Thinking of Buying a Whitegoods Retail Business in Australia? Here Are 3 Vital Questions to Ask

Australia’s whitegoods retail industry is valued at $7.1 billion in 2024–25, with nearly 3,000 businesses supplying essential appliances across metro and regional markets.

While revenue has declined by 1.7% annually over the past five years, a recovery is forecast from 2025–26, supported by improved household income, renovation trends, and renewed construction activity.

With 14% of revenue now generated online and growing demand for energy-efficient appliances, whitegoods businesses that adapt to digital and service-based models are well placed for long-term success.

1. Is the Business Financially Viable?

Why It Matters:

Industry profit margins sit at 5.5%, slightly below broader retail averages due to discount competition, high overheads, and pressure from major chains.

However, stores that offer installation, service, or premium product upsells tend to outperform.

Buyers must assess whether the business has protected margins through service bundles, exclusive supply terms, or loyalty-based sales.

What to Check:

• Profitability: Are net margins above or below the 5.5% industry average?
  
  

• Revenue mix: How much income comes from product sales versus services like delivery, installation, or repairs?
  
  

• Supplier terms: Are volume discounts or exclusivity agreements in place?
  
  

• Upsell capability: Does the business offer extended warranties, finance plans, or premium appliance options?

2. Is the Store Positioned to Compete in Its Local and Online Market?

Why It Matters:

Store performance is tied to location visibility, nearby competition, and digital presence.

Retailers near homemaker hubs, with good parking and display space, attract higher foot traffic.

Online integration is increasingly vital — over 14% of whitegoods sales now occur online, and stores without ecommerce risk falling behind.

What to Check:

• Local saturation: Are there nearby competitors, particularly major chains like Harvey Norman or JB Hi-Fi?
  
  

• Store layout and access: Is there adequate floor space for appliance display and easy customer access?
  
  

• Online presence: Does the business have live stock levels, delivery scheduling, and online payment options?
  
  

• Customer demographics: Does the location serve homeowners, renters, or trade buyers who align with the store’s product mix?

3. Is the Business Operationally Equipped to Scale or Specialise?

Why It Matters:

Whitegoods retailers that offer installation, smart home integration, or in-home consultation differentiate themselves in a competitive market.

Strong logistics, service teams, and ecommerce functionality enable scalable growth.

Compliance with consumer and safety regulations is also essential for long-term sustainability.

What to Check:

• Service offering: Does the store provide delivery, installation, and disposal of old units?
  
  

• Staffing: Are employees trained to support sales, customer service, and technical advice?
  
  

• Regulatory compliance: Is the business meeting all ACCC, energy labelling, and eWaste obligations?
  
  

• Growth potential: Are there systems in place to expand online sales, servicing, or premium consulting?

Ready to Invest in a Thriving Whitegoods Retail Business?

With consistent demand for essential appliances, emerging opportunities in ecommerce, and increasing focus on sustainability, the whitegoods retail sector remains a compelling option.

Buyers who focus on logistics, online readiness, and premium service delivery can carve out profitable niches in a highly competitive market.

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