In a sign of the times, $2 shops are experiencing a boom across Australia as consumers increasingly seek cost-effective shopping solutions amidst a cost-of-living crisis. The humble discount variety store, once dismissed as a purveyor of cheap and cheerful knick-knacks, are back is now being recognised as a serious contender in the retail sector.

Pratik Gandhi, owner-manager of Winston Glades Tivity Discount Variety store, said there has been a dramatic increase in sales since October although he did not reveal figures. He said the surge in consumer demand had been particularly notable in categories such as Christmas decorations, homewares, gardening, and school supplies. To meet this growing demand, the store has expanded its stock inventory and extended working hours.

"Now, customers are realising that we offer many of the same products as other big retailers, but for a fraction of the price. Basket sizes are increasing and we are welcoming more customers. Why pay double for your child's school supplies, when you can purchase everything you need here at the $2 store," Gandhi said.

He said parents are increasingly opting for $2 shops over traditional outlets like Bunnings, Officeworks or Kmart for essential school items, citing significant cost savings. This shift in consumer behaviour is indicative of the broader economic pressures facing Australian households.

The transformation of $2 shops to offer a broad range of products at the lowest possible prices has bolstered their reputation for affordability and attracted a new customer base. This trend is expected to continue, with Vicki Leavy, general manager of Winston Glades Shopping Centre owner, JMK Retail, predicting a rise in the number of $2 shops.

"We expect to see many more $2 shops opening as customers seek out more cost-effective solutions for their shopping," Leavy said.