Australia is a country which has a good economy, low unemployment, higher standards of living and of course an e-commerce market which shows promise. Australia’s e-commerce market sales were 19.02 billion dollars in 2015 and, are estimated to reach above 20 billion dollars in 2016. The country is enjoying its strategic location which benefits its e-commerce market as well. So, do you want to learn about this interesting country’s e-commerce? Here you go.
The Australian e-commerce market’s customer baseline is dominated by the younger demographic and the e-commerce market can be considered as a relatively immature market since the age curve is skewed around under 30s. This creates a slower market for now but it also withholds a great potential for the following years. The number of online shoppers has increased since last year but the customers are making fewer transactions yet the basket sizes are growing. This indicates that more and more people are comfortable with using online shopping and the big baskets of orders reveal that trust has been established with the Australians.
According to a report regarding Australia’s e-commerce market under 30s segment of customers constitutes 29 percent of the market share. They are big spenders as well with 21 percent growing rate of spending. Australia is a very lucky country since it has a clear cut high yielding demographic which responds well to the market. 90 percent of online shoppers transact with three or less brands online, says the report. This can be interpreted as loyalty to brands and that when people trust certain brands customers do stay with that brand. It is important for a newbie in the e-commerce market to establish itself as a trustworthy brand. A way to do that is offering your customers easier return policies and quality assurance which are important for your confidence building methods.
As I have mentioned this earlier in here, Australia is country where people have a higher life quality and good living standards. It is important for them that any goods or services offered to be of good quality. This is why the most actively used strategy to boost online sales is improving the customer experience. Improving visualization and customer friendly interface are main activities which makes the usability of a website easier as well. The second most used online tactic is search engine optimization. SEO is a main element in the increasing sales and another one is the online promotions.
Australia’s favorable location allows it to generate offshore conversions as well but it does not go over 21 percent. Other favorable locations for the Australian e-commerce are New Zealand and the Pacific region. In order to increase their conversions in those countries e-commerce businesses provide localized offers, international shipping options and targeted strategies.
Mobile usage is increasing in Australia as well and online transactions take place through mobile phones. 18 percent of the sales are sourced from mobile devices which is good news. E-commerce businesses plan to invest in mobility in the following months. The e-commerce businesses’ mobility investments are a priority which suggests that Omni channel tactics are on the way.
Australian e-commerce businesses keep on following certain trends to increase their conversions and customer engagements. Content marketing is one of the trends which increase conversions. E-commerce businesses use content as a way to show how their products relate to real life. Look books for apparel industry are a good example of that. People get to see new and various products from the brand and they also learn about how to combine the pieces or where to wear it. It is also a good way to make people more interested in buying your products and your brand image starts getting established in customers’ heads.
Another prominent trend in the e-commerce market of Australia is video marketing. As we have mentioned earlier in here, video marketing is a trend which goes in the whole world and it is a very successful one as well. People go to YouTube when they want to look up product reviews. Customers like brand image focused videos as well. Mobile streaming is an element which triggers this trend as well. Same day delivery is another trend prediction for this year. Amazon Prime has been the most known example of it with one hour deliveries now. In Australia e-commerce businesses can have tardy delivery periods for the products. This year businesses want to shorten the window of delivery.
Mobile commerce is another trend which is taking up and it is not only local it follows the global trend. E-commerce businesses will be big spenders on bringing up their apps. Mobile ads are also taking up which is important to know. As mentioned in here, Omni channel business systems are the future if we consider. Integration of channels is highly increasing so it is important to keep up to it with both your business style and marketing. Australia is a flourishing e-commerce market and it follows the global trends on e-commerce. The customers of Australia have high standards and good luck to the e-commerce businesses o catching up to them.
Following reports on e-commerce markets all over the world is an advantage for your business.
Another advantage for your business is maintaining good prices.
Prisync, with its competitive price tracking software, provides you a chance to monitor your competitors in any market or country 24/7.