Australia B2C e-commerce Report 2018

03 January, 2019

In 2017, B2C e-commerce turnover rose to just over
USD 36 billion, up 9% from 2016. This is expected to grow
in the coming year to a forecasted USD 41.7 billion with
the projected growth rate of 13%.

Most large- and medium-sized Australian retailers have a digital transformation roadmap on which they are well progressed. They are now at the point of embracing the second generation of e-commerce solutions, having outgrown in-house technologies and niche providers. B2B organizations are emerging strongly as the next wave of e-commerce sellers since they can deliver customer-facing quick wins while engaging in transformations of their back-office operations .’
Jennifer Arnold, VP of Marketing, SAP Customer Experience, Asia Pacific Japan/Greater China

E-commerce Foundation’s Australia E-commerce Report delves into the details of the Australia B2C e-commerce market, consumer behaviors, and trends. The report also includes expert interviews with leading logistics providers and retailers in the Australian e-commerce market, including Mazars and SAP.

The E-commerce Landscape in Australia

Internet penetration is on the rise in Australia, with 88% of the population forecasted to be using the internet in 2018, slightly up from the 2017 figure of 87%. Of the 88% of the population online, an estimated 81% will buy online in 2018. Australia ranks 18th in the Logistical Performance Index, 14th in the Ease of Doing Business Index, and the 2nd in the E-government Index.

Australia E-commerce Consumers

'Research shows that Australians lead the world in online shopping cart abandonment. They are particularly price-savvy, with 60% of those surveyed abandoning their cart when shipping costs are higher than expected and 46% using their carts primarily to compare prices with other brands.' - Jennifer Arnold, VP of Marketing, SAP Customer Experience, Asia Pacific Japan/Greater China

Most of what consumers in Australia are buying online consists of clothing (47%), multimedia products (37%), and consumer electronics (31%). When asked which payment methods were most commonly used or had been used in the past, online payments (PayPal, Amazon Payments) were in first place with 67%, followed by credit cards (51%), and direct debit (46%).

eBay is the leading online store in Australia with over 9 million unique visitors followed by Gumtree with over 5 million unique visitors. Moreover, Australian consumers have some interesting behaviors similar to other countries. For example, when the majority of online shoppers are planning a major purchase, they do research on the internet first (59%), and most (40%) find consumer reviews on the internet very helpful.

Australia B2C E-commerce Report 2019

We offer this free light report in partnership with the Ecommerce Foundation. It reviews the current e-commerce landscape in Australia.