Domestic Appliance Retailing in Australia - Market Research Report (2013-2028)
Melbourne, Australia
Last Updated: August 2023
ANZSIC G4221aRevenue
$17.0bn
Past 5-Year Growth
Profit
$X.Xbn
Employees
42,523
Businesses
3,979
Wages
$X.Xbn
Domestic Appliance Retailing in Australia industry analysis
Domestic appliance retailers are susceptive to shifts in consumer spending, which is why the COVID-19 pandemic's renovation boom has wavered the industry. Consumers tend to purchase big-ticket home appliances like refrigerators, washing machines and TVs instore, but this was largely impossible during rolling lockdowns and temporary bricks-and-mortar store closures. Home-bound consumers rapidly shifted to online channels to purchase these appliances – spurred along by an upswing in renovation projects and home entertainment trends – ramping demand for retailers with online platforms. Government assistance payments and surplus holiday funds uplifted real household discretionary income, aiding consumers buying power to spend on home appliances. Despite the highs, the pandemic has wreaked havoc on supply chains, leading to higher procurement costs and acute shortfalls instore stock. Overall, industry revenue is expected to rise by 2.4% over the five years through 2022-23, to $17.0 billion. This includes an estimated dip of 4.1% in the current year, as low consumer optimism scales back discretionary spending.Even before the pandemic, ecommerce was quickening pace, with large retailers embracing omnichannel strategies to diversify revenue streams. In turn, the industry has faced fierce competition from online-only retailers. These sellers don't have bricks-and-mortar stores, which slims their overhead costs and allows them to pass savings on to customers through lower prices. Plunging consumer sentiment has encouraged consumers to forego appliance purchases or opt for lower-priced alternatives online. This has persuaded retailers into price-matching deals with their online-only rivals, which is why profit margin growth has been feeble. Waning residential construction activity – besides the spate of activity during the Federal Government's HomeBuilder scheme – and subdued growth in the number of households has hindered demand for retailers.Industry revenue will rise by an estimated 1.6% over the five years through 2027-28, to $18.5 billion. Continued advances in product design and technology, a rise in the number of households and discretionary income and recovering consumer sentiment will underpin this growth. A rebound in residential building construction activity will keep demand for whitegoods and TVs elevated, but the saturation of online shopping will keep demand woes alive.
Trends and Insights
- Consumers have been nesting, upheaving demand for all things home-related. This is why the Domestic Appliance industry has been growing at pace.
- Technology advancements have accelerated appliances’ life cycles. This trend has been spurred by consumers’ desire for the newest appliance releases, including smartphones and energy-efficient whitegoods.
- Retailers that neighbour one another are more viable than standalone locations. Combined, these retailers form one-stop destinations for home improvement shopping experiences, offering visibility and regular exposure to targeted customers.
- Retailers are aggressively discounting stock to attract new and repeat customers. Ultimately, the goal of cutting costs is to keep pace with their inexpensive overseas rivals.
Industry Overview
Market size and recent performance (2013-2028)
Industry revenue has grown at a CAGR of 2.4 % over the past five years, to reach an estimated $17.0bn in 2023.
Trends and Insights
Consumer's focus on creating lockdown-friendly homes has sustained demand for home appliances
- COVID-19 lockdowns and restrictions saw home-bound consumers place a renewed focus on home renovation projects to the benefit of retailers e.g., customers were upgrading their fridges size and energy ratings to store more food and cut electricity use. Entertainment electronics like TVs were also brought to the forefront of consumer spending.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
The steeping competition will add to demand woes for domestic appliance retailers
- Competitive woes from department stores and online sellers will persist, prompting price-matching deals across the Domestic Appliance Retailing industry, slimming profitability gains. Supply chain disruptions will temper but remain over the short-term, preserving shortfalls in stock and offering retailers some reprieve from aggressive discounting strategies.
Biggest companies in the Domestic Appliance Retailing in Australia
| Company | Market Share (%)
2023 | Revenue ($m)
2023 |
|---|---|---|
JB Hi-Fi | 5,650.0 | |
Harvey Norman | 2,930.0 | |
BSR Australia | 340.6 |
To view the market share and analysis for all 5 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Domestic whitegoods, Televisions and Mobile phones and telephone handsets. Domestic whitegoods is the largest segment of the Domestic Appliance Retailing in Australia.
Trends and Insights
Consumer nesting and upgraded green consumption have upheaved demand for whitegoods
- Domestic whitegoods make up the industry's largest product segment, comprising cooking stoves, ovens, microwaves, hotplates, refrigerators, freezers, washing machines, air conditioners, dishwashers and clothes dryers. Most households consider these items essential. Most households consider many of these items essential.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- Photographic Equipment Retailing in Australia
- Furniture, Appliance and Equipment Rental in Australia
- Computer and Software Retailing in Australia
Complementors
- Domestic Appliance Repair and Maintenance in Australia
International industries
- Consumer Electronics Stores in the US
- Online Large Kitchen Appliance Sales in the US
- Consumer Electronics Stores in Canada
- Domestic Appliance Retailing in New Zealand
- Mobile Telephone Retailers in the UK
Table of Contents
About this industry
Industry definition
Industry operators retail a range of domestic appliances, including TVs, barbecues, refrigerators, microwaves, washing machines and vacuum cleaners. These products are purchased from manufacturers and wholesalers for resale to consumers at retail stores. The industry includes online sales by bricks-and-mortar retailers, but excludes department stores and online-only retailers.
What's included in this industry?
Heating and cooling equipment retailingDomestic household appliance retailingAudiovisual equipment retailingMobile phone and telephone retailingCompanies
JB Hi-FiHarvey NormanBSR AustraliaPurchase this report to view all 5 major companies in this industry.
Related Terms
POINT OF SALE SYSTEMSINTERNET OF THINGS (IOT)SUBSCRIPTION VIDEO ON DEMAND (SVOD)Industry Code
ANZSIC 4221 - Domestic Appliance Retailing in Australia
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
Consumers have been nesting, upheaving demand for all things home-related. This is why the Domestic Appliance industry has been growing at pace.
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2013-2022) and forecast (2023-2028)
- Employees, including historical (2013-2022) and forecast (2023-2028)
- Businesses, including historical (2013-2022) and forecast (2023-2028)
- Profit, including historical (2013-2023)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
Technology advancements have accelerated appliances’ life cycles. This trend has been spurred by consumers’ desire for the newest appliance releases, including smartphones an...
In this chapter
- Products & Services
- Major Markets
Key metrics
- Largest market segment and value in 2023
- Product innovation level
Charts
- Products & services segmentation in 2023
- Major market segmentation in 2023
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
Retailers that neighbour one another are more viable than standalone locations. Combined, these retailers form one-stop destinations for home improvement shopping experiences...
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each region
- Share of population compared to establishments in each region in 2023
Tables
- Number and share of establishments in each region in 2023
- Number and share of revenue each region accounts for in 2023
- Number and share of wages each region accounts for in 2023
- Number and share of employees in each region in 2023
Detailed analysis
- Geographic spread of the industry across Asia Pacific, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
Retailers are aggressively discounting stock to attract new and repeat customers. Ultimately, the goal of cutting costs is to keep pace with their inexpensive overseas rivals...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2018-2023
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
Appliance powerhouses JB Hi-Fi and Harvey Norman meet a sizeable share of industry demand. Their buying power allows them to offer competitive prices and satisfy consumers’ b...
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2019 through 2023
- Major companies in the industry, including market share, revenue, profit and profit margin in 2023
- Overview of JB Hi-Fi's performance by revenue, market share and profit margin from 2017 through 2023
- Overview of Harvey Norman's performance by revenue, market share and profit margin from 2017 through 2023
- Overview of BSR Australia's performance by revenue, market share and profit margin from 2017 through 2023
- Overview of revenue, market share and profit margin trend for 2 additional companies
Detailed analysis
- Description and key data for JB Hi-Fi, and factors influencing its performance in the industry
- Description and key data for Harvey Norman, and factors influencing its performance in the industry
- Description and key data for BSR Australia, and factors influencing its performance in the industry
- Description, key data and performance trends for 2 additional companies
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
Volatile consumer sentiment and discretionary income have fluctuated retailers’ cash flows. Consumers have bounced between stints of elevated spending and savings due to shif...
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2013-2028)
- Assistance historical data and forecast (2013-2028)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Dominant players have invested in automated machinery to bring down wage costs. This has enabled them to channel lower prices for their customers.
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2023
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2023
- Investment vs. share of economy
Data tables
- Cash Flow & Debt Service Ratios (2013-2028)
- Revenue per Employee (2013-2028)
- Revenue per Enterprise (2013-2028)
- Employees per Establishment (2013-2028)
- Employees per Enterprise (2013-2028)
- Average Wage (2013-2028)
- Wages/Revenue (2013-2028)
- Establishments per Enterprise (2013-2028)
- IVA/Revenue (2013-2028)
- Imports/Demand (2013-2028)
- Exports/Revenue (2013-2028)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2013-2028)
- IVA (2013-2028)
- Establishments (2013-2028)
- Enterprises (2013-2028)
- Employment (2013-2028)
- Exports (2013-2028)
- Imports (2013-2028)
- Wages (2013-2028)
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in Australia include:
- Australian Bureau of Statistics
- Australian Taxation Office
- Australian Securities & Investments Commission
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Domestic Appliance Retailing industry in Australia in 2024?
The market size of the Domestic Appliance Retailing industry in Australia is $17.0bn in 2024.
How many businesses are there in the Domestic Appliance Retailing in Australia industry in 2023?
There are 3,979 businesses in the Domestic Appliance Retailing industry in Australia, which has grown at a CAGR of 0.1 % between 2018 and 2023.
Has the Domestic Appliance Retailing industry in Australia grown or declined over the past 5 years?
The market size of the Domestic Appliance Retailing industry in Australia has been growing at a CAGR of 2.4 % between 2018 and 2023.
What is the forecast growth of the Domestic Appliance Retailing industry in Australia over the next 5 years?
Over the next five years, the Domestic Appliance Retailing industry in Australia is expected to grow.
What are the biggest companies in the Domestic Appliance Retailing market in Australia?
The biggest companies operating in the Domestic Appliance Retailing market in Australia are JB Hi-Fi, Harvey Norman and BSR Australia
What does the Domestic Appliance Retailing in Australia include?
Heating and cooling equipment retailing and Domestic household appliance retailing are part of the Domestic Appliance Retailing industry.
Which companies have the highest market share in the Domestic Appliance Retailing in Australia?
The company holding the most market share in Australia is JB Hi-Fi.
How competitive is the Domestic Appliance Retailing industry in Australia?
The level of competition is moderate and increasing in the Domestic Appliance Retailing industry in Australia.
