M&S partnership highlights retail opportunities in Australia

M&S’s womenswear, menswear and lingerie collections will be available immediately in-store across 24 David Jones locations, including flagship sites in Sydney and Melbourne.

The move marks a strategic milestone for M&S, bringing British heritage and globally popular fashion lines to a market where the brand already enjoys over 50 per cent awareness among consumers. With David Jones serving more than five million customers annually, M&S is poised to connect with a wide and diverse audience across major urban hubs—from Perth to the Gold Coast.

For M&S, Australia offers an ideal combination of opportunity and timing. The growing demand for fashion and favourable trade policies create an excellent environment for growth. Partnering with a well-known brand like David Jones provides M&S immediate credibility and reach.

This expansion aligns with Australia’s rise as a desirable market for global fashion labels, driven by positive economic factors and shifting consumer tastes.

Per-capita clothing consumption

Australia ranks among the global leaders in per-capita clothing consumption. The country’s clothing retail industry is predominantly concentrated in New South Wales and Victoria, where dense populations drive more than two-thirds of the nation’s fashion retail activity.

Although there is some local apparel manufacturing, most of the clothing sold in Australia is imported, positioning the country as one of the world’s top apparel importers.

Fashion plays a significant role in the national economy, contributing around 1.5 per cent to Australia’s GDP.

Booming fashion and textile sector

Australia’s own textile and apparel market, valued at US$28.9 billion in 2024, is projected to reach US$44.5 billion by 2033, reflecting a healthy compound annual growth rate (CAGR) of 4.9 per cent. This steady expansion is being fuelled by several key factors.

The rapid rise of e-commerce and digitalisation has transformed how consumers shop, making fashion more accessible and personalised than ever before. In parallel, increasing disposable incomes are enabling more Australians to spend on apparel, particularly in premium and sustainable categories.

There is also a growing shift in consumer behaviour towards sustainability and ethical consumption, with buyers showing greater awareness of environmental and social impacts. Supporting this trend, government initiatives such as the Seamless Scheme are playing a crucial role in promoting a circular textile economy, encouraging responsible production, recycling and waste reduction across the industry. Together, these factors position Australia’s fashion market for robust long-term growth.

Favourable trade ties

The Australia–UK Free Trade Agreement (FTA), which came into effect in May 2023, has significantly streamlined the process for British companies looking to expand into the Australian market.

By late 2024, around 70 per cent of traded goods between the two countries had benefitted from preferential tariffs, easing costs and improving market access. As a result, UK exports to Australia saved up to $112.42 million in duties, enhancing competitiveness for British businesses.

Meanwhile, two-way trade between the UK and Australia reached $23.53 billion, accompanied by a notable rise in bilateral investment.

UK investment in Australia grew to $101.96 billion, reflecting an annual growth rate of 6.5 per cent. This deepening economic relationship highlights the long-term potential and viability of sustained UK-Australia business collaborations.

ALCHEMPro News Desk (CG)