Australian retailers, this is your last chance
January 23, 2012
If you’re a retailer, this year might be your last chance to take advantage of your online and mobile channels. If you don’t, you’re going to miss out.
It shouldn’t be a surprise to anyone that a record number of Australians did their Christmas shopping online last year. More Australians chose online to discover interesting products, conduct research, avoid crowds, and save both time and money.
How many of the gifts you received this year were bought online and how many did you buy from websites? How many were shipped from overseas? How much of your christmas planning, for flights, accommodation, restaurants, or services did you start on the internet this year? The answer to these questions may demonstrate this is the year online shopping will boom in Australia. As eBay’s Global Chief Executive, John Donohoe, said, last year was an “inflection point for shopping” with online and offline retail now “blending into a seamless, multichannel world” as reported in the Sydney Morning Herald this morning.
Australian retailer’s websites won’t just be measured against local competitors, but also against international retailers. According to Paypal Australia, 30% of its transactions this December were for overseas retailers, the remaining spend stayed in Australia. Most consumers will be basing their decisions on two main differentiators: price and experience. I have no intention of telling established retailers how to compete on price, but cost isn’t the only reason people choose a retailer. Consumers also appreciate being able to find what they want quickly, and to complete the process rapidly and without confusion or uncertainty. Do you know how your business will compete on customer experience?
For example, some often overlooked questions retailers might ask themselves are:
- Can my customers easily compare and make informed choices about their purchases from my website?
- Do I have good, detailed information, including high-quality images which can substitute for being able to pick up and hold a product, to help shoppers make a decision?
- Have I ensured that, once ordered, I can confidently deliver the purchase in the time specified to the customer, and my business can handle any issues that may arise without causing the customer any stress?
- Can my customers use my website with their smartphone? With up to half of Australians owning a smartphone, and at least a quarter of Christmas shopping-related Google searches coming from mobiles this year, are you excluding significant number of customers withy your mobile site?
Whatever it is, you need to consider your business from your customer’s point of view, and concentrate on your customer experience. Your international competitors have already done it. For example, ASOS, a uk clothing retailer created an Australian distribution centre to cater to their second biggest market. easing flow of product and service within Australia. It is clear the internet is not a “fad” nor a waste of time for savvy retailers. This may be your last chance to catch up.

