous month and up 25% compared to the same time last year.
Australian Retailers Association CEO Paul Zahra said data comparison of two years ago paint a more accurate picture of consumer spending, given businesses were plunged into lockdown around April 2020.
When compared to April 2019 - the year before Covid hit - retail sales are up 13.6% according to the ABS.
"Retail sales are well up on pre-pandemic levels, which is an encouraging sign for how the industry is performing with buoyant levels of spending across the different categories of retail," Mr Zahra said.
"With people not able to travel overseas, more money is being spent on goods and services in Australia which is a key driver of the buoyant figures we've seen today.
"Given Australia's economy essentially grinded to a halt in April 2020 when Covid hit, a comparison to April 2019 provides a more accurate reflection of spending habits.
"When comparing April 2021 to April 2019, spending on food retailing is up 10%, household goods is up 24%, clothing footwear and personal accessories is up 18.8%, cafes, restaurants and takeaways are up 6.1% and department stores are up 7.6%.
"While today's results show overall retail trade in a healthy position, some retailers continue to struggle and we know that consumer confidence can be shattered very quickly when Covid restrictions and lockdowns are introduced.
"The latest outbreak in Victoria will put a handbrake on spending and is likely to create over $2 billion in terms of lost retail trade.
"CBD retailers, particularly small businesses, along with travel retailers are an ongoing concern. They continue to suffer through the absence of international students, tourists, and city office workers who are spending more time working from home.
"While retail is helping to drive Australia's economic recovery, the virus is an ongoing threat and confidence levels and spending can change at the drop of the hat when new cases emerge in the community."
