The Australian Bureau of Statistics today released its Monthly Household Spending Indicator for June 2025.
Two elements from that were very interesting and raise questions of why?
Firstly, spending on alcohol and tobacco declined nationally, over the last three quarters:
National household spending, Alcoholic beverages and tobacco, percentage change from previous quarter, chain volume measures, seasonally adjusted terms: Dec-2024 was minus 2.5%, Mar-2025 was minus 5.9%, Jun-2025 was minus 7.3%.
And as the first graph (below) indicates, the decline is greater for alcohol and tobacco than other spending categories. And the second graph suggests that, December’s festivities excepted, alcohol sales are mostly flat.
The Australian Bureau of Statistics also reported that this decline varied by State – State household spending by Alcoholic beverages and tobacco category, percentage change from previous month, current price, seasonally adjusted was in NSW was minus 1.1%, Vic. was minus 3.5%, Qld was minus 3.0%, SA was minus 3.4%, WA was minus 2.8%, Tas. was minus 0.5%, NT was minus 4.0%, and the ACT was minus 1.2%.
Given past perceptions of Australians and alcohol (a nation of heavy drinkers), this data suggests that the old stereotype is less accurate now.
Other research findings suggest recent moves away from beer to other alcohols, more selective drinking patterns, or a desire to stop drinking alcohol altogether, may be influences that have resulted in the decline reported. In addition, cost of living pressures, the need to spend on other, more needed areas, and with alcohol perhaps a more optional spend, could have contributed as well.
These are questions worth reviewing, if your business is producing or selling alcohol. As is why the declines have differed by State, with perhaps different communication strategies for different States.
These questions all show the value and business utility of reliable data for marketing and business growth discussions and strategy reviews.
If you would like to know more about data-strengthening for your business, please contact Philip Derham at derhamp@derhamresearch.com.au or call him on 0414 543 765, or use the Let’s get started – Derham Insights Research form now.
