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Two women viewing luxury brand display in shopping mall interior with nautical-themed storefront.
✓ The Sydney Morning HeraldMoney & Work1 min read

Australian shopping malls see revival led by Gen Z shoppers

Retail sales grew 3 per cent and mall foot traffic rose 2 per cent as younger shoppers return.

Australian shopping malls are experiencing a comeback after decades of decline as teenagers and young adults return to physical stores. Retail sales grew 3 per cent and mall foot traffic climbed 2 per cent nationally to June 2026.

Internationally, Gen Z is leading the shift back to stores: 62 per cent of American 18 to 24-year-olds make general merchandise purchases in shops, and foot traffic among 14 to 29-year-olds rose 57 per cent year-on-year.

Australian fashion brands like Oroton are responding by opening specialty stores instead of relying only on department stores. A new exhibition at the Powerhouse Museum opening November 7 will showcase Australian brands shaped by mall culture.

3 per cent to June 2026
Retail sales growth
2 per cent nationally
Foot traffic increase
62 per cent of American 18-24-year-olds
Gen Z store shoppers

Why it mattersRetailers who invested in online-only models are now rethinking their strategy as young shoppers crave physical spaces and human interaction.

AustraliaAustralian retailers and shopping centre owners are benefiting from the traffic increase, which also supports local jobs and nearby small businesses.

✓ Claims checked against the source and corrected before publish. checked 3 h ago

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