A new mobile commerce study by PayPal shows more Aussies are using their mobiles for online purchases compared to the prior year. 

The mCommerce Index Annual Report shows 72 per cent of Australians are shopping on their mobiles despite 55 per cent of businesses being optimised to accept mobile payments.

The amount of sales made via a mobile has jumped from 19 per cent to 25 per cent.

Forty-eight per cent of Australians who buy via mobile do at least once a week with one in eight using their mobiles to shop on a daily basis.

Those surveyed, 27 per cent of consumers surveyed prefer smartphones over any other device for making online purchases – a jump of 50 per cent compared to 18 per cent in 2016.

In line with consumer adoption, 18 per cent of businesses now attribute more than half of their sales to mCommerce, more than double last year’s figure of 9 per cent.

Meanwhile, businesses reported a 32 per cent year-on-year increase in the average percentage of sales taken by mobile. 

Libby Roy, managing director at PayPal Australia said, “As consumer dependency on technology accelerates, so too do expectations of mobile experiences.

“Our research found that nearly half of Australians (47 per cent) are annoyed when a site doesn’t work well on a mobile and almost a third (30 per cent) of mobile shoppers have abandoned a purchase due to lack of mobile-optimisation or because of security concerns (29 per cent).

mobile phone shopping millennialMillennials and mobiles

Millennials are driving mobile commerce with 86 per cent of the demographic using mCommerce with 46 per cent preferring to shop on their mobile.

A quarter of millennials use social media to purchase items online and 17 per cent making mobile purchases daily.

A third of millennials have abandoned an online purchase as the website was not optimised for mobile.


Half of Australians are using one paid subscription service whether it be a magazine, music or streaming platform where they are spending an average of $32 a month on these services.

The PayPal report noted 86 per cent of Australian businesses said that revenue grew after they implemented a subscription model and 36 per cent reported a revenue increase of more than 30 per cent.

Regardless of whether they offer a subscription service or not, 37 per cent of businesses acknowledge that subscriptions make it easier to retain customers and 35 per cent drive a recurring revenue stream.

Roy said, “While subscription services are most popular with younger shoppers, adoption is strong across all demographics and the popularity of these “set and forget” services is paying off for businesses.

“Despite strong uptake of subscription services, our research found that only one-in-ten Australian businesses currently offers subscriptions, revealing an opportunity for businesses looking to improve customer loyalty and maintain a recurring revenue stream.”

Previous post

Updated: Elon Musk steps down as Tesla chairman

Next post

What types of Content Are Required to Generate Demand for Tech Start-Ups

Join the digital transformation discussion and sign up for the Which-50 Irregular Insights newsletter.