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E-commerce

E-commerce market

New Zealanders are increasingly connected, a trend which can also be observed when it comes to shopping, with two-thirds of Kiwis shopping online in 2017. That rate has been growing and it is expected to hit 83% by 2026. In 2017, e-commerce sales reached US$ 4.2 billion, up from US$ 3.9 billion a year earlier, which indicates an increase of 10%. According to BNZ, New Zealand's annual retail spend is US$ 49 billion, online shopping making up 7.6% of total retail sales. One of the reasons that e-commerce is growing is due to the fact that online shoppers believe it saves them time and that it is more convenient. Most online shoppers (57%) live in metropolitan areas and are aged between 30 and 49 (36%). The way people are using the internet to purchase items is changing, with three-in-five New Zealanders using their smartphones while in-store to research an item before buying. On the other hand, four-in-five people look at items online but ultimately buy in-store. Even though computers and laptops are the most popular devices when it comes to shopping online, smartphones and tablets are increasingly popular when buying over the internet, with 21% of online shoppers completing purchases on a mobile device in 2017. Credit card is the preferred method of payment in the country, with 75% of all online purchases being made using one.The most popular items purchased online are travel tickets and accommodations, clothing and event tickets - especially show and movie tickets. Among the top ten most popular products, many of them include non-physical items such as the previously mentioned tickets and bookings, but also music, movies, e-game downloads, computer software and food delivery. Some of the most popular e-commerce websites in the country include thewarehouse.co.nz, trademe.co.nz, priceme.co.nz, grouponnz.co.nz, as well as global giants like Amazon, Alibaba, and Ebay.