Sydneysiders Spend Double On Online Transactions As Melburnians
The latest quarterly Online Retail Report from eWAY has revealed Sydneysiders are now the biggest online spenders in Australia, overtaking Melbourne by 5.7 per cent and spending more than double the amount per transaction.
eWAY, which processes a quarter of all online spend in Australia, reported Australians spent $4.98 billion online in the third quarter of 2015, a 15.2 per cent increase on the previous comparable period (PCP). Online retail sales for this year to quarter end are $14.3 billion, with yearly totals tipped to surpass the 2014 record of $16.6 billion reported by eWAY.
Spending this quarter was up on the previous June quarter, which eWAY reported was boosted by the federal government’s $20,000 budget incentive to small businesses.
Highlights of the third quarter of 2015 include:
- Sydneysiders made only one third of the number of transactions made by Melburnians, yet they spent 5.7 per cent more in total, with an average purchase price of $283 this quarter. Melbourne was previously Australia’s online shopping capital, and their quarterly average spend per transaction is $101. The national average is $162.
- Regionally, residents in Morningside ($2.67 million) and Toowoomba ($2.2 million) in Queensland are the top online shoppers by total spend, while Wentworthville ($2.34 million) and Blacktown ($1.99 million) in New South Wales jumped up considerably to make it into the top 20 regional centres for total online spend.
- Sales to international delivery postcodes increased 26.4 per cent pcp, as the value of the Aussie Dollar continues to decline against major international currencies, making Australian goods and services cheaper to international buyers
- New Zealand registered the largest number of sales paid with international credit cards at 33.3 per cent, followed by the US (12.9 per cent), UK (7.9 per cent), Singapore (2.7 per cent), China (2.7 per cent), and Canada (2.6 per cent).
eWAY’s Founder and CEO, Matt Bullock, said: “This has been a great quarter for online businesses. While online sales boomed in June just after the small business government cash injection, making it a record quarter, the sector continued to grow from July to September.
“Shoppers spend an average of $162.2 per transaction online. While the number has remained fairly steady in the past 12 months, we did record that Sydney is now spending more than double the amount per transaction than Melbourne. Melburnians seem to seek online deals more than Sydneysiders.
“With a low Australian dollar during this quarter, physical purchases sent to international postcodes were up 26.4 per cent, showing a clear opportunity for local businesses to start accepting other currencies such as US dollars on their websites.
“Online retail still has significant growth potential in Australia. All signs are indicating 2015 is going to be a record year for Australian eCommerce, and hopefully good news for Aussie small businesses.”
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