Wunderman Thompson Report: Aussies Predict 62% Of All Shopping Will Be Online In A Decade
The rise of online shopping continues unabated, with Australian consumers predicting a future where 62 per cent of their spending will be online in 10 years’ time. With this comes the ever-growing need for brands to remain in front of online innovation to ensure a seamless spending journey.
These findings come from Wunderman Thompson Commerce’s Future Shopper Report 2023, one of the largest commerce studies, with 31,040 online shoppers participating globally across 18 markets including Australia.
Highlights of the report included:
- Australian shoppers (56 per cent) prefer to shop with a brand or retailer that has both an online and physical store.
- Over 34 per cent of Australian say they feel their more digitally advanced than the brands and commerce platforms they use.
- 43 per cent of Australian consumers say they are more likely to purchase from a brand that is digitally innovative.
- 40 per cent of Australians have changed their shopping habits due to concerns about global warming and the environment.
- 54 per cent of Australian consumers are more inclined to switch loyalty away from their favourite brands due to rising costs of inflation and the cost of goods/living.
- 26 per cent of Australian consumers would like to upload their personality to a Cloud or Metaverse.
- 30 per cent of consumers would be interested in spending beyond the grave.
Omnichannel in Australia
The research shows that Australian shoppers (56 per cent) prefer to shop with a brand or retailer that has both an online and physical store. We’re seeing a lot around the rise of online spending, but this shouldn’t be confused with a lack of interest in physical stores and benefits a seamless omnichannel experience can bring a brands consumer. Digitally native does not mean digitally exclusive.
Georgia Bruton, managing partner, shopper, Wunderman Thompson Australia, said: “Australian brands and retailers now have all the data at their fingertips to understand their customers more than ever before, this means now is the time to refresh omni-channel strategies and enhance the customer’s experience from end-to-end. Due to Australian consumers passion for the physical retail store, Australian retailers and brands have the opportunity to redefine how they create true omni-channel engagement with their customers and elevate the experience by maximising the strengths of every channel.”
The appetite for innovation
Over 34 per cent of Australian’s say they feel they’re more digitally advanced than the brands and commerce platforms they use. So, it’s no surprise that 43 per cent of Australia’s consumers say they wish brands would be more innovative in how they use digital technology to improve experience. Furthermore, 42 per cent wish brands and retailers would make the online shopping experience more entertaining.
Geoff Smeaton, chief technology officer, Wunderman Thompson Australia, added: “The clear message from consumers that we surveyed is just how hungry they are for innovation and inspiration from the brands they buy from, both online, in-store, and in new and emerging channels. It’s clear that brands that lead with innovations such as AI, emerging payment types, voice ordering and more will win over consumers.
When it comes to innovation, payment options seem to be the element that excites Australians the most with 46 per cent saying they are excited for the likes of Amazon Go stores where you don’t have to queue to pay and 29 per cent saying they like the idea of being able to pay through biometrics.
Innovation isn’t left to this world either. When asked if consumers would be interested in spending beyond the grave, 30 per cent of Australian consumers would be receptive to the idea. Over a quarter of Australians would like to also upload their personality to a Cloud or Metaverse so they can be bought back to life.
A Purpose Beyond Selling
When it comes to consumers preferring to buy from retailers and brands who have a purpose that goes beyond simply selling products and services, this remains strong for Australians (60 per cent). A similar percentage (59 per cent) say they are more likely to buy from a company that speaks and acts positively about diversity and social issues.
With the rising costs of inflation and goods/living resulting in 54 per cent of Australian consumers being more inclined to switch loyalty away from my favourites brands, ensuring you’re providing consumers with more than a traditional transaction is an essential effort in retaining loyalty.
A Call for Better Environmental Practices
However, it doesn’t stop with the interface experience with consumers now demanding more than just convenience. They want brands and retailers to demonstrate a commitment to sustainability and social issues – 40 per cent of Australians claim they have changed their shopping habits due to concerns about global warming and the environment. Over half of Australians believe companies are not doing enough to offset their impact on the environment, and that too much responsibility is being placed on consumers rather than businesses when it comes to sustainability.
This year’s report reveals that 66 per cent of consumers wish retailers and brands offered better environmental practices. The demand for sustainable practices also remains strong, with 69 per cent of consumers wishing online orders used less packaging.
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