Get ready to splurge, Australia. An analysis by Adobe of over one trillion retail web site transactions over the last seven years, along with 350 million stock keeping units (SKUs) suggests seven billion dollars will be spent online downunder this holiday season.
Adobe has a solid track record making these calls and last year its Cyber Monday and Thanksgiving predictions came within two per cent of the mark.
The biggest week will be the first one in December as people get their shopping in early (seriously, who does that?) And in fact the company’s pointy headed data boffins have gone one step further and nominated December 7 as Australia’s Big day In.
According to Tamara Gaffney, principal research analyst, Adobe Digital Index, “The average Australian internet user will spend a total of $328 online during November and December, driving around 18% of total online sales for the year.”
She said, in 2015 Adobe expects an increase in online sales during Click Frenzy on 17 November. “However, we are predicting the biggest day for online spending will be 7 December.”
While the picture looks healthy for retailers there is a cautionary note. While “events” have always been important to retailers , many of the set piece online shopping days are built on discounting, according to National Online Retail Association chairman, Paul Greenberg. And indeed the data from the Adobe Cloud reflects this.
According to the report, “Prices are expected to fall throughout the season but see major drops in early and mid November and on Black Friday and Christmas.”
Pick up the damn phone
Mobility is playing an increasingly bigger part in the rush.
“Over the next two months we expect 14 per cent of ecommerce purchases in Australia to be transacted via smartphones and around eight per cent via tablets. Shoppers will also browse on their mobile devices, 31% via smartphones and 12% via tablets,” said Gaffney.
Mobility is further advanced predictably, in other markets. In the US for instance the majority of browsing for the Thanksgiving day sales will occur on mobile devices, as will almost 30 per cent of sales.
Seven billion bananas in a nice snack in the over all scheme of local online shopping, but here’s some context. Online holiday spending in China is expected to reach $150 billion, dwarfing that of the second placed US market at $80 billion.
APAC excluding China is looking at a five per cent increase to $US27 billion.