The Australian Bureau of Statistics has released the preliminary retail trade figures, reporting a 1.5% drop in turnover in September.
However, in comparison to September 2019, turnover rose 5.2%.
The data states that the clothing, footwear and personal accessory retailing segment fell in September, while department stores experienced a rise in the month.
ABS director of quarterly economy wide surveys Ben James said that even industries that have fared well during the pandemic experienced falls in September.
"Food retailing, household goods retailing, and other retailing (which includes online only retailers) recorded falls this month.
"These industries have recorded elevated levels of turnover during the COVID-19 pandemic and continue to trade above the levels of September 2019," he said.
Geographically, all states and territories except for the NT experienced falls in September.
With retail still closed in Victoria, the ABS figures show that Victoria remains the only state or territory to be trading below the level of September 2019.
Following a large fall in August, Victoria recorded a small monthly fall in September.
Speaking on the figures National Retail Association Deputy CEO Lindsay Carroll said that the figures speak to the volatile year that retail has had.
"It’s been a very turbulent year for retail, there was a record drop in turnover in April but that was then followed by three consecutive months of increased sales.
"The future is going to remain rather uncertain, with the full impact of the recession expected to occur over the next six months.
"The prolonged lockdown in Victoria always meant there was likely to be a dip in nationwide turnover in September.
"It was also inevitable that the high rates of discretionary spending seen earlier in the year would ease," she said.
The September figures follow a 4% drop in retail turnover in August.