$21.9bn
$X.Xbn
98,138
209
$X.Xbn
Department stores have long been a magnet for foot traffic and tourists, which is why the COVID-19 pandemic has disrupted retailers. Even before the outbreak, instore patronage was drying up, with wavering consumer sentiment and discretionary income pivoting spending towards lower-priced online sellers. Rising internet connections and rolling lockdowns have propelled online shopping activity and industry competition. But these headwinds have yielded some positive results, like a push to revise thwarting legacy systems and strategies and become more digital-led retailers. Industry revenue has modestly contracted by an annualised 0.3% in the past five years through 2023-24, to $21.9 billion. This trend also includes a 5.6% downturn in revenue over the current year. Despite a bounce-back in tourism, cost-of-living pressures are poised to intensify, encouraging consumers to cut back on discretionary spending.
Industry revenue has declined at a CAGR of 0.3 % over the past five years, to reach an estimated $21.9bn in 2023.
Market size is projected to decline over the next five years.
Company | Market Share (%)
2024 | Revenue ($m)
2024 |
---|---|---|
Wesfarmers | 11,065.4 | |
Woolworths | 5,008.0 | |
Myer Holdings | 2,788.1 |
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Industry revenue is measured across several distinct product and services lines, including Clothing, footwear and accessories, Furniture, housewares and textile goods and Household appliances and consumer electronics. Clothing, footwear and accessories is the largest segment of the Department Stores in Australia.
Falling consumer optimism has cut short revenue generated from clothing, footwear and accessories
Department stores retail fabrics, soft goods, clothing, chinaware, glassware, housewares, perfumes, cosmetics, toiletries, furniture and household appliances. Goods are normally sold through separate instore departments. Department stores purchase products from wholesalers and manufacturers and onsell them to consumers. They also undertake activities including customer service, product merchandising, advertising, inventory control and cash handling.
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ANZSIC 4260 - Department Stores in Australia
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
The rise of online shopping is causing headwinds for department stores as rivalry from online-only retailers has ramped up. Simultaneously prompting overdue strategy turnarou...
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Specialty retailers are loosening the authority department stores have held on discretionary goods. They’ve been notable for expanding and improving their lines of cosmetics/...
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City centres and Shopping centre complexes offer department stores a competitive advantage. These locations provide extensive foot traffic and brand prominence.
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Industry heavyweights like The Kmart Group occupy the bulk of industry demand. This is because their size and scope give them an advantage in an ever-more competitive environ...
Learn about the performance of the top companies in the industry.
Large players rule the industry with market share majority and brand recognition, creating challenging conditions for smaller competitors. Industry heavyweights have been rat...
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Department stores in Australia are subject to regulations set by the General Retail Industry Award regarding employment conditions and the Fair Work Commission regarding penal...
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Department store cost structures are influenced by operation size and product type. The industry's cost structure mirrors the average across all companies, with the top four ...
Including values and annual change:
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Key data sources in Australia include:
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These sources include:
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The market size of the Department Stores industry in Australia is $21.9bn in 2024.
There are 209 businesses in the Department Stores industry in Australia, which has grown at a CAGR of 7.9 % between 2018 and 2023.
The market size of the Department Stores industry in Australia has been declining at a CAGR of 0.3 % between 2018 and 2023.
Over the next five years, the Department Stores industry in Australia is expected to decline.
The biggest companies operating in the Department Stores market in Australia are Wesfarmers, Woolworths and Myer Holdings
Clothing, footwear and accessories and Furniture, housewares and textile goods are part of the Department Stores industry.
The company holding the most market share in Australia is Wesfarmers.
The level of competition is high and increasing in the Department Stores industry in Australia.