New research by IBIS World shows that revenue to Australian online retailers will hit $10 billion in the next five years, increasing 8.6% year-on-year.
Australian e-commerce is set to continue its steep growth trajectory, according to new reports by IBIS World. The research firm predicts that revenue to Australian online retailers will reach $10 billion in the next five years, increasing 8.6% year on year.
IBIS World identifies strong consumer demand and a dramatic increase in the range of goods available online as the major catalysts for e-commerce growth. However, the industry is still hindered by lack of infrastructure as service providers such as Australia Post attempt to play catch up.
Last week, Australia Post highlighted the e-tail boom as the main driver for its increase in annual profit, and confirmed that its traditional mail volumes were in steady decline. The national mail operator has just made an effort to address the online shopping surge by announcing a major overhaul to its parcel delivery services. Australia Post forecasts that online spending on its delivery services will double in the next five years, with revenue from its parcel business to hit $2 billion by 2015.