As the Australian e-commerce landscape evolves, 2024 is set to be a year of significant innovation and adaptation. With 24 million smartphone users and an expected 24.2 million online shoppers by 2029, retail businesses must stay ahead of consumer expectations to capitalise on this growth. Here are the major trends to watch in 2024.
In a challenging economy, price sensitivity among Australian consumers is rising. Consumers cite cost-of-living pressures as the reason behind their more cautious spending. Retailers should explore innovative pricing strategies to enhance affordability and add value.
Innovative Pricing Strategies (Examples):
The payment landscape in Australia is evolving to enhance convenience and security. Buy Now, Pay Later (BNPL) services, digital wallets, and cryptocurrency payments are gaining traction. In 2023, digital wallets accounted for 35% of card payments, up from 10% in early 2020. Seamless checkout experiences, including one-click payments and biometric authentication, reduce cart abandonment and build trust.
Key Trends:
Cost-conscious consumers actively seek promotions, driven by “promo FOMO” (a fear of missing out on promotions). Retailers can leverage this by using targeted notifications, social media, and personalised email campaigns to alert customers about special offers and potentially increase conversion rates.
Effective Tactics:
Rapid order fulfilment is becoming the norm. Consumers expect flexible delivery services, including same-day or next-day shipping. Partnering with reliable logistics providers can ensure quick, safe, and effective delivery, improving customer satisfaction and loyalty.
Shipping Strategies:
Despite the growth of e-commerce, physical stores remain important. The omnichannel approach integrates online and offline experiences. Trends like showrooming, where customers try products in-store before buying online, and researching online before purchasing in-store, are common.
Omnichannel Strategies:
E-commerce in Australia is poised for significant growth, and staying ahead of the trends is crucial for retail success. By focusing on price innovation, updated payment methods, promo FOMO, flexible shipping options, and an omnichannel approach, businesses can meet evolving consumer demands and thrive in the competitive market of 2024.
IMPORTANT NOTICE
This blog post contains general information only and has been prepared by Allworths without reference to your objectives, financial situation or needs. Allworths cannot guarantee the accuracy, completeness or timeliness of the information contained here. By making this information available to you, we are not providing professional advice or recommendations. Before acting on any of the information contained here, you should seek professional advice.