Online Shopping Boom: Australians Spent AU$69B In 2024, Millennials Lead The Surge

An eCommerce report recently revealed that Australians spent a record-breaking AU$69 billion on online shopping in 2024, marking a 12% increase from the previous year, as consumers gravitated toward sales and digital marketplaces.

Online platforms accounted for nearly AU$16 billion, followed by food and liquor at AU$13.6 billion and fashion at AU$9.6 billion.

Millennials were the biggest spenders at AU$25 billion, while Gen X, Gen Z, and Baby Boomers spent AU$19 billion, AU$12 billion, and AU$10 billion, respectively, 9News reported Australia Post's 2025 Annual eCommerce Report as saying.

Regional shoppers drive growth

Regional shoppers contributed significantly to this growth, with a 2.9% rise in spending. The top online shopping locations were Toowoomba and Mackay in Queensland, along with Point Cook in Victoria, Australia Post reported.

Commonwealth Bank senior economist Belinda Allen pointed out that "in Sydney, Melbourne and Canberra, higher household debt, higher home prices and a greater sensitivity around higher interest rates really reined in spending."

Despite record sales growth in Australia, the average value of individual transactions was the lowest in 10 years. The rising cost of living led to a drop in the average basket size to AU$95, a 2.1% decrease from the previous year.

Many shoppers took advantage of discounts, with Black Friday sales reaching a record AU$2.2 billion in online spending. Businesses have noticed that frequent sales events are encouraging consumers to wait for discounts before making purchases.

As a result, strategic shopping has become a common habit among Australians.

Gen Z adapts to rising costs

According to a survey, Australia's Gen Z has had to become resourceful and creative with money-saving hacks as the country continues to grapple with rising living costs and soaring. From reusing tea bags to splitting sponges, young Australians are finding clever ways to stretch their dollars and navigate financial challenges.

Last month, the Reserve Bank of Australia revealed that credit card transactions of Australians reached a record high of AU$28.1 billion during the Christmas season, with AU$17.8 billion now being charged interest.

Considering the rising living costs in the country, Australians will receive increased Centrelink payments due to indexation adjustments, starting March 20, providing essential financial relief to those in need.

Pensioners will see the biggest boost, with those on the maximum single-rate Age Pension receiving an extra AU$4.60 per fortnight, raising their total payment to AU$1,149.