Australians are shopping online more than ever and mainly from local retailers, with sales surging more than 11 percent in the past year, according to new research from Australia Post.
Australia Post today released its second annual Inside Australian Online Shopping Report which is an overview of e-commerce in Australia, identifying who is buying what and where online.
The report, which draws on all of Australia Post and StarTrack’s customer and delivery data, showed online shopping sales soared 11.5 per cent in 2016 compared with 2015, and domestic retailers accounted for 79 percent of the total online spend.
Australians’ love of fashion and department and/or variety store items continued, with the two categories accounting for more than half of all online sales, according to Australia Post’s general manager of e-commerce and international, Ben Franzi.
“Price, range and convenience are the three main reasons why consumers shop online, and why growth rates remain strong.”
Franzi says that the beauty of online shopping is that it empowers people to shop at a time that suits them, which the data shows. Mobile commerce rates in Australia have also surged. “Almost one third of all online purchases were made from 7pm-10pm, while 18 percent were made from 2pm-5pm. Australians are increasingly using their smart phones to shop online, with purchases made from a mobile device growing 52 percent.”
Other popular items Australians are purchasing online includes personalised goods, which grew 28.2 percent. Mr Franzi said more online retailers were offering shoppers the ability to co-design and add their own personal brand to products such as watches, handbags and other accessories.
Point Cook in Victoria was the No.1 buying location for the second consecutive year, reporting 13.2 percent growth, followed by Toowoomba in Queensland (7.6 percent growth) and Liverpool in NSW (15 percent growth).
Together, Australia Post and StarTrack deliver more than four billion items to 11.6 million addresses across the country annually. The data pooled from this provides critical information for businesses looking to get ahead in a tough retail market.
“Here in Australia we know the online shopping industry is about to be disrupted, and retail as we know it won’t ever look the same,” explains Franzi.
“The Inside Australian Online Shopping Report is a powerful tool to help businesses understand their existing and potential customers better, so they can create targeted offers and grow their sales by giving consumers what they want based on facts and data.”
Top 10 online shopping buying locations and % growth
- Point Cook, +13.2%
- Toowoomba, +7.6%
- Liverpool, +15%
- Gosford +12.8%
- Cranbourne, +17.6%
- Hoppers Crossing, +16.8%
- Mackay, +1.7%
- Mandurah, +4.8%
- Baulkham Hills, +21.1%
- Campbelltown, +13.7%
*2016 calendar year compared with 2015 calendar year.