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‘Destination shopping’: How cult-favourite retailers are defying the spending slowdown
While day-to-day shopping usually revolves around whatever is closest, a select group of Australian retailers continue to defy the laws of convenience.
These iconic brands have achieved a cult-like status, transforming routine shopping trips into fun adventures. Names like Aldi, Costco, Kmart, Ikea, Bunnings, Sephora, Mecca, Chemist Warehouse and JB Hi-Fi likely jump to mind.
‘Destination shopping’: Why Aussies go out of their way to visit cult-favourite stores. Nine
Retail expert Amanda Stevens told nine.com.au these businesses are the epitome of “destination shopping.” Each offers an experience so unique, shoppers can’t help but make the effort to visit.
While we all know what there is to love about them, we often miss the surprise secret to their winning strategies: Inconvenience.
The power of the trek
A recent trip to Costco to try its new Choc Brownie Sundae left me with plenty of time to ponder my reasons for seeking out the warehouse that day.
My nearest store is in Marsden Park, Sydney, a good 30 minutes away from where I live.
I shop there every couple of months to stock up on pantry staples, but I’ll make the trek more often if I hear about delicious desserts like this.
Bunnings is another example of an Aussie business consumers are happy to trek to. A visit to Bunnings brings the potential to improve not just your home, but your life!
Then there’s Ikea, which has attracted keen customers for decades and is as revered for its affordable prices as it is for its allen keys and diverse product ranges.
Costco is one example of a store people will travel to visit. Jo Abi
A 30-minute trip to my local store left me pondering the store’s unique place in the retail landscape. Jo Abi
Chemist Warehouse and JB Hi-Fi are equally popular with loyal customers, while beauty retailers Sephora and Mecca have absolutely nailed in-store experiences. Their aisles are regularly filled with shoppers happy to visit their nearest location rather than order online.
“People are saying, ‘Physical retail is dead’. Well, it’s not,” Stevens said.
“I don’t know if you’ve popped into a Sephora or a Mecca store recently. They are definitely examples of the gold standard for a bricks and mortar retail experience.”
Crucially, shopping at Costco, Aldi, and Kmart is still very much an in-store experience, with delivery options largely limited to third parties like DoorDash.
Aldi isn’t at every shopping centre, but Aussies generally know where to find their nearest store. Jo Abi
Where department stores fall short
Stevens notes that what these retailers have achieved is precisely why traditional department stores like David Jones continue to struggle.
“I could fix DJs’ retail problem in five manoeuvres,” Stevens said.
Retail expert Amanda Stevens says the destination shopping trend highlights what department stores are getting wrong. Edwina Pickles
“One, 10 times the staff, train the absolute hell out of them so they become your personal shoppers. Bring back the piano guy, bring back food hall ... a beautiful experience that make it worth coming for the day.
“[And] get half a dozen iconic Australian brands [to] do commercial collections that you can only get at DJs.
“Instead, they’ve given up their real estate, and they no longer do their Christmas display.”
While David Jones’ nearest rival, Myer, has done markedly better in improving its in-store shopper experience, it still comes nowhere near the likes of the destination giants, where the journey is part of the magic.
Beauty brands Mecca and Sephora are the ‘gold standard’ of in-store retail experiences. Eamon Gallagher
“It’s the same reason Australians will drive eight kilometres to save three cents a litre on fuel,” Stevens explained.
“The fact they are harder to access than major supermarkets is a key secret to their success.”
Quirks that keep us coming back
While Aldi, Kmart, Sephora, Mecca, Chemist Warehouse and JB Hi-Fi are easier to find in shopping centres, Costco, Bunnings and Ikea operate on stand-alone models, elevating their “destination” status even further.
According to Stevens, destination shopping reflects a major shift in consumer behaviour.
This has helped stores defy both the retail downturn and the massive shift to online shopping.
Plus, Stevens notes each of these brands is beloved by customers: “Aldi is one of Australia’s most trusted brands, second only to Bunnings.”
Those loyal shoppers have happily embraced each retailer’s unique quirks, which simply add to the intrigue.
Aldi
Who can forget the shock of having to bag your groceries yourself, at pace, when Aldi opened its first Australian store in 2001?
This shock quickly turned to acceptance because the items are significantly cheaper.
Costco
Shopping here is a major event driven by the thrill of bulk value and the exclusive Kirkland Signature range, even if you have to pay a $65 annual membership just to get through the door.
Aussies will go out of their way to shop at Bunnings - and snag a sausage sizzle. Getty
Kmart
Here, customers are offered a highly unique space with bright layouts, diverse line-ups, checkouts in the centre of the store and the obligatory receipt checks from cheerful staffers at the exit.
Bunnings
While Bunnings does offer delivery, ordering online means missing out on the unique in-store experience.
This includes the famous weekend community sausage sizzles and the opportunity to chat through DIY ideas with knowledgeable staffers.
Sephora & Mecca
These fun, colourful retail spaces sell everything from cosmetics to face masks, offering plenty of samples and hands-on assistance.
Each retailer has their own quirks and help them to attract the most loyal customers. Nine.com.au
Chemist Warehouse
These cramped aisles are a wonder to behold, stocking everything from nail polish to cleaning supplies, all of which you can browse while waiting for a prescription.
JB Hi-Fi
The electronics retailer fills its space with iconic handwritten sales signs, TVs, computers, and blenders, all peppered with toys and novelty lamps.
Ikea
And then there’s Ikea, the OG of the destination shop – along with the allen key, quirky products and home improvements, and unique snacks including Swedish meatballs.
Ikea is the OG of destination shopping in Australia. Getty
The adventures are set to continue
At a time when clicking a button from the comfort of the couch is easier than ever, Australia’s favourite retailers prove convenience isn’t everything.
By leaning into their unique quirks, offering unbeatable value, and creating spaces that feel like an event, these destination brands have turned the traditional retail model on its head.
Kmart is another retailer shoppers are happy to trek to. iStock
They remind us that if you make the in-store experience valuable and entertaining enough, Aussie consumers won’t just make the trip, they’ll thoroughly enjoy the adventure.
And, by the way, the Choc Brownie Sundae at Costco was delicious and more than worth the trip.
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