Retail can thrive in online shopping shift

Original article by Glenda Korporaal
The Australian – Page: 13 & 19 : 23-Sep-20

More consumers have embraced online shopping due to the coronavirus pandemic, a trend that Australian Retailers Association CEO Paul Zahra expects to continue. He says the proportion of retail sales that are made online could rise to 20 per cent over the next 18-24 months, compared with about 10 per cent prior to COVID-19. Zahra warns that more physical stores are likely to close in coming years, but the shift to online will force retailers to adapt their business models. The pandemic has also prompted more consumers to support retailers within their local community.

CORPORATES
AUSTRALIAN RETAILERS ASSOCIATION

Leakage and larceny as supermarkets compete, with online grocery shopping the next big battleground

Original article by Roy Morgan
Market Research Update – Page: Online : 8-Jul-20

Australians spent $94.6 billion in supermarkets in the year to March 2020. Data from Roy Morgan’s latest Fresh Food & Grocery Report shows that, between them, the Woolworths Group and the Coles Group took 67.5% of that total. Woolworths has the larger share of overall spend, but Coles isn’t too far behind. However, when it comes to online grocery shopping, which has shaped up as the next major battleground, the difference is marked. At ease buying many other things online, Australians have long preferred to do their grocery shopping in person. By March 2020, as the COVID-19 pandemic took hold, only 3% of the nation’s total supermarket spend was taking place online. Woolworths accounted for 57.4% of all online supermarket spending, compared to Coles’ 26.1%. The arrival of the pandemic turbocharged the move to online grocery-buying to such a degree that demand could not be met and services were temporarily restricted. With lockdown no longer in place except in specific Melbourne locations, shoppers have increasingly returned to physical locations throughout Australia, but it is likely that many of those who recently made the move to online groceries will continue to use that option, at least some of the time.

CORPORATES
ROY MORGAN LIMITED, COLES GROUP LIMITED – ASX COL, WOOLWORTHS GROUP LIMITED – ASX WOW

Online shopping boom permanent: Gumtree

Original article by Eli Greenblat
The Australian – Page: 15 : 4-Jun-20

Gumtree MD Mark Kehoe expects the shift to online shopping during the coronavirus lockdown to be a permanent trend. He adds that traditional bricks-and-mortar retailers are being forced to catch up by expanding into the online space. Kehoe notes that consumers were searching Gumtree for items like gym equipment and office desks in the initial stages of the lockdown, but searches for outdoor equipment such as bikes increased as the restrictions eased.

CORPORATES
GUMTREE.COM AUSTRALIA PTY LTD,EBAY INCORPORATED

Australian consumers unconvinced about online retail giant Amazon

Original article by Roy Morgan
Market Research Update – Page: Online : 18-Mar-20

New Roy Morgan research into online retailer Amazon shows that the shopping giant is well behind on several consumer indicators when compared to other major retail brands. Some 26% of Australians said ‘I’d consider shopping at Amazon’; this compares to 61% for Bunnings, 58% for Kmart, 56% for Big W, 51% for JB Hi-Fi and 35% for eBay. Meanwhile, only 14% said Amazon has good quality products; this compares to 47% for Bunnings, 25% for Kmart, 27% for Big W, 41% for JB Hi-Fi and 14% for online-only auction site eBay. It is worth noting in this context that unlike the others on this list, in addition to selling goods directly Amazon acts as a marketplace for other retailers, while eBay is purely a marketplace. These findings are from the Roy Morgan Single Source survey, derived from in-depth face-to-face interviews with 1,000 Australians each week and over 50,000 each year.

CORPORATES
ROY MORGAN LIMITED, AMAZON.COM INCORPORATED, BUNNINGS GROUP LIMITED, KMART AUSTRALIA LIMITED, BIG W DISCOUNT STORES, JB HI-FI LIMITED – ASX JBH, EBAY AUSTRALIA AND NEW ZEALAND PTY LTD

Grocery delivery delay as online orders soar

Original article by Sue Mitchell
The Australian Financial Review – Page: 17 : 10-Mar-20

Online grocery sales rose 45 per cent year-on-year in the four weeks to 22 February, according to Nielsen Homescan data. The surge in demand has been attributed to the coronavirus crisis, with consumers wanting to secure supplies of products such as toilet paper and paper towels. Coles and Woolworths are struggling to keep up with online demand, and Coles is advising consumers to collect orders rather than have them delivered. It is also giving priority to the elderly, the sick and those with special needs.

CORPORATES
THE NIELSEN COMPANY (AUSTRALIA) PTY LTD, COLES GROUP LIMITED – ASX COL, WOOLWORTHS GROUP LIMITED – ASX WOW

Kogan launches Visa card and $300 credit offer

Original article by Sue Mitchell
The Australian Financial Review – Page: 17 : 3-Oct-19

Online retailer Kogan.com has partnered with Citigroup to launch a Visa-branded credit card. The Kogan Money card has no annual fee and a 55-day interest-free period, while cardholders will receive free membership of the Kogan First customer loyalty scheme. Kogan announced the alliance with Citigroup in November 2018, and flagged plans to launch a credit card during 2019. Kogan has previously diversified into products such as superannuation, home loans and mobile phones.

CORPORATES
KOGAN.COM LIMITED – ASX KGN, CITIGROUP PTY LTD, VISA INTERNATIONAL, UBS HOLDINGS PTY LTD

Recession – what recession? asks Amazon

Original article by Eli Greenblat
The Australian – Page: 19 : 6-Aug-19

Rocco Braeuniger, Amazon’s country manager for Australia, says he has not seen any indication that the retail sector is in the poor state that some retailers and media commentators have claimed. He was speaking at the launch of a new Amazon service called Launchpad, which aims to help start-ups and small businesses that want sell their products via Amazon. A spokesperson for David Jones’s parent company Woolworths Holdings recently claimed that the retail sector is in a recession.

CORPORATES
AMAZON.COM INCORPORATED, DAVID JONES LIMITED, WOOLWORTHS HOLDINGS LIMITED

1-in-10 Australians now buy home products online

Original article by Roy Morgan
Market Research Update – Page: Online : 29-Jul-19

A Roy Morgan Single Source survey shows that 10.4% of Australians aged 14+ bought home products online in an average three months during the year to March 2019; this is up 2.7% points since 2014. Meanwhile, some 4.9% of Australians now purchase homewares and manchester online, up 1.2% since 2014. The number of Australians who buy home decorations online has risen by 0.7% to 2.3%, followed by baby and nursery products (up 0.6% to 2.4%), and furniture (up 1% to 2.2%). Analysis shows that over two-thirds of Australia’s online home products buyers are women and particularly Millennial women aged in their 30s or 40s, while the average household income for online home products buyers is well over $120,000 per year.

CORPORATES
ROY MORGAN LIMITED

Online grocery shoppers are a small but lucrative market

Original article by Roy Morgan
Market Research Update – Page: Online : 15-Apr-19

New research from Roy Morgan shows that Australian grocery shoppers aged 14+ who bought groceries from Woolworths online in the year to December 2018 spent an average of $186 a week, compared to only $103 for those buying from Woolworths’ ‘bricks and mortar’ stores. The same trend is evident for Coles, with grocery shoppers spending $158 at Coles Online in an average week, compared with $97 on average for those shopping at a ‘bricks and mortar’ store. The huge difference in spending patterns between the online and ‘bricks and mortar’ stores is driven by women, who spend far more on average via the online outlet than via the physical store.

CORPORATES
ROY MORGAN LIMITED, COLES SUPERMARKETS AUSTRALIA PTY LTD, WOOLWORTHS SUPERMARKETS

Over 5 million Australians consider buying groceries online

Original article by Roy Morgan
Market Research Update – Page: Online : 26-Mar-19

A Roy Morgan Single Source survey has found that 31% of Australians aged 14+ (more than five million people) would consider buying groceries online in the next year, an increase of more than 800,000 in the last 12 months. The survey, which was carried out in the year to December 2018, also shows that 34% of both Coles and Woolworths shoppers would consider buying groceries online in the next year, compared with 26% of Aldi customers and 23% of IGA customers. Meanwhile, just 5% of Woolworths customers and 4% of Coles customers currently buy groceries online in an average month.

CORPORATES
ROY MORGAN LIMITED, COLES SUPERMARKETS AUSTRALIA PTY LTD, WOOLWORTHS SUPERMARKETS, ALDI STORES SUPERMARKETS PTY LTD, IGA