Business & Economy

Australian Retailers Turn to E-Commerce for Growth

With shopping habits shifting, traditional brick-and-mortar stores are investing in digital strategies to meet evolving consumer expectations.

2025-08-18 | By Grace Mitchell

Australian retailers are accelerating their shift to e-commerce as consumer preferences evolve. With more shoppers turning to online platforms for convenience, traditional brick-and-mortar stores are rethinking their strategies to stay competitive.

Major retailers have invested in upgraded websites, faster delivery options, and improved customer service channels. Meanwhile, smaller businesses are leveraging social media and niche platforms to reach targeted audiences without heavy marketing costs.

The pandemic acted as a catalyst for digital adoption, pushing even reluctant consumers to explore online shopping. Analysts note that many of these habits have persisted, with sectors such as fashion and electronics seeing continued growth.

Challenges remain, particularly around logistics. Delays in supply chains and rising shipping costs have forced companies to innovate, including adopting local warehousing solutions to speed up delivery times.

Despite these hurdles, industry experts predict sustained growth. As technology evolves, features such as augmented reality fitting rooms and personalised shopping experiences are expected to become standard across platforms.

Retailers acknowledge that while physical stores remain important for brand presence, the future lies in hybrid models that seamlessly integrate digital and in-person experiences, offering customers flexibility and choice.