10 NEW ZEALAND eCommerce Facts - Amazon Web Services€¦ · cater to this growth in cross-border...
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Once perceived as a slower adopter of eCommerce, New Zealand’s online market is quickly transiting into a period of tremendous growth. According to Nielsen’s Online Retail Report in July 2014, there were 1.9 million New Zealanders shopping online, reflecting a six percent growth from 2013. There was also a year-on-year increase in shopping on smartphones (127%) and tablets (73%), highlighting the growing potential of mobile commerce and New Zealand’s overall opportunity for new entrants. eCommerce Facts 10 NEW ZEALAND 10 New Zealand eCommerce Facts © 2015 Singapore Post Limited. All Rights Reserved. For more information, visit www.specommerce.com/knowledge-centre Adcorp, Bank of New Zealand, Colmar Brunton, Digital Universe, Econsultancy, First Digital, Frost & Sullivan, Google Consumer Barometer Report, Internet Live Stats, Mad Daily, Mastercard, Nielsen, PowerRetail, The New Zealand Herald, World Bank and World Internet Project SOURCES: 1 2 3 4 5 6 7 8 9 According to the Bank of New Zealand (BNZ), the local eCommerce market was worth NZ $2.7 billion in 2013, representing 6.2% the size of traditional retail. 60% of this was from domestic retailers. In 2014, MasterCard found that 57% of New Zealand consumers made an online purchase at least once every month. ECOMMERCE MARKET VALUE & GROWTH POTENTIAL According to the World Internet Project New Zealand, 86% of daily internet users made a purchase online in 2013. PowerRetail also found that the average shopper spent NZ $1,906 in 2013. NZ online shoppers are also very mobile savvy; Econsultancy found that 74% of online users had researched a product or service via a mobile device in 2014. THE NZ ONLINE SHOPPER A 2013 World Internet Project New Zealand report found that in 2013, 80% of internet users spent over an hour online every day. In 2014, Internet Live Stats revealed that NZ’s internet penetration rate had reached 91.45%. According to Google's Consumer Barometer, 73% of users aged above 55 go online every day, compared to of those aged 25 to 34 years (88%) and 35 to 44 years (90%). AN INCREASINGLY CONNECTED MARKET Online Retail Sales (2013) In July 2013, research by Colmar Brunton found that 90% of 18 to 39 year olds used social media. comScore's 2014 report further revealed that this grew to 94.6% of the population by November that year. In 2013, Digital Universe also highlighted that Twitter and LinkedIn saw an increase of 14% and 13% in their users respectively. According to First Digital, the number of Facebook users in the country had also increased to 2.4 million by September 2014, an approximate 6% increase from the previous year. AN ACTIVE SOCIAL MEDIA SPACE 90 % Penetration Rates by 2018 58 % 33 % 2.4 million 2.46 million 743,057 921,320 356,036 676,307 New Zealand’s mobile penetration is projected to hit 90% by 2018 (Frost & Sullivan). In 2014, Econsultancy found that 33% of smartphone users made a direct purchase through their smartphones. In the same year, 58% of tablet owners made a purchase via the device, according to Nielsen’s Online Retail Report. The report also stated that as of 2014, there were 655,000 people shopping on their smartphones (127% year-on-year growth) and 414,000 on their tablets (73% increase from 2013). MOBILE’S INFLUENCE ON ECOMMERCE According to the BNZ Online Retail Sales Report, categories with the largest growth in 2014 were groceries, liquor and specialized foods (17%), electrical and electronics (14%), and furniture and homeware (11%). WHAT NEW ZEALAND’S CONSUMERS ARE BUYING ONLINE What NZ Consumers Are Buying Online Clothing, Footwear and Accessories 12% Furniture, Housewares and Hardware 6% Recreation, Toys, Games, Entertainment media, Books 14% Groceries and Liquor 14% Electrical and Electronic Goods 14% Department and Variety Stores 26% Pharmacy, Cosmetics, Stationery, Antiques, Flowers 3% Daily Deals 2% Local auction and classified site Trade Me was the top commerce site in 2013, reaching 56% of the population and 1.9 million unique monthly visitors. This was followed by The Warehouse, the largest retail operating group in NZ, with a 22% reach and 750,000 unique monthly visitors (Nielsen). PRIMARY ONLINE RETAILERS ACROSS THE COUNTRY Nielsen cited in 2013 that two key drivers for online shopping were lower prices (76%) and product comparisons across brands (71%). In the same year, a Colmar Brunton study found that more than 50% of mobile shoppers were influenced by online promotions and that 58% admitted to showrooming so that they could purchase at lower costs. A SIGNIFICANT SHOWROOMING SCENE 10 According to the World Bank’s Logistics Performance Index in 2014, New Zealand was ranked 26th worldwide. It also ranked 22nd in terms of trade and transport-related infrastructure and 6th in the aspect of custom clearance efficiency. THE LOGISTICS LANDSCAPE IN NEW ZEALAND SALE! 58 % ENGAGED IN SHOWROOMING Overseas online spending made up 34% of the country’s total online expenditure by July 2014, a 26% increase from the previous year (Nielsen Online Retail Report). In November 2013, data from BNZ also highlighted several markets that accounted for majority of offshore retail spending: US (30%), UK (18%) and Australia (15%). To cater to this growth in cross-border purchases, New Zealand Post partnered with Singapore Post to set up leading cross-border commerce service provider YouShop, which offers NZ shoppers delivery address options in markets such as the US. Overall, purchases from international retailers were up 11% in September 2014. In the 12 months to October 2014, the online market share held by international retailers grew by 2.5%. GROWTH OF CROSS BORDER TRADE 34 % ONLINE SPEND IS CROSS BORDER Internet penetration 91.5 % 80 % spend over 1 hour online daily made an online purchase in 2013 86 % 74 % use mobile devices for product research 26 th Logistics Performance 22 nd Transport Infrastructure 6 th Customs Efficiency Site Monthly Audience (’000) % Active Reach Rank 1 2 3 4 5 1,875 745 627 587 477 56 22 19 17 14 Top eCommerce Sites (2013) NZ Social Media Landscape (2013) eCommerce Penetration on Mobile Devices (2014) Want to learn more about how SingPost eCommerce can support your online business in New Zealand and the Asia Pacific region? Contact [email protected] 60 % from local retailers Almost Annual Value $2.7 Billion
Transcript of 10 NEW ZEALAND eCommerce Facts - Amazon Web Services€¦ · cater to this growth in cross-border...
Once perceived as a slower adopter of eCommerce, New Zealand’s online market is quickly transitinginto a period of tremendous growth. According to Nielsen’s Online Retail Report in July 2014, there were1.9 million New Zealanders shopping online, reflecting a six percent growth from 2013. There was alsoa year-on-year increase in shopping on smartphones (127%) and tablets (73%), highlighting thegrowing potential of mobile commerce and New Zealand’s overall opportunity for new entrants.
eCommerce Facts10 NEW ZEALAND
10 New Zealand eCommerce Facts© 2015 Singapore Post Limited. All Rights Reserved.For more information, visit www.specommerce.com/knowledge-centre
Adcorp, Bank of New Zealand, Colmar Brunton, Digital Universe, Econsultancy, First Digital, Frost & Sullivan, Google Consumer Barometer Report, Internet Live Stats, Mad Daily, Mastercard, Nielsen, PowerRetail, The New Zealand Herald, World Bank and World Internet Project
SOURCES:
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According to the Bank of New Zealand (BNZ), the local eCommerce market was worth NZ $2.7 billion in 2013, representing 6.2% the size of traditional retail. 60% of this was from domestic retailers. In 2014, MasterCard found that 57% of New Zealand consumers made an online purchase at least once every month.
ECOMMERCE MARKET VALUE &GROWTH POTENTIAL
According to the World Internet Project New Zealand, 86% of daily internet users made a purchase online in 2013. PowerRetail also found that the average shopper spent NZ $1,906 in 2013. NZ online shoppers are also very mobile savvy; Econsultancy found that 74% of online users had researched a product or service via a mobile device in 2014.
THE NZ ONLINE SHOPPER
A 2013 World Internet Project New Zealand report found that in 2013, 80% of internet users spent over an hour online every day. In 2014, Internet Live Stats revealed that NZ’s internet penetration rate had reached 91.45%. According to Google's Consumer Barometer, 73% of users aged above 55 go online every day, compared to of those aged 25 to 34 years (88%) and35 to 44 years (90%).
AN INCREASINGLY CONNECTED MARKET
Online Retail Sales (2013)
In July 2013, research by Colmar Brunton found that 90% of 18 to 39 year olds used social media. comScore's 2014 report further revealed that this grew to 94.6% of the population by November that year. In 2013, Digital Universe also highlighted that Twitter and LinkedIn saw an increase of 14% and 13% in their users respectively. According to First Digital, the number of Facebook users in the country had also increased to 2.4 million by September 2014, an approximate 6% increase from the previous year.
AN ACTIVE SOCIAL MEDIA SPACE
90%Penetration Rates by 2018
58% 33%
2.4 million2.46 million
743,057921,320
356,036676,307
New Zealand’s mobile penetration is projected to hit 90% by 2018 (Frost & Sullivan). In 2014, Econsultancy found that 33%of smartphone users made a direct purchase through their smartphones. In the same year, 58% of tablet owners made a purchase via the device, according to Nielsen’s Online Retail Report. The report also stated that as of 2014, there were 655,000 people shopping on their smartphones (127% year-on-year growth) and 414,000 on their tablets (73% increase from 2013).
MOBILE’S INFLUENCE ON ECOMMERCE
According to the BNZ Online Retail Sales Report, categories with the largest growth in 2014 were groceries, liquor and specialized foods (17%), electrical and electronics (14%), and furniture and homeware (11%).
WHAT NEW ZEALAND’S CONSUMERS AREBUYING ONLINE
What NZ Consumers Are Buying Online
Clothing, Footwear and Accessories 12%
Furniture, Housewaresand Hardware 6%
Recreation, Toys, Games,Entertainment media, Books 14%
Groceries and Liquor 14%
Electrical andElectronic Goods 14%
Department andVariety Stores 26%
Pharmacy, Cosmetics, Stationery,Antiques, Flowers 3%
Daily Deals 2%
Local auction and classified site Trade Me was the top commerce site in 2013, reaching 56% of the population and 1.9 million unique monthly visitors. This was followed by The Warehouse, the largest retail operating group in NZ, with a 22% reach and 750,000 unique monthly visitors (Nielsen).
PRIMARY ONLINE RETAILERS ACROSS THE COUNTRY
Nielsen cited in 2013 that two key drivers for online shopping were lower prices (76%) and product comparisons across brands (71%). In the same year, a Colmar Brunton study found that more than 50% of mobile shoppers were influenced by online promotions and that 58% admitted to showrooming so that they could purchase at lower costs.
A SIGNIFICANT SHOWROOMING SCENE
10According to the World Bank’s Logistics Performance Index in 2014, New Zealand was ranked 26th worldwide. It also ranked 22nd in terms of trade and transport-related infrastructure and 6th in the aspect of custom clearance efficiency.
THE LOGISTICS LANDSCAPE IN NEW ZEALAND
SALE!
58%ENGAGED INSHOWROOMING
Overseas online spending made up 34% of the country’s total online expenditure by July 2014, a 26% increase from the previous year (Nielsen Online Retail Report). In November 2013, data from BNZ also highlighted several markets that accounted for majority of offshore retail spending: US (30%), UK (18%) and Australia (15%). To cater to this growth in cross-border purchases, New Zealand Post partnered with Singapore Post to set up leading cross-border commerce service provider YouShop, which offers NZ shoppers delivery address options in markets such as the US. Overall, purchases from international retailers were up 11% in September 2014. In the 12 months to October 2014, the online market share held by international retailers grew by 2.5%.
GROWTH OF CROSS BORDER TRADE
34%ONLINE SPEND IS CROSS BORDER
Internetpenetration
91.5%
80%spend over
1 houronline daily
made an online purchase in 2013
86%
74%use mobile devices
for productresearch
26thLogistics
Performance
22ndTransport
Infrastructure
6thCustomsEfficiency
Site MonthlyAudience (’000)
% ActiveReachRank
1
2
3
4
5
1,875
745
627
587
477
56
22
19
17
14
Top eCommerce Sites (2013)
NZ Social Media Landscape (2013)
eCommerce Penetration on Mobile Devices (2014)
Want to learn more about how SingPost eCommerce can support your online business in New Zealandand the Asia Pacific region? Contact [email protected]
60%from localretailers
Almost
Annual Value
$2.7Billion
