DIGITAL RETAIL: AUSTRALIAN SHOPPERS LEAD THE WAY
Let’s face facts: From the Olympics to the Oscars, Australians love to outshine their American counterparts. Aussie shoppers are no exception it seems, with nearly 50% purchasing “everyday” items like fresh groceries (42%) and packaged groceries (41%) online while US shoppers are still in the minority, 18% and 26% respectively. It seems the Australian shopper values the convenience of digital shopping and while everyday grocery items are popular, the numbers soar when it comes to clothing (80%) and personal electronics (59%). Amazon executives no doubt have high hopes for its Australian expansion.
Do you blame them?
The results in this report can help explain the sense of urgency among retailers, brands, and agencies to understand digital shoppers—those individuals who buy more than the occasional book or gift online, those individuals whose consumption needs are met in large part by ecommerce.
Our internet speeds might be slow compared to the rest of the world but that hasn’t slowed the evolution of the Aussie Digital Shopper. Read on to learn more about this savvy shopper segment.
MEET THE DIGITAL SHOPPER
With operations in eight countries and growing, Field Agent regularly serves companies with their cross-border auditing and insights needs. Below we incorporate insights from six major international markets to find out what do shoppers purchase online?
For the Australian figures, we surveyed 500 Agents that shop online and 36% said they purchased from at least 3 of the following categories at least occasionally: fresh groceries, packaged groceries, cleaning products or personal care items. Such digital shoppers rely on ecommerce to satisfy many of their daily needs.
SO WHAT’S THE BIG DEAL ABOUT AMAZON?
Globally, Amazon is the key player when online shopping for groceries and household consumables and while Amazon.com.au is still in its infancy, with Aussie shoppers embracing digital shopping this figure is set to soar as Amazon Australia ramps up their offering.
WHO WINS LOCALLY?
In Australia the race for the online shopping dollar is on! While the two main players, Woolworths and Coles vie for 1st position, the competition is hot on their heels.
HOW CAN ONLINE RETAILERS AND BRANDS WIN AGAINST THEIR COMPETITORS?
The Product Detail Page (PDP) is where sales are made (or lost!). We asked our Agents which of the following factors has a strong influence over online purchasing decisions. Within the PDP the most influential elements for shoppers include customer ratings and reviews followed by the product description and specifications. Australian shoppers were not dissimilar to global counterparts in this respect.
DIGITAL PROMOTION: EMAIL IS STILL KING
Field Agent surveyed over 10,000 Agents across six markets to better understand the influence of online promos. It seems that a digital promotion delivered right to your inbox is still the most influential and effective online promotional tool. Aussies were also likely to respond to social media advertising.
BUYING AND RECEIVING?
“There are no local businesses. Only global businesses.” Andy Lark – Marketing Innovator, Group Lark.
Shopping for consumables has never been easier. The number #1 device used globally for purchasing online is the trusty smartphone, and with an average of 79% of Australian shoppers using their smartphone to place their orders for groceries and household consumables, we literally hold the world of ecommerce in our hands. With 2.53 billion smartphone users across the world* (and growing) the importance of a seamless omni-channel shopping experience is vital. (*Source https://www.statista.com/statistics/330695/number-of-smartphone-users-worldwide/
IT’S ALL IN THE DELIVERY
Following on from recent Choice Magazine* research which found that one in four people have missed home deliveries, it’s not surprising to see the adoption of new delivery methods for the digital shopper. While traditional options like Australian Post standard delivery (71%) and options for next day delivery (40%) are still popular, the relative newcomers are making their mark and set to grow. 62% of shoppers take advantage of ‘Click & Collect’, 14% enjoy the convenience of ‘Same Day Delivery’ and the one to watch, ‘Parcel Locker Pick Up’ on 11%. Multiple players are in this space with Woolworths, 7-Eleven and ParcelPoint leading the way. (*Source: https://www.choice.com.au/shopping/shopping-for-services/services/articles/parcel-delivery-and-postal-issues)