Australia: online spending growth by category 2024

Australia's online retail spending rose across all segments for both domestic and international merchants in September 2024 compared to the year prior. In the grocery and liquor category, online retail expenditure to domestic merchants increased by around 9.3 percent compared to the previous year. In comparison, international merchants in this category experienced a rise of 1.8 percent.

Leading online retailers and marketplaces

As of 2024, Amazon and eBay were the top online retailers and marketplaces across Australia, with more than 50 percent of online shoppers purchasing from Amazon and over 40 percent from eBay that year. Both websites attracted millions of monthly site visits, with eBay averaging at around 57 million visits per month as of February 2023. Australia’s supermarket giants, Woolworths and Coles, were also among the top online stores purchased from across the country, with the Woolworths Group holding the largest share of Australia’s grocery retail market. Non-direct brand retailers were a popular choice for online shoppers buying fashion items, as well as skincare and makeup products, in 2023, followed by brands' own websites, and marketplaces, such as eBay and Amazon. Unsurprisingly, books and eBooks were Amazon Australia’s most popular purchase categories, largely due to the popularity of Kindle and Audible, as well as the site often offering paperback books at lower prices compared to chain or independent bookstores.

Online retail trends

In 2020 and 2021, widespread restrictions to in-store shopping across Australia resulting from the coronavirus pandemic drove many consumers to online shopping channels. Consequently, the country’s e-commerce market boomed during that period, with e-commerce growing by over 32 percent in 2020 and 2021. Market growth slowed somewhat in 2022; nevertheless, long-lasting changes to consumer behavior are noticeable, with many shoppers engaging in omnichannel shopping activities. Shopping smart is becoming essential in current times, as inflation affects household disposable income, with consumers increasingly conducting in-depth research before purchasing, shopping during sales periods, bulk-buying, and purchasing items, such as birthday or Christmas gifts, in advance. Furthermore, in recent years, product sustainability has come into greater focus across Australia, with many online shoppers preferring to purchase from ethical and sustainable brands.