Fashion Exposed Now 2019 comes at a good time for the niche end of the market.
The monthly revenue of Australia’s independent retailers over the past 12 months was 18% higher than the global average, according to data from retail management software provider Vend.
This insight comes from Vend’s first Retail Benchmarks Report, which compared data from over 13,000 retailers with a particular focus on Australia, New Zealand, North America and the United Kingdom.
Australian retailers’ average monthly revenues were also 17% higher than in North America and 37% higher than the UK, showing a stronger spending trend for Australia’s local stores compared to these overseas markets.
And average transaction values in Australia - the amount spent in a retail store per transaction - were the highest of all the main markets, 5% higher than the global average.
However sales volumes weren’t quite as strong, still up 5% on the global average but sitting 19% lower than in New Zealand and 16% lower than in the UK.
Vend APAC country manager Dave Scheine said the findings are hopeful.
“It’s value over volume for Australian shoppers.
“Over the past year factors like a lack of household income growth and cautious consumption have impacted retail sales, so the data may be showing that shoppers are simply being more selective with where they shop and what they buy.
"The growth of payment options such as buy-now, pay-later could also be encouraging spending on higher-value items, as shoppers are able to afford those purchases paid off over time.
"Our retail sector has seen a lot of change and disruption in the past year. So it’s encouraging to see these solid spending figures in comparison to other markets."
Shoe stores and gift stores all saw stronger sales volumes compared to other retail store types in the past 12 months.
However the highest revenue figures where in stores with generally higher-value items such as jewellery stores.
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“Our data also shows that Australian retailers are yet to make full use of customer loyalty," Scheine said.
"That could really be hindering them in staying competitive against the bigger players.
"There’s definitely more our local stores could be doing to boost sales."
Australian consumers are spending an average of $92 on fashion transactions and $111 on shoe transactions according to research from Vend.
While fashion and shoe retailers are seeing higher average transaction numbers in Australia, they also rank at the bottom for average basket sizes with fashion retailers reporting an average of two products bought per transaction and shoe retailers reporting an average of 1.5 products per transaction.
The report found that fashion retailers saw an average monthly revenue of approximately $25,000 per store while shoe retailers saw their numbers reach an average of $26,700 per store.