Wunderman Thompson today launched its annual Future Shopper report for 2022, based on analysis of 30,000 consumers globally, including 2,000 in Australia.
The report shows that winning online means getting the service right.
One of the biggest changes post pandemic is the expectation and demands that consumers have of retailers. Nearly a quarter (24%) of global consumers and 14% of Australian consumers expect delivery in two hours.
Nearly 25% of Australians expect delivery to take no longer then 2-3 days.
More than two third (68%) of global consumers surveyed said that they wished that brands and retailers offered better environmental practices.
When consumers were asked if they actively choose brands that are more environmentally responsible, the Asia-Pacific region sits well beyond the global average. Thailand consumers sit at number one globally at 83%, followed by Indonesia at number two (82%), India at number three (81%) and China at number five (71%). Australia and Japan had further to go in making active sustainable choices in the region, sitting at 46% and 38% respectively.
Another challenge for online sellers is that 23% of everything that global shoppers order online is returned. 40% admitted to over-ordering with the intention of returning unwanted items, presenting another dilemma for retailer’s digital supply chain.
The worst offenders for returns in the APAC region were consumers in India, sitting at the top of the global chart at 44%. Over a quarter of Australians admitted to over ordering with the intent of returning excess products.
The research shows that Australian consumers also have a healthy appetite for retailers to invest in emerging tech trends, including cashless payments (37%) and checkout-less supermarket services such as Amazon Go (43% of Australians).
And the online world is creating enormous value for retailers, with 43% of Australian consumers planning to increase their usage of digital shopping channels.
This has been driven by working from home (WFH), with 57% of Australian consumers saying they have shopped more online, and 52% saying they have discovered new brands as a consequence of WFH. 39% of Australian say they feel less loyal to physical stores they used to frequent before working-from-home.
Melanie Wiese, chief strategy officer at Wunderman Thompson Australia: "We know online shopping has gone gangbusters through the pandemic.
"The question we all have, especially with rising inflation, is will those habits stick? And how will it change consumer expectations of brands online and off?
"The future shopper report has global and local perspective that brings data to those questions. The challenge and opportunity now befalling brands is to turn these new behaviours into true loyalty, in the face of new economic headwinds.
"Our belief that the future belongs to brands ambitious about their contribution to people and the world is amplified by this outstanding report. Consumers need to buy into more than your product to win the future of commerce, and that will take enterprise level equity and inspired omnichannel retailing."
Australian findings:
- A quarter of Australians over order with the intent of returning unwanted items
- Nearly half of all Australians (47%) said the rising costs of inflation and living has made them more inclined to switch loyalty away from their favourite brands. The state most likely to shift loyalty was Northern Territory at 64%, followed by Tasmania at 51%, with the least likely being NSW which still sat at 46%
- 49% of Australian consumers were frustrated that international politics is impacting what they can buy and when they can get it
- Nearly one third of consumers are interested in the ability to spend beyond the grave. For instance, to provide on-going support for their family
- Nearly 60% of Australian parents say they believe their children will be more demanding online shoppers in the future, with 48% saying their children have unrealistic expectations already when it comes to online shopping (delivery / availability)
- 70% of Australians said they are not frightened about shopping in-store due to COVID-19. When we look at vaccination status influencing this, those who were not vaccinated were less likely to be afraid (76%) than those who were vaccinated (69%)
- Over half of Australians say they have made a purchase on a social media platform in the last year
- Australians are demanding more with 61% saying retailers need to get better at giving them the products, service and experience they want in online shopping. Further, over half said they will not continue to shop with retailers, brands or marketplaces that do not match their expectations.
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