It’s official – we’re shopping online.

online-shopping

37% of Kiwis now spend more online than over the counter.

Online sales are 6% of all retail sales in New Zealand currently – and will increase to 9% by 2017 if current growth continues. We only need to look to Europe to see how much further online sales could grow here: online sales in Europe are 12% of all retail sales and growing at twice the rate of ours.

We’re most comfortable purchasing airfares online (44% of us have done so) but clothing, footwear and accessories are now a close second (40%). We’re also using our smartphones more often to shop: we’re now twice as likely to purchase online using a smartphone than in 2012.

While some of us are still concerned about the security of purchasing online, this is clearly not a barrier for many. There’s also a common perception that ‘silver surfers’ don’t shop online, however nearly 60% of Kiwi women baby boomers purchase clothes online, with 13% purchasing online exclusively. The popularity of tablets amongst this generation has greatly simplified their online shopping experience.

Currently 40% of online sales are with offshore retailers, but this is set to increase. In the clothing, footwear and accessory category, 50% of online sales are already with offshore brands.

What does this mean for New Zealand retailers? They must bring both their messaging and product to where we’re shopping – online.

Sources:
http://www.canstarblue.co.nz/retailers/online-retailers/
https://www.bnz.co.nz/static/www/docs/retail-sales-index/or2014-05.pdf
http://www.ons.gov.uk/ons/dcp171778_349320.pdf
http://www.nielsen.com/content/corporate/nz/en/insights/news/2014/kiwis-online-shopping-spree.html
https://www.msd.govt.nz/documents/about-msd-and-our-work/publications-resources/research/business-of-ageing/business-of-ageing.pdf
https://www.bnz.co.nz/static/www/docs/retail-sales-index/or2014-05.pdf
https://www.bnz.co.nz/static/www/docs/retail-sales-index/or2014-03.pdf
Image: ttnewsflash.com

Author: Virginia Bashford, Senior Account Manager