Customer survey reinforces online shopping trends

MEDIA RELEASE
18 December 2012

Home Direct customer survey reinforces recent local online shopping trends research

New Zealand’s leading direct selling retailer, Home Direct’s recent survey of over 900 customers reinforces recent research that convenience is the key reason consumers opt to shop online.

As part of the survey, Home Direct customers were asked why they shopped online with Home Direct, rather than through other shopping options. These results show that shopping at a time that suits them is one of the most popular reasons for shopping online (69%). This was followed by overall convenience (58%), ability to see all the product online (47%) and better prices (34%).

The results of the survey draw similar comparisons to overall online shopping trends in New Zealand. Another survey released in October, conducted by Interactive Advertising Bureau (IAB), revealed 43 per cent of survey respondents said convenience of shopping was the number one reason for shopping online. This was followed by the ease of comparison shopping between products as well as online stores (19%), ability to find real bargains (17%), and wide variety of available products (17%).

In September this year, Home Direct launched their first online store, offering Kiwis a range of payment options, including credit applications and online approval. The direct retailer’s customer survey revealed that these convenient options were critical to their decision to use the Home Direct online store www.homedirect.co.nz. When customers were asked the top three things they liked about the Home Direct website 50 per cent cited the ability to shop using their Lifestyle Account, 48 per cent said ease of checking their account balance, with 22 per cent choosing the ability to apply for HP online.

Home Direct general manager, Jodi Comrie, says Home Direct’s finance options across all of its retail channels is one of the main, contributing reasons customers choose to shop with the company.

“Our multiple payment options appeal to many people, especially around Christmas time where they can buy presents and pay them off over a period of time, using their Lifestyle Account,” says Ms Comrie.

When asked about Home Direct’s overall retail offering across all its direct shopping services, 59 per cent of customers selected the ability to pay small weekly payments as the main reason they choose to shop with Home Direct. This was followed by the convenience to shop from home (51%), and the ability to get the product immediately then pay it off (45%).

The survey revealed that Christmas, birthdays and special occasions were the most popular times Home Direct customers shopped online (46%).

While 91 per cent of customers still browse via their computer desktop computer, mobile phones (14%) and iPads or other tablet devices (12%) also featured.

The popularity of online shopping looks set to continue to grow in New Zealand, with 65 per cent of Kiwis buying goods and services on the internet. This popularity of convenience shopping contributed to a combined national spend of $5.6 billion online last year [Roy Morgan Digital Universe October 2012 (taken from iab survey/research report)].

According to Statistics New Zealand there are 2.5 million mobile broadband subscribers in New Zealand [12 months ended June 30 2012 Statistics New Zealand (taken from iab survey/research report)]. Further, research claims 41 per cent of Kiwis own smartphones [Google Our Mobile Planet 2012 (taken from iab survey/ research report)], meaning online shopping is increasingly accessible.

Online represents 5.9 per cent of New Zealand retail sales. This figure has increased from 5.1 per cent in 2011. Contributing to this increase is a greater variety and choice of goods, increase in smartphones and tablet devices, an increased sophistication and digital awareness across all age groups are some of the reasons for this growth [Australian and New Zealand online shopping market and digital insights, July 2012. http://www.pwc.co.nz/industries/retail-and-consumer/publications/australian-new-zealand-online-shopping-market-digital-insights/].

Ends

About www.homedirect.co.nz

Home Direct’s online store has nearly 2,000 products available at affordable prices providing customers a one stop shop where they can buy a range of products. The only products you cannot buy are food and beverages. Customers can purchase essential items such as toiletries, clothing, bedding, towels, washing machines, and furniture, to the extras that make life enjoyable such as toys, televisions, computers and mobile phones.

The website offers customers a range of payment options to suit individual circumstances and a fuss free shopping experience from the comfort of their own home.
Home Direct offers its Home Direct Lifestyle Account customers (revolving credit account holders) free delivery nationwide. For credit card or debit card customers Home Direct charges a flat $5 rate for delivery anywhere in New Zealand. Hire purchase and layby purchases will incur a freight cost depending on the product size and where a customer lives in New Zealand.

Home Direct is a New Zealand owned, national retailing company, with a 40 year history of providing a range of products to customers seeking the convenience, affordability and payment options to suit their personal circumstances. Customers can select products via phone or catalogue and through the online store.

© Scoop Media