More than half of Australians are buying less because of the cost-of-living crisis

I'm sharing the new Bazaarvoice Shopper Preference Report for immediate publication. As you can see in the press release below, the cost of living crisis caused 53% of Australians to buy less last year. Almost half (46%) also bought more affordable alternatives to the product purchased, and 28% delayed major purchases. Only 11% stated that inflation has not affected their shopping at all. 

 
You can find more details in the press release or the numbers below: 
 

• 57% of Australians have switched to cheaper brands in response to rising prices. 
• 54% have delayed non-essential purchases. 
• 31% have started using coupons/discount codes more frequently. 
• 35% have joined loyalty programs for better deals. 
• 35% have shopped during sales events only. 
• 36% of Australians have started shopping at discount stores more often due to rising prices. 
• 35% have increased online shopping to find better deals. 
• 31% have switched to different stores.  

Let me know if any questions.

Best,

Zoe

PRESS RELEASE 

 
 
Bazaarvoice Shopper Preference Report: 

More than half of Australians are buying less because of cost-of-living crisis 

57% of consumers have switched to cheaper brands and 54% have 

chosen to delay non-essential purchases 
 

Sydney, Australia, 13th March 2025 - Bazaarvoice, Inc., the leading provider of full-funnel authentic user-generated content (UGC) and social commerce solutions, today released its third annual Shopper Preference Report. The study of over 8,000 global consumers shows that, as inflation continues to impact household budgets, shoppers are making significant changes to their buying habits, with affordability and trust driving purchasing decisions. 

The changes include buying less, delaying shopping, using more coupons, and joining loyalty programs. 
 

When asked which categories are the ones where they feel most sensitive to prices, shoppers said grocery (72% globally, 78% AU), food and beverages (60% globally, 61% AU), and health and beauty (25% globally, 31% AU) are the top three. 

 
Other insights include: 

 
The rise of value-driven consumption: Consumers are turning to strategic shopping tactics to maximise their budgets. More than half of Aussies (57%) have switched to cheaper brands, while 54% are delaying non-essential purchases and 31% are actively using coupons and discount codes. Loyalty programs are also seeing increased participation, with 35% of shoppers joining programs to access better deals. 
 

Store brands gain traction amid economic pressure: The survey also reveals that 57% of Aussie consumers have permanently switched to store-brand products. Lower prices (81%) remain the biggest factor, but improved quality (43%) and positive reviews (35%) are also helping store brands earn consumer loyalty. 

 
Trust and authentic content shape purchase: Authenticity is key, as 53% of shoppers cite real customer reviews as the biggest factor in their final purchase decisions. Consumers trust content that includes detailed product descriptions (36%), real-life photos/videos (37%), and balanced feedback (36%). On the flip side, they are wary of overly positive, generic reviews (47%) and suspiciously high review volumes in a short time (43%). 

 
Social media's growing influence on shopping decisions: More than a third (35%) of consumers say social media introduced them to new products, while 30% use it to compare prices and products. Short-form videos (50%) and customer reviews (43%) are the most trusted content formats. However, honesty remains paramount: 55% of shoppers distrust creator content that feels overly promotional, and 47% say authenticity comes from creators who acknowledge a product's pros and cons. 

 
The future of shopping: Despite ongoing financial concerns, shoppers are curious about innovative shopping experiences. Just over a quarter (28%) are excited by smart fitting rooms, and 20% find augmented reality product visualisation appealing. 

 
"As economic uncertainty continues, consumers are making more informed, strategic choices,"  
said Zarina Lam Stanford, Chief Marketing Officer at Bazaarvoice. "Brands and retailers that focus on affordability, trust, and authentic engagement - particularly through user-generated content - will be best positioned to meet evolving consumer expectations."  

For more information on the study, visit the Bazaarvoice website.  

Research methodology 

The research was commissioned by Bazaarvoice and conducted in January 2025 by Savanta among over 8,000 consumers in the United States, United Kingdom, Germany, France, Australia, and Canada.  

About Bazaarvoice 

Bazaarvoice is reshaping how brands and retailers connect with consumers by putting the consumer voice first. With an end-to-end, commerce-empowered omni-channel content solutions and analytics platform, Bazaarvoice helps 13,000+ brands and retailers inform consumer decisions consistently and at scale at every stage of the shopper journey, on every platform where shoppers live.  2.5B shoppers use the Bazaarvoice Network on a monthly basis. 

Founded in 2005, Bazaarvoice is headquartered in Austin, Texas, with offices in North America, Europe, and Australia. For more information, visit www.bazaarvoice.com