As competition heats up with global players like Amazon, local retailers are under growing pressure to evolve customer experiences, particularly around peak season, and Cyber Week has become a critical battleground.
A new report from Jarden and Shippit shows three in five (60%) Australians delay purchases until key events like Black Friday and Cyber Monday, making these dates pivotal in winning customer engagement and driving sales.
The report highlights how these events not only de-risk Christmas shopping but also significantly impact consumer behaviour by boosting digital engagement and shifting sales from physical stores to online channels.
Post-purchase experience can make or break loyalty with nearly 50% of shoppers saying they wouldn’t return to a brand after a poor delivery experience, coupled with growing demand for same-day delivery—yet only 9% of Australian retailers currently offer it.
Though Australia still lags behind markets like the US and UK, online sales are accelerating again. The report points out that online penetration rose 40 basis points this year, driven by increased consumer engagement through multiple touchpoints.
Retailers can better monetise the ‘messy middle’ of the consumer journey through data-driven loyalty programs, targeted promotions, and enhanced customer lifetime value.
Shippit co-founder and co-CEO, William On said, “The findings in this report highlight the urgent need for retailers to rethink their post-purchase experiences, particularly during the lead-up to peak sales periods like Cyber Week and Christmas.
“With 50% of shoppers saying they wouldn’t return to a brand after a poor delivery experience, it’s clear that reliable and fast shipping options will be essential for retaining customer loyalty. As online penetration in Australia continues to accelerate, and global giants like Amazon ramp up their same-day shipping services, Australian retailers must stay competitive by prioritising investments in seamless delivery solutions, to not only meet rising consumer expectations but also to capture market share effectively.
“This year’s Cyber Week is poised to be significant, with consumers increasingly valuing not just price, but also the overall post-purchase experience, making it imperative for retailers to enhance their service capabilities to thrive in a competitive landscape – not just during peak season, but long after it too.”
Jarden head of Australian equity research, Ben Gilbert added, “The retail landscape in Australia is approaching a significant inflection point. The report highlights the increasing importance of digital touchpoints and events like Cyber Week, which are becoming critical for driving sales and consumer engagement.
“As shoppers defer purchases and await major sale events, retailers must capitalise on these opportunities through more targeted promotions, efficient logistics, and investment in post-purchase satisfaction. Those who leverage data-driven strategies and supply chain innovations will be best positioned to build long-term customer loyalty and capture a greater share of wallet.”