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Australia’s total online retailing sales were $3.65 billion in September 2023, Australian Bureau of Statistics (ABS) data revealed.

Online sales rose 2.1% ($75.5 million), following a fall of $17.8 million (0.5%) in August 2023.

Seasonally adjusted through-the-year sales are up 3.4%, or $118.7 million.

Non-food online sales were $2.57 billion, while food online sales were $1.07 billion.

Non-food saw the largest increase in online sales of 2.7%, at $68.8 million, while food sales lifted by $6.7 million (0.6%).

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It comes as Australia’s retail sales volumes rose by 0.2% in the September quarter, as retailers brace for the peak sales period ahead.

ABS head of retail statistics Ben Dorber said the small rise in retail sales volumes follows three quarterly falls in a row. Retail volumes fell by 0.6% in the June quarter, 0.7% in the March quarter, and 0.6% in the December quarter of 2022.

Dorber said the rise in the recent quarter was driven by lower price growth for retail goods, unusually warm weather, and special events such as the FIFA Women’s World Cup.

It was led by department stores at 1.5% growth, household goods (0.8%) and clothing, footwear and personal accessory retailing (0.5%).

“These industries benefitted from drier and warmer-than-usual weather throughout the quarter,” Dorber said. “Combined with continued and frequent discounting activity, sales were higher, particularly for hardware and gardening items, and clothing.”

This also comes as year-on-year (YoY) household spending lifted by 4.9% in September compared to a year ago.

This was driven by an 18.4% rise in spending on transport, a 10.1% rise in health, and a 4.2% increase in food.

Clothing and footwear came in at 3.3%, following a 2.9% YoY growth in August, and a 0.3% growth in July.

ABS head of business statistics Robert Ewing said the overall YoY household spending growth contributed to a 9.2% rise in non-discretionary spending.

“In contrast, discretionary spending rose 0.3 per cent over the year,” Ewing said. “Less spending on discretionary goods like furniture has been offset by increased spending on discretionary services like recreation and culture.”

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