Australian online retail up 36% in 2011

Australian ecommerce web design is booming, with reports last month from Commonwealth Bank that two thirds of the country’s online spending came from consumers who had not used online retail before. Website designers have been seeing increasing numbers of requests from clients looking to break into ecommerce with a website or online store.

That means consumers who previously shopped exclusively offline are making the shift to ecommerce as the area gains traction and becomes more and more high-profile. The CBA predicts that on top of the 36% increase in online retail last year, the figure will rise again for the next three to four years.

This means website designers and development agencies will face increased demand for ecommerce sites as local and national business react to the growing evidence that online retail is becoming increasingly popular.

The CBA estimates online retail has hit the top-line growth of traditional offline retailers to the tune of 1.3 percentage points. So while growth and increased popularity is on the cards for ecommerce sites and ecommerce web design, the outlook is not so peachy for bricks and mortar businesses.

By 2010, the CBA predicts ecommerce will account for close to 10% of total retail spending in Australia. While more consumers make the move to online shopping, those already browsing and buying using their computers are predicted to spend even more.

With ecommerce processes and customer service improving in speed and quality as the industry continues to grow, those already used to using the Internet to buy clothes, furniture, food and so forth will grow more and more comfortable with ecommerce retail. Both market penetration and overall profits will increase dramatically.

It’s important to bear in mind that these figures refer only to Australian online businesses and do no account for the large sums spent by Australians on overseas-based websites like Amazon.com. This highlights another important side of the ecommerce story.

Ecommerce websites give consumers the power to source products from anywhere in the world. They are not restricted to a local or national market and are able to compare prices and products between countries in order to secure what they want for the best price.