Australia Post: growth in e-commerce up more than 57%

Australia Post: growth in e-commerce up more than 57%

Australia Post has released its 2021 Inside Australian Online Shopping report, which provides a detailed look at the key insights and trends that emerged during 2020. 

With many bricks and mortar outlets closing due to COVID-19 restrictions, and Australians spending more time at home, the shift to online shopping created a significant change for Australian e-commerce.

Australia Post General Manager Parcel and Express Services, Ben Franzi, said in 2020 online became an essential shopping channel.

“Australians spent an incredible $50.5 billion online last year, and eCommerce accounted for 16.3 per cent of total retail spend.

“Almost nine million households across the country bought something online as people shopped for the things they needed, avoiding large shopping centres and other busy retail settings.

“More than 1.3 million of these households were first-time shoppers with 93 per cent of their initial purchases made between March and December,” Mr Franzi continued.

Increased comfort and confidence buying online meant buying habits shifted significantly as the year progressed. New online shoppers became regular shoppers by year’s end, while the more seasoned online shoppers ramped up the frequency of purchases.

“We found that of the 240,000 households who made an online purchase for the first time in April, half were regular shoppers by the end of the year after shopping online in at least three of the months between May and December,” said Mr Franzi.

“When it comes to seasoned shoppers, the average household increased its online shopping frequency by at least 10 purchases over the year and the range of categories and retailers they purchased from also expanded significantly.

“Shoppers are more engaged and comfortable buying online than ever before and this trend has continued into 2021.  We’re seeing around five million households continue to buy on a monthly basis which is 1.1 million more than the average in 2019,” Mr Franzi concluded.

Across the country in 2020, every State and Territory recorded double digit growth. Victoria, which spent more time in lockdown than the rest of the country, led the way with year-on-year (YOY) purchase growth of 82 per cent, followed by New South Wales with 50.5 per cent.

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