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Comment: Down Under coming out on top - Australia's international shopping appetite

Comment: Down Under coming out on top - Australia's international shopping appetite
Wednesday March 7 2018

Owing to its island geography, it’s not too surprising that Australian shoppers’ goods are delivered from other countries. By Olof Källgren, Market Information Manager, Direct Link

However, the fact that approximately 70 % of online consumers make purchases from abroad makes Australia’s share of cross-border shoppers one of the world’s highest.

With a population of tech-savvy and digitally mature consumers, mobile e-commerce is growing fast and statistics show that about 30 % of smart phone and tablet users have made online purchases via their devices. And when it comes to digital gadgets, Australians are not lacking – 49 % own more than five devices such as computers, smart phones and tablets. Of course, these devices also want to be purchased and then put to good use, and 65 % of its 20 million inhabitants older than 15 years are online consumers.

Australian e-commerce and cross-border shoppingWhen ordering from abroad, Australians usually need not worry about import or duty taxes. Foreign purchases are exempted from tax up to a value of AUD 1000, making online bargain-hunting overseas quite attractive. Other reasons Australian e-commerce shoppers buy cross-border is a bigger product selection and availability than what they can get at home. Currently, the US, UK and China are the most favored overseas markets. The dominant categories for cross-border shopping are Books, CDs, Clothing & Footwear, Digital Cameras and Cosmetics.

Australian consumers have come to accept that cross-border deliveries will have a longer delivery time. On the other hand, however, they are quite sensitive to costs associated with delivery. Most cross-border shoppers expect low-cost delivery as well as free returns. Card payments are most common, with around 85 % of Australian online consumers preferring to pay with credit or debit card.

Key Statistics
Population: 24 million
Language: English
Currency: Dollar (AUD)
GDP: USD 1.24 trillion
Internet Penetration: 85%