Retail therapy

There are a lot of negative numbers about retail spending right now, but who doesn’t enjoy some retail therapy? And, customers are still spending on what they want - clothes, shoes and makeup - that’s according to National Australia Bank who recently reported Aussie discretionary spending grew more than essentials spending in July.

When times are tough, people often turn to small luxuries for a little pick-me-up - the so-called ‘lipstick effect’. Big brands are still big business, as the chart below shows. Shoppers may be watching wallets but they're not giving up what they enjoy.

For investors, it's about knowing which retailers are winning the spending share.

To your investing,

👆 Online retailer Kogan.com (ASX: KGN) is betting on its founder with Ruslan Kogan cutting his salary to the legal minimum wage while tying his potential $50 million payday to doubling shareholder returns over five years.

👆 Fast-food retailer Guzman y Gomez (ASX: GYG) is handing back the cash with about 90% of underlying earnings paid as dividends and $100 million in share buybacks, even as it plans to open 35 new restaurants.

👇 Activewear retailer Lululemon Athletica (NASDAQ: LULU) is feeling the fashion shift as legging sales fell about 20%, customers move towards baggier fits and its shares plunged more than 50% over the year.

👆 Fast-fashion retailer Shein (HK: 0625) is getting more expensive as the US and Europe scrap duty-free import rules, forcing the ultra-cheap retailer to pass on costs while its IPO valuation fell to about US$27 billion from the company’s big US$100 billion valuation four years ago.

The world’s most valuable brands in 2026

The world’s most valuable brands continue to demonstrate the enormous power of global scale, technology and consumer loyalty. Brand Finance's annual report shows Apple leads the ranking with a brand value of US$607.64 billion, followed by Microsoft, Google. Amazon, NVIDIA and TikTok. The rankings highlight the continued dominance of technology, AI, digital platforms and global consumer brands.

Michael Hill International (ASX:MHJ) - Turnaround sparkles
The jewellery retailer with stores across Australia, New Zealand and Canada has completed a turnaround that delivered record results. CEO Jonathan Waecker talks online growth, what shoppers are buying and growth strategy.

Change Financial (ASX:CCA) - First full-year profit on record revenue
Change Financial builds the behind-the-scenes payments technology banks and fintechs use to issue and process cards. CEO Tony Sheehan explains how record revenue tipped the company into its first full-year profit and how it's is scaling.

Smart Parking (ASX:SPZ) - AI parks itself in the fast lane
Smart Parking runs camera-based technology that manages car parks for retailers and property owners. CEO Paul Gillespie discusses how AI has supercharged revenue, the company's consistent multi-year growth run and an acquisition strategy.

Coles Group (ASX:COL) - Shareholders get a bigger slice
The supermarket giant lifted profit and rewarded investors with a healthy dividend boost. Coles is winning market share from rivals, and the more it sells, the more profit each dollar of sales generates.

Koala Company (ASX:KOA) - Delivers on its IPO promises
The online mattress and furniture brand has beat the forecasts provided in its IPO prospectus. Greater scale is making each sale more profitable, and Koala enters the new financial year debt-free with a solid cash pile to fund expansion.

Woolworths Group (ASX:WOW) - BIG W is back in the black
Woolworths' discount department store has returned to profit. The fix wasn't about selling more - it was about discounting less and keeping costs in check. A tidy lesson in retail discipline.

The Australian Shareholders' Association Queensland Investor Summit 2026 brings together hand-selected experts from across Australia to explore how AI is reshaping markets, investing and the broader investment landscape.

📅 13–15 September 2026
📍 The Langham, Gold Coast
👉 Register to attend here

The Stock Network’s ASX Gems Conference AI Spotlight event brings together industry experts and emerging technology leaders to explore how artificial intelligence is transforming markets, investment opportunities and the future of business.

📅 18 September 2026
⏰ 9AM AEST
👉 Register to watch the live-stream

The 2026 Australian Gold Conference brings together investors, companies and industry experts in Sydney to explore the opportunities shaping Australia’s gold and other precious metal sectors.

📅 13–15 October 2026
📍 Crown, Sydney
👉 Register to attend here

Disclaimer

_{The material contained in this email is general in nature only and does not constitute personal financial or legal advice. None of our material should be regarded as advice and you should not rely on any of the content of this post without first obtaining specific professional advice.}

_{We give no warranty to the accuracy, reliability or completeness of information that is contained in this email and exclude liability for any loss.}

_{This email may contain views and opinions which are those of the authors and do not necessarily reflect the official policy or position of any other author, agency, organisation, employer or company. We are not liable for any comment published by users and reserve the right to delete any comment for any reason whatsoever.}

_{We have commercial relationships with some of our contributors, and we may receive payment or other benefits from this email.}

_{Please see our full content disclaimer}