Have you made sense of online shopping?

Australia and New Zealand online shopping market insights

Digital Media Research
According to new research by PwC and Frost & Sullivan, Australians will spend more than $13.6 billion online in 2011, an increase of over 13% on last year's $12 billion.

Online shopping, both locally and offshore, is expected to grow at least twice as fast in comparison to the total retail market in Australia over the next four years.

According to the report, online spending by Australians will reach $21.7 billion by 2015, representing a compound annual growth rate (CAGR) of 12.6%.

Large and small retailers alike are facing stronger than ever competition from digital channels, both here and overseas. Lower prices, convenience, greater product range and a growth in mobile devices are all factors fuelling online shopping.

Drivers of growth include:
  • Global supply chains are now delivering cost effectively and quickly to consumers, removing what was previously a major barrier to shopping online offshore

  • The exponential uptake of mobile devices such as iPads and the role of social media are increasingly effecting the purchasing decision. Consumers indicated in the research survey that mobile devices made online shopping easier and increased the time available to spend browsing for goods to buy online

  • The strength of the Australian dollar and the range of products available to Australian customers

  • An increased consumer awareness of the benefits of buying online have also driven a rapid rise in overseas online shopping.

Summary and access to full report

For more insights, perspectives and solutions on how to manage strategic business issues visit our Consulting services website.