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Brisbane university retailers hit by international student exodus, study-from-home

The retail industry was already in dire straits before the coronavirus pandemic, and now even a sector that defied that trend is suffering under the effects of the lockdown.

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University campuses have become the new ground zero for the retail apocalypse, with businesses once guaranteed a “captured market” of foot traffic suffering a one-two punch from the pandemic.

Tens of thousands of international students who normally pack university campuses daily have returned to their countries, while domestic students have embraced study-from-home routines.

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There have also been mass lay-offs at Queensland universities as institutions slash their costs.

The dramatic fall in foot traffic has hurt local businesses in universities’ retail precincts, which QUT Business School’s retail expert Dr Gary Mortimer said had been a bright spot prior to the pandemic.

Associate Professor Gary Mortimer said declines in foot traffic had impacted university-reliant shopping precincts such as in St Lucia. Picture: Mathew Farrell
Associate Professor Gary Mortimer said declines in foot traffic had impacted university-reliant shopping precincts such as in St Lucia. Picture: Mathew Farrell

The Courier-Mail visited several retail precincts around St Lucia, which in “normal times” are a hive of activity thanks to the University of Queensland, finding them eerily quiet.

At the usually bustling Hawken Drive shops, Shalom Indonesian Restaurant supervisor Pradhya Bintang said business dropped to just 30 per cent of normal levels during lockdown, and had only recovered partially since.

“We’ve had to cut hours, to cut costs,” Mr Bintang said.

“It’s been impacting our workers.

“The employees have had to work twice as hard.”

A UQ food court has been mostly shut since the pandemic began. Picture: Thomas Morgan
A UQ food court has been mostly shut since the pandemic began. Picture: Thomas Morgan

St Lucia Newsagent co-owner Rahul Singh, who has operated the Hawken Drive business for nearly 20 years, said the exodus of international students had particularly impacted parcel delivery numbers which his business provided.

Mr Singh said the whole precinct had felt a significant downturn, but said many St Lucia locals had supported them by shopping locally.

“Less foot traffic means less people in every shop … it has an impact,” he said.

“Survival doesn’t mean you’re doing okay, it means you got through.”

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Another shopkeeper on campus at UQ said it was noticeably quieter and pointed to the once-bustling food court near the Schonell Theatre, which now lies largely closed.

“The university has become isolated,” the shopkeeper said.

“Before it was packed, now it’s empty.”

QUT Business School retail expert Dr Gary Mortimer said university retail had been slammed by international and domestic student foot traffic drops.

The Hawken Drive shops are noticeably quieter than previous years. Picture: Thomas Morgan
The Hawken Drive shops are noticeably quieter than previous years. Picture: Thomas Morgan

“While retailers are doing it tough, I would imagine university retailers are struggling just as much if not even more,” Dr Mortimer said.

He said prior to COVID-19, university retailers had been a rare bright spot in the otherwise beleaguered industry since they benefited from a “captured market”.

“It can be anywhere between 20,000 to 50,000 students on a campus on any given week,” Dr Mortimer said.

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Original URL: https://www.couriermail.com.au/business/brisbane-university-retailers-hit-by-international-student-exodus-studyfromhome/news-story/39469c55800a6de61bc33282016184e5