Woman carrying a shopping bag over her shoulder meant to represent Retail Market Research.

digitalising the in-store experience – captivating the customer

The digital experience has become increasingly important for retailers in Australia, as it has the potential to drive revenue growth, increase customer loyalty, and improve operational efficiency.

The value of e-Commerce to the Australian economy is underlined by retail market research we conducted for PayPal in 2022 which shows that on a monthly basis, consumers spent an average of $593 in e-commerce across a variety of categories. Other research that we undertook for CBA in 2021 found that, during the COVID-19 pandemic, consumer engagement in domestic online retail shopping increased by 49%. The key learning being that retailers who have a stronger and more noticeable online presence, or are willing to adapt to changing needs, are likely to experience revenue growth. Especially when considering that more than 80% of Australians were shopping online in 2021.

Customer expectations of the online shopping experience are continuing to evolve. Convenience is expected across all channels and from all retailers. Our research for CBA shows that customers want fast, convenient and reliable delivery when shopping online. The convenience of a safe and fast QR check in process when shopping in-store, is also considered to be important for customers.

Digital technologies have been a key enabler of these changes, providing retailers with new and innovative ways to engage with customers, such as social media, mobile apps, and personalised emails. Digital also enables retailers to collect and analyse customer data at scale, which can be used to gain insights into customer behaviour and preferences, helping retailers to better serve their customers.

Examples of digital technologies that retailers are using to enable a more customer-centric experience include:

The examples laid out above have all been beneficial to both business and consumers, but there is always a need to make sure they are used responsibly. Kmart, Bunnings, and The Good Guys recent use of biometrics such as facial recognition technology in stores, raised concerns among privacy experts and has led to a reassessment of how retailers should use AI systems. A holistic and forward-thinking approach is needed to make sure such technologies create positive change for all those involved. Considering not only ways to drive value for the business, but also value for the customer.

If you are interested in exploring the possibilities of conducting your own retail market research project and want to know how it can benefit your organisation, please reach out today.