Australian retail sales continued to strengthen in April, with trade increasing 9.9% compared to the same time last year, according to Mastercard SpendingPulse™, which measures in-store and online retail sales across all forms of payment.
All categories of retail recorded strong year on year sales growth, with Electronics leading the way (up 20.3%) followed by Fuel and Convenience (up 17.6%), Groceries (up 16.4%), Home Furnishings (up 15.7%), Jewellery (up 13.2%), Apparel (up 11.9%) and Lodging (up 9.2%).
Australian Retailers Association CEO Paul Zahra said whilst it’s pleasing to see a strengthening of sales, ongoing inflationary pressures are continuing to challenge many businesses.
“April was another strong month for retail with businesses spurred along by increased spending around the Easter holiday with people getting away for a well-earned break. Covid restrictions were also eased, including close contact isolation requirements, which allowed many businesses to trade closer to their full potential,” Zahra said.
“However, whilst overall retail sales continue to increase, so too does the cost of doing business with inflationary pressures impacting operations. We’re also seeing many households start to tighten their budgets with interest rates now on the rise.
“The higher consumer prices that are flowing through the economy are also contributing to the increased levels of sales, so while retail turnover is strong it doesn’t necessarily mean businesses are thriving, as they too have to manage the higher cost of living.”
