How Australian Consumer Behaviour Has Shifted Post-COVID-19: Key Insights for Businesses
The COVID-19 pandemic has changed the way people in Australia shop, work and spend their time. For businesses, especially marketing managers and owners, understanding these changes is very important.
Here, we look at how consumer behaviour in Australia has changed after COVID-19 and what it means for businesses.
Rise of Online Shopping
In Australia, online shopping has grown in popularity. Because of lockdowns and social distancing, people turned to the internet to buy things. Online shopping trends in Australia show a significant increase in the number of things people buy online. From groceries to electronics, online shopping is now a big part of daily life.
According to a report by Australia Post, online shopping in Australia grew by 57% in 2020 compared to the previous year. This trend continued in 2021 and 2022. People are now used to the convenience and safety of shopping online.
For businesses, having an excellent online presence is more important than ever. A website must be simple to use, load quickly, and provide safe ways for users to make payments. Businesses that want to grow their clientele should also invest in digital marketing strategies like SEO (Search Engine Optimisation) and social media advertising.
Shift Towards Digital Services
The pandemic made people use more digital services. Online banking, telehealth (online doctor visits), and digital entertainment became very popular. People started using digital payment methods more, preferring cashless transactions. Telehealth services provided a safe way to see a doctor, and streaming services became a primary source of entertainment.
According to Finder, the use of digital wallets like Apple Pay and Google Pay increased by 90% during the pandemic. Telehealth services also saw a significant rise, with many doctors offering virtual visits.
For businesses, offering digital services is now very important. Setting up online appointment systems, providing virtual customer service, and offering digital payment options are all necessary. Embracing digital solutions will help businesses meet current consumer preferences and prepare for future trends.
Localism and Support for Australian Businesses
Another big change is the increased support for local businesses and products. Post-COVID consumer insights in Australia show that more people prefer to buy Australian-made products and support local businesses. This change is caused by a desire to help the local economy and ensure sustainability.
According to a survey by Roy Morgan, 57% of Australians said they were more likely to buy products made in Australia after the pandemic. This is a result of the desire to aid in the local businesses’ recovery from the financial effects of COVID-19.
Australian businesses should highlight their local roots and commitment to the community in their marketing. Emphasising Australian-made products and working with local partners can resonate well with this sentiment.
Health and Wellness Trends
The pandemic made people more aware of their health and wellness. Health-conscious consumers in Australia are now more focused on staying healthy. Health-related goods and services, such as fitness gear, nutritious meals, and applications for mental wellness, are in greater demand.
According to a report by IBISWorld, the health and wellness market in Australia grew by 3.5% in 2021. Products like vitamins, supplements, and organic foods saw a big increase in demand.
Businesses in the health and wellness sector can take advantage of this trend by offering more health-focused products and services. Marketing strategies should focus on the benefits of a healthy lifestyle and how their products or services can help.
Changing Travel and Leisure Preferences
Travel restrictions and safety concerns have changed how people travel and spend their leisure time. Domestic tourism trends in Australia show a significant rise, with more Australians choosing local travel, outdoor activities, and staycations. International travel is still being determined, making local destinations more popular.
According to Tourism Australia, there was a 70% increase in domestic travel bookings in 2021 compared to before the pandemic. Popular destinations included regional areas, beaches, and national parks. Outdoor activities like hiking, camping, and cycling also became more popular.
Tourism and leisure businesses should focus on local travel options. Promoting local attractions and creating staycation packages can attract customers looking for safe travel experiences.
Impact on the Food and Beverage Industry
The food and beverage industry has seen significant changes in how people eat. With restrictions on dining out, there has been a noticeable preference for takeaway and delivery services. Food delivery services in Australia grew a lot, with many people choosing the convenience and safety of home-delivered meals.
According to Menulog, food delivery orders increased by 30% in 2020 and continued to grow in 2021. Restaurants and cafes that quickly adapted to offer takeaway and delivery services were able to keep operating during lockdowns.
Restaurants and cafes should improve their delivery and takeaway services, ensuring food quality and timely delivery. Partnering with popular delivery platforms and offering exclusive deals can also drive sales.
Work-from-Home Effects
The shift to remote work has changed how people spend their money. Work-from-home impacts in Australia include more spending on home improvement, office furniture, and technology. People are investing in making their home office spaces comfortable and efficient.
According to a survey by Bunnings Warehouse, there was a 40% increase in sales of home improvement products in 2021. Items like office desks, chairs, and home decor saw high demand as more Australians set up home offices.
Retailers can maintain this trend by offering products that enhance the home office experience. Promotions on ergonomic furniture and home office gadgets can attract remote workers looking to upgrade their setups.
Sustainability and Ethical Consumption
Sustainability and ethical consumption have become more critical post-pandemic. Consumers are more interested in sustainable products in Australia, looking for brands that align with their values. This includes eco-friendly packaging, ethically sourced materials, and products that promote a lower carbon footprint.
According to Nielsen, 73% of Australian consumers strive to change their consumption habits for reducing their environmental impact. This has led to more demand for products that are organic, biodegradable, and made using sustainable practices.
Companies must integrate sustainability into their operations and communicate their efforts clearly. Highlighting eco-friendly practices and certifications can build trust among environmentally conscious consumers.
Digital Transformation in Education
The education sector has undergone an immense digital transformation, with a shift towards online learning platforms and digital educational resources. The pandemic forced schools and universities to adapt quickly, leading to the widespread use of e-learning tools.
According to a report by The Guardian, there was a 300% increase in the use of online learning platforms in Australia during the pandemic. Schools and universities turned to digital solutions to continue delivering education.
Education providers should continue to improve their digital offerings. Providing engaging online learning experiences can attract students and meet the growing demand for flexible education solutions.
Impact on Entertainment and Media Consumption
Media consumption habits have changed drastically, with more people using streaming services and digital content. The lockdowns made people seek entertainment online, leading to a boom in streaming subscriptions and online media consumption.
According to Statista, the number of streaming service subscribers in Australia increased by 25% in 2020. Platforms like Netflix, Stan, and Disney+ saw significant growth.
Entertainment businesses should focus on delivering high-quality digital content and exploring new formats to engage audiences. Collaborations with influencers and content creators can also expand reach and attract diverse viewership.
Conclusion
The shifts in Australian consumer behaviour trends post-COVID-19 present both challenges and opportunities for businesses. By understanding these trends and adapting strategies accordingly, companies can thrive in the new normal. From embracing digital transformation to promoting localism and sustainability, there are many ways to align with evolving consumer preferences.
For marketing managers and business owners, staying up-to-date with these changes is crucial. Leveraging post-COVID consumer insights in Australia and incorporating them into business strategies will ensure continued success in a rapidly changing marketplace.