The online retailer Amazon became one of the biggest retailers in the world because it offered one thing: more convenience.
That’s the bottom line.
Amazon was of one the first companies to lead the boom in digital retailing. That boom’s here to stay, and it’s already old enough that digital retailing is already a part of the furniture.
For instance: during the Christmas period last year in the US, Amazon and other online retailers received astonishing numbers. They delivered over 1 billion items and captured more than 30 per cent of the total online sales in the US.
Instead of shopping in crowded department stores like Macy’s and Sears, American consumers turned to their tablets, smartphones or computers, with delivery of some items being achieved in a matter of hours.
With Amazon expected to hit Australian shores this year, how can our Aussie retailers keep pace with this goliath of online retailing?
Aussies Already Love Shopping Online
According to our research, three in five Aussies are already shopping online.
NAB’s recent research into consumer spending habits has found online spending is growing five times faster than traditional retail spending.
No wonder Amazon’s interested in coming here!
It’s clear, Australia isn’t far away from following the same shift taking place in America.
As Aussie consumers become more comfortable purchasing online and start experiencing the benefits and convenience of getting items delivered straight to their door, it’s likely they’ll start avoiding crowded shopping centres or retail districts altogether, particularly during peak periods.
Is Australia About To Hit The Online Tipping Point?
However, Australian retailers aren’t keeping pace with Aussie expectations, particularly during peak shopping periods.
During the Christmas peak period, one in six Australians are receiving their Christmas gifts after 30 December.
As such, during the Christmas period last year, nearly half (45%) of us paid for express deliveries, even when standard deliveries claimed to deliver on time, just to make sure gifts arrived before the big day.
How long will it be until Aussie consumers look for superior retailers offering better delivery services, instead of overpaying for gifts in fear they won’t arrive in time?
Are Australian retailers ready to tackle the international online mega malls on the way to our shores? We have the class. We have the style. But, can we deliver it when it counts?
Delivery At The Heart Of The Customer Experience
With declining face-to-face interactions taking place in store, choice, convenience and speedy delivery are quickly becoming key differentiators for retailers, providing the service and experience consumers now expect.
In fact, according to Accenture, nearly two-thirds of digitally savvy consumers based their purchasing decision on delivery options.
To grow your business and satisfy customers, retailers must have effective dependable delivery options available for consumers.
And, it’s not just about providing delivery options – it’s also about the delivery experience.
For instance, according to Accenture, tracking parcels is one of the most important features for consumers, with 79 per cent of respondents wanting full visibility tracking. The bad news is, almost half (49%) of Aussies say parcels being delivered from our retailers are hard to track.
When Amazon finally comes to our shores, will consumers choose to shop at those retailers that don’t offer a fast, convenient, transparent and easy shopping experience?
Go To Go People
The customer experience provided by these international online mega malls is setting consumer expectations. If Aussie retailers want to keep their share of consumer spending, it’s time they brought their delivery A-game.
You can get that delivery A-game with Go People. Find out all about us by downloading our whitepaper. There are loads of helpful hints and tips to make sure annual surge periods run without a hitch.
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