Australia Post faces future test as online shopping hits $25 billion
Australians spent a record $25 billion shopping online in the July-to-September quarter, as growing demand for parcel deliveries puts Australia’s national postal service under the spotlight.
The figures, released in Australia Post’s latest quarterly eCommerce report, show online spending jumped 17 per cent compared with the same period last year.
Some 8.4 million Australian households shopped online during the quarter, an increase of 3.5 per cent year-on-year.
The surge comes as the federal government launches a parliamentary inquiry into the future of Australia Post, amid changing consumer habits and declining letter volumes.
Communications Minister Anika Wells said the postal service was facing significant challenges as the way Australians communicate and do business continues to change.
“Australia Post is a beloved institution, delivering vital services and connecting Australians across the country,” Ms Wells said in a ministerial statement.
“Changing consumer behaviour and commercial conditions present significant challenges to the sustainability of our national postal service, reflecting experiences globally.”
The House of Representatives Standing Committee on Communications, the Arts and Sport will examine how Australia Post can diversify its services while remaining commercially viable and accessible to communities.
The inquiry will also give residents, businesses and other stakeholders an opportunity to have their say on the future of the postal network.
Its findings are expected in the second quarter of 2027.
<img src="https://content.api.news/v3/images/bin/e8dca9898a44ed8783f777285c0cc789?width=1024" alt="About 1.42 billion letters were sent through Australia Post last financial year. Picture: NCA NewsWire / Naomi Jellicoe” loading=”lazy”>
While online shopping continues to grow, demand for traditional letter services has moved in the opposite direction.
About 1.42 billion letters were sent through Australia Post last financial year, down 14.7 per cent on the previous year.
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Online marketplaces recorded the highest spending in the latest quarter at $6.1 billion, up 20 per cent year-on-year, followed by food and liquor at $5.3 billion, an increase of 21 per cent.
Fashion spending reached $3.6 billion, while hobbies and recreational goods recorded 22 per cent growth.
Australia Post general manager of enterprise and government Chelsea O’Reilly said the organisation was preparing for its busiest delivery period yet.
Read related topics:Australian business
