Reports have found that “power shoppers” spend up to 600% more than regular consumers and that Australians are twice as likely to belong to this demographic.
The ability to cross international borders is one of the defining features of e-commerce. It’s not surprising, then, that new research by Fifty One Global E-Commerce has identified a group of “power shoppers”, top-tier consumers who outspend their peers by up to 90% every year, as the major catalyst for global online retail growth. The research found that power shoppers place larger orders, come back sooner and buy more regularly than their counterparts. Cross-border power shoppers are also responsible for more than 40 percent of 2010 sales and over half in many countries.
JP Morgan predicts that global e-commerce will grow by 20% to US$680 billion worldwide this year, a figure it attributes to the pull of this demographic. On average, these cross-border power shoppers spent 500 to 600 % more in 2010, offering powerful opportunities for online retailers.
Most of the world’s cross-border power shoppers come from Canada (37%), followed by Europe (26%) with Australia and New Zealand representing 19% of this market – an impressive feat considering the region’s relatively small population. Australians were also twice as likely as Canadians and Europeans to become power shoppers with one in six Australian customers ranking within the top ten percent globally.