Retail Spending Steady, Queensland Sales Decline

Australian retail turnover rose 0.3 per cent in March 2025, according to seasonally adjusted figures released today by the Australian Bureau of Statistics (ABS).

This follows growth of 0.2 per cent in February 2025 and 0.4 per cent in January 2025.

Robert Ewing, ABS head of business statistics, said: 'Retail spending continues to grow at a steady pace, with food-related spending in supermarkets and grocery stores the main driver of growth.

'Supermarket and grocery store sales were especially strong in Queensland where households stockpiled essentials in anticipation of Ex-Tropical Cyclone Alfred.'

Trend estimates from March 2020 to June 2022 are not available due to the degree of disruption and volatility caused by COVID-19. Trend estimates throughout the pandemic period are likely to be unhelpful and potentially misleading for users in interpreting underlying trend in retail activity.

Food retailing (+0.7 per cent) had the largest rise, alongside other retailing (+0.7 per cent). This was followed by a smaller increase in clothing, footwear and personal accessory retailing (+0.3 per cent). Household goods retailing was flat.

Cafes, restaurants and takeaway food services and department stores both fell by 0.5 per cent.

Retail turnover rose in all states and territories, except for Queensland (-0.4 per cent) as Ex-Tropical Cyclone Alfred negatively impacted spending.

'The extreme weather early in the month led to significant disruptions for businesses and households throughout Queensland.

'Strong spending in food retailing thanks to precautionary buying wasn't enough to offset other impacts. These included temporary business closures for many retailers, particularly cafes and restaurants, while people were also advised to stay home and avoid unnecessary travel,' Mr Ewing said.

Today's release also included quarterly retail sales volumes, which were relatively unchanged (seasonally adjusted) in March quarter 2025.

This comes after two straight quarters of volumes growth in December quarter 2024 (+0.8 per cent) and September quarter 2024 (+0.5 per cent).

'Retail sales volumes were flat this quarter and reflected subdued spending. This comes after sustained promotional activity boosted discretionary spending in late 2024,' Mr Ewing said.

Trend estimates from March 2020 to June 2022 are not available due to the degree of disruption and volatility caused by COVID-19. Trend estimates throughout the pandemic period are likely to be unhelpful and potentially misleading for users in interpreting underlying trend in retail activity.

Retail volumes on a per capita basis fell 0.4 per cent after growth in the previous two quarters.

'Underlying per capita retail spending was flat in trend terms. This indicates that despite population growth, consumer spending remains restrained,' Mr Ewing said.

Retail prices rose 0.7 per cent this quarter, up from 0.4 per cent in December quarter 2024, based on data from the latest Consumer Price Index.