The Christmas gifting market in Australia is a vital segment of the retail industry, driven by evolving consumer preferences and economic conditions. In 2024, the market is valued at AUD 90 billion, with a projected Compound Annual Growth Rate (CAGR) of 3%, expected to grow to AUD 101 billion by 2028.
Our figures are based on a meta-analysis of credible market research reports. Confidence in these figures is moderately high, as growth rates and broad trends converge across sources, though some divergence exists in specific estimates.
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Market Size and Growth
The Australian Christmas gifting market is valued at AUD 90 billion in 2024 and is expected to grow at a CAGR of 3%, reaching AUD 101.2 billion by 2028. This steady growth reflects the resilience of consumer spending during the holiday season and increasing adoption of online retail.
Dominant Gift Categories
Gift Cards
As one of the most versatile gifting options, gift cards remain a top choice for Australian consumers. Their flexibility allows recipients to select items that suit their personal preferences, making them a practical solution for both individual and corporate gifting.
Clothing and Shoes
Apparel consistently ranks high among preferred gift categories in Australia, valued for its practicality and personal touch. Customization options, such as monograms or personalized designs, add an extra layer of thoughtfulness to this choice, making it even more appealing.
Books
A timeless gift option, books are cherished for their ability to convey thoughtfulness and sentimentality. They appeal to diverse demographics, offering entertainment, knowledge, and inspiration, making them a reliable choice during the festive season.
Eco-Friendly Products
With increasing focus on sustainability, Australians are prioritizing eco-conscious gifts. Items such as reusable shopping bags, biodegradable kitchenware, or sustainably sourced goods are becoming more popular among shoppers aiming to reduce their environmental footprint.
Consumer Trends
Early Shopping
Australian shoppers are beginning their holiday preparations earlier than ever, with many leveraging sales events like Black Friday and Cyber Monday to secure deals well ahead of December. This trend allows consumers to spread out their holiday expenses and avoid last-minute stress while taking advantage of significant discounts.
E-Commerce Growth
Online shopping continues to dominate the retail landscape in Australia, with over 69% of consumers planning to purchase their holiday gifts online. The convenience of home delivery, expanded product availability, and personalized shopping experiences through AI-driven recommendations make e-commerce the preferred choice for many Australians.
Sustainability Focus
Increasing environmental awareness is shaping consumer preferences, with a growing number of Australians opting for eco-friendly gifts and sustainable packaging. This shift reflects broader societal concerns about environmental impact, with many shoppers seeking products that align with their values, such as reusable goods, biodegradable materials, and ethically sourced items.
Analysis
Convergence of Data
Across all sources, there is strong agreement on the market’s growth trajectory, the dominance of gift cards, and the shift toward e-commerce, leading to high confidence in these trends.
Divergence of Data
Market size estimates show slight variations due to differences in domestic and global scopes.
Top categories and consumer trends vary slightly in emphasis, with some sources highlighting sustainability and others focusing on practical gifting.
Conclusion
The Australian Christmas gifting market is set for steady growth, with spending projected to reach AUD 101.2 billion by 2028. Confidence in trends such as the dominance of e-commerce, the popularity of gift cards, and the focus on sustainability is high, offering clear opportunities for retailers. By aligning with consumer preferences for eco-conscious practices, flexible shopping, and early buying habits, businesses can thrive in this dynamic market.
References and Summary Table
To gain a complete understanding we’ve analyzed data from different market research reports.
| Metric | Statista | CPM Australia | Retail Safari | Technavio | Mintel |
| Market Size (2024) | AUD 90 billion | Not specified | Not specified | AUD 89.5 billion | Not specified |
| CAGR (2024–2028) | Not specified | Not specified | Not specified | 3.00% | 3.00% |
| Projected Market Size (2028) | AUD 101.2 billion | Not specified | Not specified | AUD 101 billion | AUD 101.2 billion |
| Top Categories | Gift cards, clothing, books | Clothing and shoes, books | Personalized items, experiences | Apparel, electronics | Gift cards, eco-friendly gifts |
| Consumer Trends | Early shopping, e-commerce growth | Sustainability focus | Support for local businesses | Online shopping dominance | Flexible payment options |
Understanding the market’s direction can be challenging based on these estimates. While we believe our projections are grounded in credible sources, they should be interpreted with caution. We encourage you to critically evaluate the figures presented and consider additional perspectives to gain a comprehensive view.
Nathan has always been captivated by numbers and patterns. With a Master’s degree in Statistics, he’s honed his skills to decipher complex data sets and discern market trends.
Over the past decade, Nathan has worked with various firms compiling and analyzing industry spending figures to forecast market movements.