Population growth bolsters the Australian retail sector

Colliers has released a report that has claimed investment and spending in Australia’s retail sector remains robust.

“The increase in density in cities like Sydney and Melbourne has resulted in some developers focusing on developments with a combination of residential, retail and office which increase amenity, walkability and livability,” said Kate Gray, Director, Research at Colliers International. “

“This has resulted in a stronger development pipeline over the next two years, with many developers focusing on growth states of Victoria and New South Wales.”

Retail sales grew just over 3 per cent year-on-year in March while ASIC reported a fall in the total number of insolvencies in the last half of 2017.

“Whilst online sales are generally increasing in the fresh food market, the biggest barrier to a significant adoption of this medium by the customer is tangible preference of personally selecting the fresh food item,” George Wragge, director, retail leasing at Colliers International said.

“Landlords need to be increasingly considerate of the grab and go options with delivery mediums so that delivery riders and pick up points are not affecting the dining experience and bottle necking aspects retail centres.”

This article first appeared on Inside Retail, a sibling publication to Inside Franchise Business.