Payment cards are the most are the preferred payment method for e-commerce purchases in Australia, collectively accounting for 50.6% share in 2023, reveals GlobalData, a data and analytics company.
GlobalData’s E-Commerce Analytics reveals “that Australian e-commerce market is estimated to register 8.3% growth in 2024 to reach AUD77.2 billion ($51.3 billion), as consumers increasingly shift from offline to online purchases.”
The market is set to increase at a compound annual “growth rate (CAGR) of 6.8% between 2024 and 2028 to reach AUD100.5 billion ($66.8 billion) in 2028.”
To benefit from this trend, retailers are “introducing unique online shopping concepts such as livestream shopping.”
In January 2023, IKEA launched a “livestream shopping experience, with which users can buy products directly from its website while streaming home furnishing videos.”
Links for specific products are available in the livestream window, “meaning consumers do not need to search for the products on the website—thus offering consumers a more convenient experience.”
Payment cards accounted for “a 50.6% share in e-commerce payment value in 2023. Of this credit and charge cards accounted for 29.2% share while debit cards accounted for 20.9%,” according to the GlobalData’s 2023 Financial Services Consumer Survey.
Cards usage is driven by benefits “such as reward points, cashback, discounts at partner merchants, and the availability of installment payment facilities.”
Alternative payment methods “such as mobile and digital wallets are also widely used in the e-commerce space in Australia, accounting for 34.1% of the payments made on the online shopping platforms in 2023.”
Alternative payments are increasingly preferred “by Australians with some of the popular brands being PayPal and Apple Pay.”
As noted in the update, GlobalData’s 2023 Financial Services Consumer Survey was carried out in Q2 2023. Approximately 50,000 respondents aged 18+ were surveyed across 40 countries.
4,000 of the world’s companies, including over 70% of FTSE 100 and 60% of Fortune 100 companies, make more timely and better business decisions thanks to GlobalData’s data, analysis and solutions, all in one platform.
GlobalData’s mission is to help clients “decode the future to be more successful and innovative across a range of industries, including the healthcare, consumer, retail, financial, technology and professional services sectors.”
