Drinking milk products remains a staple in Australia, with fresh milk continuing to dominate as the preferred format. Drinking milk products has continued to see moderate growth in retail value and volume terms in 2025, although overall growth has plateaued in recent years. This is largely due to the increasing integration of dairy alternatives into consumers’ routines, driven by heightened health awareness and the growing adoption of flexitarian diets that promote greater variety in food choice

Australia’s baby food category continues to face structural challenges, with retail volume sales declining in 2025, despite modest gains in current value terms, supported by value-added innovation and the complementary use of infant milk formula. As more women navigate the demands of modern parenting and work, milk formula is increasingly used to supplement breastfeeding, particularly where natural supply is insufficient, thus sustaining demand despite broader market pressures. However, demograp

Cheese has recorded modest growth in current value terms in 2025, underpinned by stable household consumption and a sustained interest in home cooking. While cheddar remained the dominant variety by volume, growth is increasingly being driven by non-cheddar formats, particularly mozzarella, parmesan, and snackable cheese, reflecting evolving consumer preferences for meal versatility, culinary experimentation, and premiumisation. These shifts have been further amplified by younger consumers who i

Australia’s other dairy category has seen stable value growth in 2025, buoyed by the continued strength of at-home cooking and entertaining. Core ingredients such as cream remain staples in home meal preparation, with consumers leaning into cooking from scratch as a more cost-effective and comforting routine amid persistent cost-of-living pressures. Within this context, chilled dairy desserts has experienced a clear premiumisation trend, driven by consumer demand for indulgent yet refined treats

Yoghurt remains the largest category within yoghurt and sour milk products in 2025, underpinned by strong alignment with consumer priorities around health, indulgence, and convenience. Its versatility across breakfast, lunchboxes, snacking, and meal preparation occasions has cemented its role in everyday consumption. Greek-style yoghurt remains a standout performer, with its thick texture, high protein content, and suitability for both sweet and savoury dishes driving its sustained popularity. T

Butter and spreads has continued to grow steadily in current value terms in 2025, although the pace of growth has moderated since the 2023 peak. This deceleration reflects the easing of global commodity prices and a recovery in dairy supply, which has helped stabilise unit prices over the past two years. With pricing pressure subsiding, value growth is now more closely aligned with underlying volume trends rather than inflationary surges. Volume sales have also seen healthy growth in 2025, drive

In 2025, Australia’s dairy products and alternatives market is navigating a complex macro landscape shaped by tightening domestic supply, rising on-farm input costs, and global market volatility. While consumer demand remains steady particularly in cheese, yoghurt, and dairy spreads retailers are facing mounting pressure on pricing and assortment strategies. Dry weather conditions and increased reliance on supplementary feed have pushed production costs higher, contributing to a forecasted decli

Sales of plant-based dairy have seen steady value growth in 2025, supported by a wave of product innovation that aligns with evolving consumer preferences for functionality, versatility, and health benefits. Plant-based milk remains the largest and most established category, with growth underpinned by the rising popularity of barista-style formats, particularly oat-based. As more consumers seek to replicate café-quality coffee at home, these creamier, froth-friendly products have become a key en

Economic freedom has improved and corruption is not an issue in Australia, but state finances have deteriorated and indigenous rights remain underserved. Economic momentum is subdued, although inflation is lower and gold exports will support the external sector. A growing population and higher spending will drive the consumer market, but lower social classes will remain dominant. Although the mobile market is going from strength to strength, hesitation exists in the adoption of AI.

One of the main themes for the chocolate confectionery category in Australia has been the impact of consistently high cocoa prices globally. As a result, the price of chocolate has been consistently rising over the last few years of the review period, with the strong value growth being seen in the category in 2025 being due to price rises rather than increased demand. Euromonitor’s Snacks Price Tracker highlights how consistent the price of chocolate confectionery has been rising since 2023. Alt

Sales of gum have seen mid-single digit growth in current value terms in 2025 with more occasions for usage among consumers. With remote working arrangements gradually being phased out or workers shifting to a hybrid arrangement, consumers are spending more time outside, commuting or with other people. This is helping to boost demand with consumers often buying gum to keep their breath fresh in social environments, especially in the workplace where they may be frequently communicating with colle

The category has experienced steady growth in 2025 in both retail value and volume terms highlighting consistent consumer demand for sugar confectionery in Australia. Compared to chocolate confectionery, the price of sugar confectionery has been impacted less severely, so for many consumers it has been a cheaper alternative when they have wanted to indulge themselves through some snacks. While consumers are concerned about their health and wellness there is still room in their lives for small tr

Sweet biscuits, snack bars and fruit snacks has experienced modest growth in 2025 with price increases still being a noticeable contributor to value growth. The sweet biscuits category is more dependent on chocolate than snack bars, so the increased price of cocoa has impacted many SKUs in this category. From Passport’s Snacks Price Tracker, the price of the sweet biscuits category had started to stabilise towards the end of 2024, but due to persistent issues regarding the cocoa bean supply and

Sales of savoury snacks have experienced steady mid-single digit growth in 2025 as prices have started to stabilise and consumer spending on discretionary products has started to pick up again. While savoury snacks are largely impulse purchases, there are other drivers important for the category. For instance, savoury snacks with a stronger nutritional profile are increasingly perceived as acting as convenient meal replacements for consumers who want a quick and convenient solution to keep their

The snacks market in Australia has seen mid-single digit growth in 2025 in current value terms, following similar growth in 2024. Australian consumers are avid snackers, favouring both sweet and savoury choices to complement their diets, either as an indulgent treat or a nutritional energy boost throughout the day. The idea of an indulgent treat has become especially appealing among consumers due to the higher cost of living and limited spending on discretionary items. This is a result of the so

Ice cream has maintained steady growth in 2025 in retail value terms with volume growth also increasing for the second year running after several years of decline. Although consumption of ice cream has increased in 2025, price is still a significant factor in the category’s performance. Euromonitor’s Snacks Price Tracker shows that while prices had started to decline towards the end of 2024, they increased again in early 2025. The uncertainty around cocoa and dairy prices has impacted the ice cr

In 2025, Australia’s eyewear market is set to experience continued growth, shaped by demographic shifts, digital transformation, and evolving consumer lifestyles. Amid ongoing cost-of-living pressures, consumers have become increasingly value-conscious, prioritising affordability and functionality, with volume growth outpacing value. Myopia control contact lenses have been an exception to this trend, maintaining premium pricing due to their specialised nature and growing demand among younger use

Demand for spectacles is growing steadily in Australia, with volume set to outpace value as consumers prioritise value-for-money options in 2025. Eyewear brands are responding by offering a wide range of frames across different price points, deepening market segmentation and empowering consumers to find products that suit both their style and budget. This inclusive approach reinforces the idea that spectacles are not just fashion items, but essential tools for supporting the nation’s eye health.

Contact lenses and solutions is set to see double-digit growth in both volume and current value terms in Australia in 2025. Australian consumers exhibit strong brand and product loyalty, underpinned by a consistent preference for comfort, convenience, and customisation. These factors significantly influence long-term purchasing behaviour and reduce the likelihood of switching between brands or product lines. Comfort, in particular, remains a non-negotiable priority, reinforcing loyalty and justi

Retail value sales of sunglasses are set to grow in current terms in Australia in 2025. High UV exposure has always been a significant concern for the government, prompting periodic public campaigns reminding populations of the precautions that they should take in the context of long-term exposure to the sun. Australians have become more educated about looking for protective eyewear, seeking products with UV 400 protection as a “must have” feature. As awareness of the potential harms of over-exp

In 2024, traditional toys and games experienced growth primarily from model vehicles and construction toys, driven by adult collectors and innovative products such as Lego. The demand for collectibles was also fuelled by kidults desiring nostalgia and a break from digital connectivity. Strategies are being influenced by the increasing prevalence of e-commerce and technological integration, necessitating manufacturers to adjust to digital platforms and emerging trends.

In 2024, video games in Australia recorded strong current value growth, despite a drop in hardware sales due to cost-of-living pressures. Notable trends included AI personalisation for improved gaming experiences and strategic partnerships to leverage franchise appeal. Subscription services also played a role in growth by providing cost-effective access to multiple games. The landscape shifted towards greater fragmentation, while e-commerce strengthened its dominance of distribution.

In 2024, toys and games in Australia experienced solid growth, driven by video games and the kidult phenomenon. The desire for nostalgia and leisure among adults boosted sales of collectibles and construction. Legislative measures and social media restrictions could further influence sales, with businesses adjusting their marketing strategies. While physical stores remain key, e-commerce is growing, especially for video games.

Bath and shower saw steady growth in current value terms in 2024, similar to the performance seen in 2023. Bath and shower saw dramatic shifts in demand across the different categories during the review period as a result of the pandemic, especially within hand sanitisers. However, the market was more stable in 2024. Bar soap, liquid soap and body wash/shower gel are considered household staples and demand for these products has been consistent. These three categories are the main drivers of gro