AU small business retailers optimistic about 2026

Three-quarters of Australian small businesses expect stronger results in 2026, according to new data from Shopify. The survey of 500+ local business owners and senior decision-makers explored the business outlook, priorities and technology adoption of Australian small business retailers, with key findings including:

• Business outlook:
  • 31% of Australian SMBs are much more optimistic about their performance in 2026 and another 44% are somewhat more optimistic, while only 4% expressed negative sentiment about the year ahead.
  • The top two priorities of SMBs in 2026: Revenue growth (32%), improving profitability and cash flow (31%), followed by retaining and growing existing customers (28%), and improving customer experience and support (25%).
• Where retailers are investing:
  • Strengthening security, privacy, and data protection (36%) and supporting international selling capabilities (32%) are top of mind for SMBs when it comes to the tools to prioritise, alongside using AI and automation for efficiency and content creation (31%).
    • Many also emphasise connecting in-store and online systems (28%) and improving site/app speed and uptime (27%). 
  • When it comes to emerging technologies, Australian SMBs are prioritising customer-facing tools and sales-driving capabilities: One-click checkout (36%) and retail media networks (35%) are seen as essential to compete, alongside creator commerce (32%) and next-day delivery promise (31%). 
• AI and tech adoption: 
  • Two-in-five local SMBs are in the early majority when it comes to adopting new tech, with many adopting technology once its value is proven. 
  • However, a significant portion (33%) are early adopters, testing and implementing tools ahead of peers. Only a small minority wait until solutions are mainstream (19%) or adopt only when necessary (6%).
  • When it comes to AI, 78% of Australian SMBs report using ChatGPT or another generative AI tool in the past 12 months, while 20% have not used AI, and 2% are unsure. 
  • The most common AI use cases include creating marketing content (37%), generating product content (34%), and analysing data or generating reports (33%). 
• Community impact:).
  • Nearly three-quarters of SMBs expect to increase their community involvement over the next year, with 33% planning a significant increase and 41% anticipating a moderate rise. 
  • The key ways SMBs support their local communities:
    • Offering affordable access to goods or services (39%) 
    • Providing local jobs (36%)
    • Purchasing from local suppliers (31%) 
    • Providing training and mentorship for local workers and entrepreneurs (29%) – the highest rate among the markets surveyed (US 18%; Canada 22%; UK 16%; Germany 22%)

Methodology: The survey was conducted from November 18th to 29th, 2025 among 513 Australian business owners and senior decision-makers. Businesses included in the study are ones that focus on selling products, and have at least part of their sales conducted online.