Online commerce is about to grow 12% during 2012
More Australians visited Retail sites compared to last year,outpacing increase in the global average. Amazon, Apple and AVG are the top retails sites and local online retailers also figure prominently among the list of top sites in Australia.
Fast Facts:
- Online commerce is about to grow 12.2% throughout 2012 with a reach of about 30 AUD billion by the end of 2011
- PayPal mobile is on a steep trajectory of 430% year on year
- 62% of Australian consumers intend to maintain, grow or start using mobile commerce in the next 12 month
- 89% of Australians have internet access and Australia is in the top five most penetrated PC market in the world
- Australians spend 1 of every 5 minutes online on social networking
To see more White Papers, please go to the GlobalCollect Knowledge center: http://www.globalcollect.com/payment-service-provider/Knowledge-center/
1. Australia
Online commerce is about to grow 12% during 2012 General statistics 2011
More Australians visited Retail sites compared to last year, Population 22,591,000
outpacing increase in the global average. Amazon, Apple and Currency Australian Dollar
AVG are the top retails sites and local online retailers also figure
Major language English
prominently among the list of top sites in Australia.
Av. expenditures 1,555 AUD
Capital Canberra
Fast Facts: GDP per capita US$:40,000
Online commerce is about to grow 12.2% throughout 2012 with a
reach of about 30 AUD billion by the end of 2011
PayPal mobile is on a steep trajectory of 430% year on year
Internet usage 2011
62% of Australian consumers intend to maintain, grow or start using
mobile commerce in the next 12 month Internet access (total) 20,000,000
89% of Australians have internet access and Australia is in the top Users broadband 17,400,000
five most penetrated PC market in the world Penetration 87%
Australians spend 1 of every 5 minutes online on social networking
Anticipating on consumer needs prevents shoppers
to drop-out and increases sales conversion rates
Goods and Services purchased online Australian consumers shop overseas
2. Australian government takes measures to increase proportion of ecommerce transactions
Australian government takes measures to ensure citizen and consumer confidence online increase. The strategic forecast
is to increase the proportion of businesses that receives orders online from 24% today to 40% in 2014; with a commitment to
continued increases up to 2020.
Australian import regulations and strong AUD are an opportunity for overseas online retailers
When an Australian consumer purchases goods online from an overseas Merchant, Goods and Services Tax (GST) is not
payable on the acquisition if the value of the good is less than 1000 AUD. This is due to the fact that goods sent from
overseas with a value below 1000 AUD are specifically excluded by legislation from being subject to import GST. This
creates a competitive advantage for overseas e-retailers. VAT and GST regimes around the globe have similar
mechanisms but for example the low value importation thresholds of UK and European Union are respectively 18 GBP and
22 EUR. Together with the import regulation the strong Australian Dollar this makes Australian consumers to consider
purchasing goods online at overseas Merchants.
Solid growth of mobile payment methods changes online payments landscape
Mobile payments show a rise of 430% year-on-year. No less than 65% of the total handset market in Australia is internet
enabled. Smartphones are disrupting both the traditional and the online retail environment.
Australian online shoppers demand alternative payment methods next to credit cards
Although 97% of Australian internet users have sourced the web, found great deals and checked-out on their shopping
cars, many of them feel that their choice in method of payment is not in their hands, and is limited to the choices made by
retailers. About 29% of Australians identified PayPal as their prefered payment method for online shopping, ahead of Visa
at 25% and MasterCard at 14%.
Industry high lights – Social Networking
A substantial shift has occurred in the way Australians allocate their time online. Time spent on social networking has
increased substantially with a 26% growth figure in the last 12 months. As in many countries around the world, Facebook is
the clear social networking leader in Australia, both in terms of reach and usage.
Industry high lights – Retail
More Australians visited retail sites compared to the year before. Amazon, Apple and AVG are the top retails sites and
local online retailers also figure prominently among the list of top sites in Australia. Retail in Australia showed a 12% growth
compared to a 5% figure ROW.
3. Industry high lights – Travel, Hotels and Airlines
Australians are keen travelers and make use of the web for travel information and travel. This travel industry grew by 6% in
12 months on pace with the global average. Hotels and Airlines grew respectively 13% (global average 6%) and 19%
(global average -2%) hence these sites outpaced the worldwide averages.
Payment product spotlight
GlobalCollect’s Portfolio in Australia
International cards GlobalCollect supports MasterCard, Visa, AMEX, JCB
Bank transfer GlobalCollect supports Local bank transfers
eWallet GlobalCollect supports PayPal
Online Banking GlobalCollect supports online banking
Mobile The support for mobile is on the future’s list of GlobalCollect
Bpay is the most popular bill payment and presentment method in Australia. High
security, convenience and being in control of when they pay are among the main
reasons why Australians use BPAY as their preferred payment method. Once Consumers
have decided to pay by BPAY, they are presented in real-time with a unique reference
number and bill code. To complete the payment, Consumers must use their internet
banking service and enter the unique reference number and bill code at the time they
decide. Bpay is free of charge for the consumer.
PayPal acts like a digital wallet where consumers can securely store all their payment
options, such as bank accounts and credit cards. When a consumers makes a
payment he or she does not have to pull out the credit card or type the billing info
every time. They simply click on the PayPal checkout button, log in to their PayPal
account, and select the preferred payment method.
POLi is a real-time bank transfer where the consumer is redirected to his online banking
environment, where after log in they authorize the payment. POLi is supports 15 major
Australian banks. POLi is free of charge for the consumer. Compared to PayPal and
Bpay POLi is less popular.
Sources
Comscore Report “State of the Internet – Australia” |February 2011
Online Business Index “Survey of Australian eCommerce Business” | March 2011
Deloit Report “Australian e-commerce and GST” |2011
AIIA Media Release “Government sets ecommerce benchmark for Australia” | 2011
www.internetworldstats.com
www.IMRG.org (Interactive Media in Retail Group)