Australian Retailers and the Online Opportunity [Infographic]

In order to outline the issues Australian retailers face, while also highlighting the benefits to making the most of the online opportunity, We’ve partnered up with Power Retail to produce this infographic.

53% of Australian retailers don’t have any ability to transact online, with 44% not planning to implement this functionality in the coming months
Only 20 per cent have had online sales channels for more than two years
Only 37 per cent of retailers have all tools needed for online business
74 per cent of Australian retailers obtain less than 25 percent of their sales from online
21% of retailers currently offer loyalty programs via their website, with 25% planning to introduce these features in the next year
66 per cent of retailers believe that international online retailers have impacted their sales. Of this group, 37 per cent believe they have had a large or very large impact.
• 19 per cent of Australians who shop online most often make purchases from overseas sites
• 29 per cent purchase equally from Australian and overseas sites
• 53 per cent most often purchase from Australian sites
Only 42 per cent of retailers currently offer online refunds, and only 16 per cent plan to introduce this service in the next 12 months.
Only 30 per cent of retailers currently offer free returns and another 16 per cent plan to introduce this service in the next 12 months.
Only 25% of retailers currently offer free delivery
Aussie Online Retail Market Vs Others
UK Online shoppers spend, on average, 7 times more online than Australian Online Shoppers.
27% of all online retail spend in Australia go to offshore retailers
Online retail sales in Australia is 6% of total retail spending as compared to 11% in UK and 8% in US
Major Barriers that are Limiting Australian Retailers to Go Online
• Traditional Mindset
• Skills Gap
• Risk of Failure
• Wait and See Approach
• Lack of clear Digital Strategy
• Legacy Investments
57% of retailers currently spending 5 per cent or less of their marketing budget to e-commerce. Over one third (34%) fail to allocate any of their marketing budget to e-commerce.
Only 45% of retailers believe a customer database is important. Only 32 per cent currently have a CRM strategy or customer database in place, and 17 per cent plan to introduce one in the next 12 months.
Only 31 per cent of retailers know consumers’ online shopping history and only 13 per cent know their product likes and dislikes.
52% of retailers have no plans to integrate their database with their website in the next 12 months.
51 per cent of retailers don’t have SEO in their marketing strategy for the next 12 months
61 per cent of retailers don’t have paid search in their marketing strategy for the next 12 months
52 per cent of retailers believe online advertising is important, yet only 49 per cent have plans to use it in the next 12 months
62% don’t have a Facebook page, 54% don’t use Twitter and 72% have no interest in using Pinterest
Why Australian Retailer should have an online business
In 2012, 94 percent of the Australian population has access to the Internet,with 79 per cent going online every day and 60 per cent multiple times a day
In 2012, 9.6M Australians will shop online, with 88% expecting to maintain or increase online expenditure
Estimated online Sales in Australia to reach $37.1 billion by 2013.
Two out of every three Australians shop for something online.
73% of online sales go to domestic retailers
Australia has the highest per capita adoption of Facebook in the world
Source Links –

Australian Retailers are Getting Left Behind


http://www.experian.com.au/assets/marketing-services/white-papers/australian-retail-and-digital-future-2012.pdf
http://centralcoast.businessinsider.net.au/stories/retail-distribution/msi-survey-reveals-retailers-falling-behind-with-online-strategies
http://s2m.com.au/news/2012/5/21/online-retail-sales-trends-in-australia-domestic-online-sales-beat-overseas-online-sales/?5043&goback=.gde_3754530_member_117004287
http://www.adrenalinmedia.com.au/blog/ecommerce/online-retail-trends-for-2011

The Future of the Australian Daily Deals Industry [Infographic]

How big is the daily deal industry in Australia and were is it heading? We’ve crunched the numbers and put together this interesting infographic on the Future of Daily Deals in Australia

Disclaimer
The report is based on publicly available data collected by competitions.com.au. To view the source data from which this report was compiled please visit the sources below. The information has been collected and complied on a best efforts basis only . Competitions.com.au, the author and other related parties associated with the preparation of this report, do not bear any responsibility for any losses or damages associated with the use of the information in this report. If you have any issues feel free to contact us.

How big is the Australian Daily Deal industry

 

Year Revenues ( in millions)
2011 $498
2012 $600
2015 $1000
  • The number of group buying sites has grown four-fold in the past six months from 20 sites to more than 80 sites
  • Travel deals now account for 24% of total market revenue making it the largest deal category.
  • 44% of shoppers who use daily deals return to the merchants that provide the offers.
  • 40% of daily deal buyers were already customers of the merchant offering a discount, 26% were infrequent customers and 29% either had never heard of the merchant or hadn’t bought from them before.
  • 58% of businesses cited customer acquisition as the top reason for liking daily deals.
  • 77% of deal buyers spent more than the deal’s value.
  • 8.1% of businesses said they would offer another daily deal.

 

Market Share of Australian Leading Daily Deal Companies

Daily Deal Companies %age
LivingSocial 25%
Scoopon 17%
Spreets 14%
Cudo 13%
Groupon 10%
Our Deal 7%
Other 15%

 

Major Sources of Traffic for Daily Deal Websites

Traffic Source %age
Search Engines 15.32%
Social Networking Sites 13.68%
Email Marketing 10.35

 

Some Surprising Trends

  • 72% of Australian Deal buyers prefer to watch entertainment shows as compared to 18% participating in sports activities.
  • Fast Food Deals (market share of 31%) are more popular in Aussies than healthy meal deals with share of only 2%
  • Australians love eating in restaurants. 67% of dining deals sold are “eating in restaurant” deals . Take away food deals are only 31%.
  • Pizza is the most popular choice in takeaway meals deals, heavily outweighing healthy options by 8 to 1.
  • Number of Massages deals sold are 42% of all other beauty treatment deals
  • NSW residents are almost three times more likely to dine out than Melbournians.

 

Sources

  • http://www.telsyte.com.au/?page_id=695
  • http://www.telsyte.com.au/?page_id=704
  • http://www.international.to/index.php?option=com_content&view=article&id=2877:australian-group-buying-market-analysis-living-social-is-now-australias-biggest-daily-deals-site&catid=64:business&itemid-97
  • http://www.powerretail.com.au/insights/group-buying-sites-experience-1000-percent-growth-in-visits/
  • http://www.international.to/deals/index.php?option=com_content&view=article&id=59:livingsocial-reveals-customer-preferences-for-entertainment-and-education-over-sport&catid=11:deal-news&Itemid=35
  • http://www.internetretailer.com/2012/03/05/daily-deals-spur-repeat-business
  • http://blog.hubspot.com/blog/tabid/6307/bid/20321/12-Eye-Opening-Daily-Deal-Site-Statistics-Data.aspx

Analysis of Australian Ecommerce Statistics [Infographic]

In the lead up to launching our site we did some research on where Australians are spending there time and money and were surprised to find that just under half of the Australian population have a facebook account and that men used the internet more than women. Online sales in Australia is predicted to be worth a whopping $37.1 Billion dollars by 2013, showing that more users are becoming more comfortable shopping online. Travel and Accommodation take the cake for most popular purchase online taking up 74% of all purchases.

94% of Australian Population has access to Internet – Out of which 79% go online every day and 60% multiple times a day.Estimated Users on Popular Social Networks

Social Networks Number of users
Facebook 10,968,120
Twitter 1,800,000
LinkedIn 2,200,000
Tumblr 1,200,000
Pinterest 510,000
MySpace 420,000

 

Gender Breakdown

Male Female
Pages Viewed Per Month 2,996 2,681
Number of Sessions 81 76
Time Spent Online Per Month 82:00 73:05

 

Australian Ecommerce Sales

Year Sales ( in Billions)
2010 $27.0
2011 $30.2
2012 $33.0
2013 $37.1

 

Ecommerce Spending per Online consumer in Australia

Year 2006 2007 2008 2009 2010 2011 2012
Australia $1,048 $1,416 $1,789 $1,724 $1,749 $2,011 $2,108

 

Age group

73% of online users from age group 35-44 have shopped online.

Age Group %age of online users shopped Online
18-24 61%
25-34 69%
35-44 73%
45-54 65%
55-64 52%
65+ 40%

Popular Categories Purchased Online by Online Buyers

Categories Percentage
Travel / Accommodation 74%
CD/Music/DVD 45%
Clothes/Jewelry 34%
Computers/Softwares 31%
Sports Equipment 29%
Electrical Goods 21%
Stocks/Insurance 21%
Food/Groceries 13%
Lotteries/Betting 9%
Home Furnishing 8%
Medical Items 6%
Other 3%

Frequency of Online Purchases ( Per 6 months)

Number of Orders Placed % of Online Consumer (Australia) % of Online Consumer (Major Cities) % of Online Consumer (Inner Regional) % of Online Consumer (Outer Regional) % of Online Consumer (Remote)
1-5 Times 52% 52% 52% 52% 52%
6-10 Times 25% 26% 25% 25% 27%
11-15 Times 10% 10% 10% 6% 16%
16+ Times 13% 12% 13% 16% 5%

Most Popular Payment Methods

53% of Online Consumers use Credit Cards and Money Transfer Services like Paypal for online Purchases

Payment Method Percentage
Credit Cards and Money Transfer Services ( Paypal) 53%
Credit Card 25%
Money Transfer Services (Paypal) 12%
Other 9%

 

Where are Australians Purchasing From

Ecommerce Sites Percentage
Most often from Australian E-commerce Sites 53%
Most often from Overseas Sites 19%
Equally from Australian and Overseas Site 29%

 

Top 10 Online Retailers in Australia (courtesy – Smartcompany.com.au)

Ranks Retail Brand
1 BigW
2 BookTopia
3 BrandsExclusive
4 Catch of the Day
5 Cudo
6 Deals Direct
7 Dick Smith
8 Get Wines Direct
9 Good Guys
10 Harvey Norman