Press release: The melbourne cup is no longer the race that stops the nation - but it’s still a billion-dollar retail moment
You can view the original press release here.
FOR IMMEDIATE RELEASE
Sydney, Australia - Monday 3rd November 2025
The Melbourne Cup is no longer the race that stops the nation – but it’s still a billion-dollar retail moment
Australians may be losing interest in the Melbourne Cup, but they’re still opening their wallets.
New analysis from Retail Customer Advisory (RCA) projects that total national consumer expenditure tied to the 2025 Melbourne Cup Carnival will exceed A$1.05 billion - representing nominal growth of around 5 percent year-on-year.
However, after adjusting for inflation and cost pressures, RCA’s modelling shows real growth closer to 1 percent, suggesting Australians are spending more dollars but not necessarily buying or doing more.
“While Cup week spending is higher in headline terms, much of that increase is being driven by inflation rather than volume,” said Trent Rigby, Director of Retail Customer Advisory. “Spending is holding up, but sentiment isn’t. The Melbourne Cup is no longer a unifying national ritual - cultural engagement is slipping even as commercial activity holds steady.”
Interest Decline Mirrors Broader National Trends
RCA’s consumer-attitude modelling estimates that around 30-35 percent of Australians (over 1 in 3) are now entirely uninterested in the Melbourne Cup - meaning they don’t watch, bet, attend an event, or participate in any way.
Pre-COVID (2019), RCA estimates that figure was closer to 22–25 percent (approx. 1 in 4), reflecting a clear and sharp erosion of cultural engagement over the past five years even as total spend has continued to rise.
Cup Day attendance rebounded strongly post-pandemic (back above 90k), though still well below the early-2010s heyday when crowds exceeded 100k. Even as Cup Day attendance at Flemington has rebounded to more than 90,000 in 2024, national engagement continues to soften - with RCA’s modelling showing a steady rise in Australians disengaging from the event entirely.
These estimates are based on RCA’s synthesis of public polling and proprietary consumer-sentiment tracking.
The trend mirrors Australia Day, where public sentiment has softened but participation in the public-holiday break remains strong. Many Australians still value the day off but fewer feel comfortable or proud to “celebrate” it publicly - a conflicted attitude now echoed in attitudes toward the Cup.
“We’re seeing the same emotional dissonance play out across both events,” Rigby said. “People still want the day off - they just don’t necessarily want to identify with what the day represents. While the public holiday remains valued, far fewer Australians now actively ‘celebrate’ it, and many feel conflicted about the symbolism of the day.”
“This is a trend we’ve seen driven particularly by younger Australians, Gen Z and Millennials, where large national rituals that feel outdated or exclusionary simply don’t resonate anymore.”
Workplace Culture and Wellness Are Changing the Race
The shift is also being shaped by changing workplace and social norms. With hybrid work more common and a growing focus on wellness and moderation (particularly driven by younger Australians), the old rituals of race-day drinks, office sweeps and big group events are giving way to smaller, curated and experience-led celebrations.
“Corporate culture has evolved,” Rigby said. “What used to be a mandatory office event is now optional - and that’s changing how and where Australians celebrate. People still want moments of connection, but they’re looking for experiences that feel more modern, inclusive and balanced.”
A Nation Still Wants to Celebrate – Just Differently
Despite cost-of-living pressures, Australians continue to celebrate - they’re simply choosing newer, more inclusive and less polarising occasions.
One recent example is Halloween, one of the fastest growing events in the Australian retail calendar, which saw a record high of around one in four households participating this year - a signal that consumers are redirecting discretionary spending toward moments that emphasise creativity, connection and fun over tradition.
“Australians aren’t celebrating less - they’re celebrating differently,” Rigby said. “They’re choosing experiences that feel authentic to who they are, not what they’re supposed to do.”
2025 Melbourne Cup – Retail and Economic Snapshot
Sources: Victorian Racing Club (2024 actuals); RCA modelling and consumer-sentiment index (2025 projections). Note: RCA’s consumer expenditure estimates exclude betting and wagering turnover. Figures capture retail, fashion, hospitality, travel and entertainment spending linked to the Melbourne Cup Carnival.
Key Retail Implications
Flat real growth: Nominal spending is up, but inflation is masking flat volume growth.
Re-wearable fashion: Consumers are rejecting one-off racewear in favour of longevity, value and sustainability.
Experience over tradition: Hospitality and lifestyle experiences are replacing betting and office sweepstakes culture.
Generational shift: Gen Z and Millennials are driving the change - seeking inclusive, ethical and experiential ways to connect.
Reputational risk rising: Brands and sponsors associated with the Cup now face a growing reputational minefield - balancing tradition against shifting social values and public sentiment, particularly among younger consumers.
Calendar evolution: As participation softens in Australia Day and the Cup, brands can reposition toward newer cultural events like Halloween and early Black Friday sales to capture spring momentum.
Looking Ahead
RCA’s sentiment modelling suggests this trend will continue into 2026, with younger Australians favouring inclusive, ethical and experience-led events over traditional national celebrations.
RCA tracks consumer sentiment across Australia’s key retail events each quarter as part of its ongoing Consumer Pulse program.
About Retail Customer Advisory (RCA)
Retail Customer Advisory is an Australian-based strategic consultancy advising retail, property and consumer brands across Australia and New Zealand on growth strategy, consumer economics and behavioural insight. RCA brings data-driven rigour and strategic foresight to help businesses anticipate and adapt to shifting consumer sentiment.
About Trent Rigby
Trent Rigby, Director of Retail Customer Advisory, is a leading Australian retail analyst known for translating consumer behaviour and economic trends into actionable insight for media and industry leaders.
Media Contact:
Trent Rigby – Director, Retail Customer Advisory
📞 0411 047 940
✉️ trent.rigby@rcadvisory.com.au
