Changing rooms coming to revamped post offices as Aussies spend $63.8b online shopping

The traditional post office is getting an overhaul, as Aussies take to online shopping in even greater numbers. See the postcodes that are top online shoppers - and what they’re buying.

Australian post offices will soon include changing rooms so people can try on their online purchases before they take the items home.

And customers will also be able to shop from a suite of local businesses in a “mini-mall” that will help keep post offices alive as the volume of letters being sent by Australians continues to fall and the federal government reviews Australia’s postal services.

Australia Post Executive General Manager Parcel, Post and e-commerce services Gary Starr said the first of the future “concept stores” will be launched in Orange, NSW, later this year with others to follow in regional and suburban areas.

“We’re testing a whole lot of new concepts … for example, there’s a change room, so I can order online and have it delivered to that community hub post, try it on and if it’s great, you can take it home, if not, then I can hand it straight back over the counter and it goes back to the retailer and I can get my money back quicker,” Mr Starr told News Corp.

The new stores would also have a range of outlets for customers to shop in.

Trying on clothes at the post office is about to be a reality.

“It could be a local candle maker or soap maker and they can they can showcase their wares in the store and it gives them a chance almost it gives them an offline opportunity that they just don’t have. So we’re going to try that concept,” he said.

“There has been a friction point for online shopping [with the hassle of returning items] but we do believe that will lead to greater, better sales for the online retailer and a more convenient experience for the consumer,” Mr Starr said.

Dedicated lines for parcel delivery and for small business and separate lines of banking and maybe identity services will also be tested.

Australia Post’s Gary Starr.

Australia Post Chief Executive Officer Paul Graham

His comments are the strongest indication yet of what modern post offices could like as Australia Post grapples with a huge decline of letters being sent, but booming parcel delivery business of the back of an insatiable appetite for online shopping, as revealed in its 2023 Australian Online Shopping Report.

The report reveals 9.4 million Australian households shopped online in 2022, spending $63.8 billion on online goods. The huge figure means online shopping now makes up over 18 per cent of all retail sales, an increase of 1.7 per cent.

Australia Post predicts those volumes will only accelerate, with a third of total retail spending likely to be online within a decade.

Fashion and apparel online sales surged 17.4 per cent in 2022.

Home and garden, with its expensive items like electronic goods and furniture was the most lucrative category at $18.7 billion, but the growth in online shopping was fuelled by increased spend on food and liquor stores ($13.1 billion, up 11.4 per cent growth), variety stores ($11.6 billion up 8.6 per cent), and fashion and apparel up 17.4 per cent.

Victoria and New South Wales still spend the most online, but Queensland online shoppers are the fastest growing state, up 11.1 per cent, closely followed by West Australians, up 11 per cent.

November was the most popular month for online sales, possibly as shoppers begin Christmas bargain hunting early, when a record six million households purchased online.

Paul Graham, Australia Post’s chief executive, said there was uncertainty in the economic outlook, but he had confidence the e-commerce sector would continue to thrive

“In challenging times, ingenuity and resilience come to the fore, and new opportunities arise. Just as Australia Post is responding to challenges in front of us by modernising our historic business, I know other Australian businesses will do the same,” Mr Graham said.

TOP POSTCODES FOR ONLINE SHOPPING

New South Wales

1. Liverpool, NSW 2170

Women’s fashion: 0.4%

2. Rouse Hill, NSW 2155

-Auto Parts: 2.3%

-Women’s fashion: 1.0%

3. Gosford, NSW 2250

- Pet products: 32.8%

- Auto Parts: 3.3%

Victoria

1. Point Cook, VIC 3030

-Pet products: 13.7%

2. Hoppers Crossing, VIC 3029

-Pet products: 13.1%

- Auto Parts: 1.8%

3. Cranbourne, VIC 3977

- Pet products: 9.2%

ACT

1. Dunlop, ACT 2615

- Pet products: 9.2%

- Auto Parts: 8.7%

- Women’s Fashion: 4.1%

2. Weston, ACT 2611

- Baby products: 11.0%

- Pet products: 9.4%

- Auto Parts: 9.4%

3. Ngunnawal, ACT 2913

- Pet products: 8.3%

- Auto Parts: 6.8%

- Baby products: 6.1%

Queensland

1. Toowoomba, QLD 4350

-Pet products: 67.1%

- Tools & Garden: 29.4%

- Athleisure: 24.9%

2. Mackay, QLD 4740

- Tools & Garden: 31.7%

- Wine & Liquor: 27.3%%

- Athleisure: 22.9%

3. Bundaberg, QLD 4670:

- Pet products: 25.6%

- Tools & Garden: 23.5%

- Wine & Liquor: 21.5%

Western Australia

1. Mandurah, WA 6210

- Pet products: 69.1%

- Tools & Garden: 31.6%

- Baby products: 14.2%

2. Success, WA 6164

- Tools & Garden: 38.2%

- Pet products: 33.6%

- Marketplaces & Online Discount stores: 13.7%

3. Wanneroo, WA 6065

- Tools & Garden: 43.4%

- Pet products: 31.2%

- Major & Discount stores: 16.7%

Tasmania

1. Launceston, TAS 7250

- Pet products: 28.9%

- Baby products: 20.0%

- Tools & Garden: 19.3%

2. Devonport, TAS 7310

- Tools & Garden: 30.8%

- Pet products: 25.2%

- Athleisure: 18.3%

3. Howrah, TAS 7018

- Pet products: 35.7%

- Tools & Garden: 21.9%

- Athleisure: 19.8%

South Australia

1. Happy Valley, SA 5159

- Tools & Garden: 23.4%

- Major & Discount stores: 22.2%

- Athleisure: 20.4%

3. Craigmore, SA 5114

- Pet products: 69.2%

- Major & Discount stores: 24.4%

- Wine & Liquor: 20.6%

2. Mount Gambier, 5290

- Pet products: 23.2%

- Tools & Garden: 19.0%

- Beauty: 11.6%

Northern Territory

1. Coconut Grove, NT 0810

- Tools & Garden: 19.5%

- Athleisure: 12.6%

- Baby products: 10.3%

2. Gillen, NT 0870

- Pet products: 19.6%

- Tools & Garden: 14.3%

- Auto Parts: 13.6%

3. Stuart Park, NT 0820

- Pet products: 19.6%

- Athleisure: 17.4%

- Tools & Garden: 14.2%