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Aussie shoppers want personalization: New study

Aussie shoppers want personalization: New study
Aussie shoppers want personalization: New study

New research has shown that Australian customers want a “personalized experience” and that they’ll pay more even if they have a tight budget. Despite the cost of living crisis, this is also making retailers rethink their sales strategies. 

The study by commercetools indicates that most of those surveyed would pay more for an extraordinary experience. Speaking about the research to Ticker, Nina Jonker-Voelker explains that this highlights the need for retailers to “keep the pace and invest in technology” to deliver that uniqueness. 

Earlier this month, the Australian Retailers Association (ARA) warned that consumers continue to look for ways to save money by looking for online and in-store “budget bargains.”

Customers want unique experiences

Customers want an easy online and in-store checkout experience and a frictionless payment process. “What we found in the research is that consumers’s biggest priority at this stage is effort,” says Jonker-Voelker. 

But consumers are quick to abandon their baskets for these three reasons:

  • High shipping costs (70%)
  • Not real value-for-money (48%)
  • Privacy concerns (46%)

While respondents call for a personalized experience, they are hesitant about how technology impacts their shopping experience, especially AI.

Cost of living crisis

The ARA’s boss, Paul Zahra, says women prioritize [purchases] by only buying items here and there, like lipstick, instead of complete outfits, which cost more. 

The association warns that there is still much “financial pressure on Australian households” this winter and this will force entrepreneurs to think out of the box to keep customers. But there are easy ways to get people to spend more, and that’s by focusing on deals they can’t resist. 

More than half (56%) of Australian and New Zealand shoppers use social media for shopping, says Jonker-Voelker. Gen Zers drive most of this trend, with “79% saying they would leverage social media for shopping.”

There is less nervousness around purchasing directly on social media, and Jonker-Voelker says this is something retailers must take note of. “Retailers really need to think carefully about integrating social media shopping into their shopping experiences,” says Jonker-Voelker.

About the author

Mia is a multi-award-winning journalist. She has more than 14 years of experience in mainstream media. She's covered many historic moments that happened in Africa and internationally. She has a strong focus on human interest stories, to bring her readers and viewers closer to the topics at hand.

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