Online spend to change “beyond this pandemic”: GlobalData
Thousands of Australians have been pushed online for the first time during the Covid-19 pandemic, which is beginning to change online buying behaviour.
“The increased use of online shopping during the pandemic promoted high growth in online sales as retailers and consumers adapt to a new normal,” GlobalData lead payments analyst Ravi Sharma said.
“E-commerce has become the default option for several customers in Australia and is set to remain the preferred method even beyond this pandemic.”
According to Sharma, social distancing, self isolation, and closure of bricks and mortar stores gave online a shot in the arm during lockdown – opening e-commerce up for many consumers that likely wouldn’t have tried it under normal circumstances.
GlobalData also pointed to a slight shift toward buy now, pay later options as customers increasingly look online, and due to the financial pressures being placed on many Australians as work dries up and payslips remain impacted.
BNPL has grown to a 5.5 per cent share of e-commerce spend, being particularly preferred among millennial customers who use the services in order to more easily budget for purchases.
And over a third of Australians are trying buy now pay later services, according to Openpay, with a fifth believing it will take between one and two years to return to normal spending habits.
However, credit and debit cards are still far and away the most popular payment methods online, accounting for a 49.3 per cent share of e-commerce spend.