Oz Retail Foot Traffic Steady Despite ‘Recession’
Australian retail foot traffic is reportedly steady, despite sluggish conditions and David Jones’ parent company declaring a state of retail “recession.”
New data commissioned by parcel delivery service, CouriersPlease, reveals nearly 1-in-3 Australians visited a physical department store, specialist store (e.g. technology store) or fashion outlet in the last week.
CouriersPlease spokesperson, Jessica Ip, claims the challenge is for Australian retailers to convert foot traffic into purchase sales.
The news comes after JB Hi-Fi reported “record sales and earnings”, with a 7.1% jump in full-year net profit from $7.1 billion in sales.
Myer recently post its first underlying net profit jump in nine years, driven by private label sales, cost-cutting, and lower discounting.
“While retail spending has gone down, our survey indicates that shopper foot traffic has been maintained,” remarks Ip.
“It is encouraging to see that online shopping hasn’t caused a mass exodus of shoppers from stores.”
Ip claims many retailers are heavily investing in eCommerce, strengthening their omni-channel experience for a unified brand experience.
“They’re aiming to provide consistency across all areas – from the shopping experience, to delivery to returns – and by doing so, retailers are likely to leave a positive impression on shoppers, regardless of the way they choose to purchase,” she adds.
According to the study, around 77% of Australians visited a physical retail store in the last month.
Over half of the 1021 respondents visited a store in the last fortnight.
On a state basis, NSW shoppers are the least likely to make an in-store visit (28% in the last week), followed by VIC (30%), and lead by WA (42%).
Owned by Singapore Post, CouriersPlease claims to be leader in eCommerce logistics across the Asia Pacific and US, with a network of parcel lockers and retail pick-up outlets, connecting over 220 countries.