Jewellery and Watches Sector in Australia
The Australian Jewellery market offers exciting opportunities for British companies looking to export.
Australia represents a lucrative market with a growing consumer demand for luxury goods. Between 2008 and 2013, Australia’s Jewellery sector grew by an annualised 2.9% to total AU$4.6 billion.
Growth in this industry has been encouraged by an increase in consumer confidence indicated by the rising Consumer Sentiment Index, an increase in disposable income across Australia and a decrease in interest rates.
Australians are changing the way they shop. Online shopping and omni-channel retailing represents a dynamic and growing segment of the Australian retail market and presents an exciting opportunity for British firms looking to export to Australia without traditional bricks and mortar retailing.
An increase in internet shopping and the spread of global fashion trends via social media means that Australian appetite for foreign brands is on the rise.
Mid to high range precious jewellery products represent about 30% market share in Australia. Overall in the personal accessory market, luxury goods have seen a larger increase in sales than mid-low range goods in the last year.
Mid to low range costume jewellery currently accounts for about 25% of market share. A large proportion of the growth in jewellery wholesale in Australia is expected to come from an increased focus on costume jewellery.
The silver industry has grown considerably in reaction to the increasing price of gold.
There is particular demand for personalised jewellery, custom orders and specifically designed pieces.
Watches account for about 20% market share. There has been a relative decline in the share of watch sales, this is generally explained by growth in the number of younger consumers utilising their mobile phones to tell the time.
Getting into the market
Internet purchasing is finally seeing extensive take up in Australia with an average 24.9% annual growth from 2008-2013 and predicted 10.8% growth annually for the next five years.
The proportion of Australian online shoppers who have purchased clothing, footwear or personal accessories, including jewellery over the internet has grown from 59% in 2011 to 61% in 2012 and is predicted to continue growing.
PwC and Frost and Sullivan predict in their 2012 report, Australian Online Shopping Market and Digital Insights that the strongest growing retail categories over the next five years will be: clothing, footwear, and jewellery and fashion accessories.
Therefore, there are significant opportunities for British companies to sell jewellery online to Australia.
Market intelligence is critical when doing business overseas, and UKTI can provide bespoke market research and support during overseas visits though our chargeable Overseas Market Introduction Service (OMIS).
To commission research or for general advice about the market, get in touch with our specialists in country – or contact your local international trade team.
Joanna Olivera, Trade Development Manager
Tel: +61 2 8247 2212
Brooke Silvers, Trade Development Officer
Tel: +61 2 8247 2241
UKTI runs a range of events for exporters, including seminars in the UK, trade missions to overseas markets and support for attendance at overseas trade shows.