Australian retailers failing on digital engagement

Research finds Australian retailers are lagging their international competitors

When it comes to digital commerce, Australian retailers are frequently failing to deliver personalised experiences to engage consumers, according to new research.

The Australian Digital Transformation Lab, a joint venture between Capgemini Australia and the University of Sydney Business School, compared 62 retailers, 52 of them Australian and 10 of them leading international retailers, across 100 sectors.

The researchers classified 38 per cent of the Australian retailers as digital "laggards", with the report arguing they lack "both digital execution and engagement".

Twenty six per cent of the Australian retailers made the "high achievers category".

Figures released by the Australian Bureau of Statistics in February showed 76 per cent of Australia's 15.4 million Internet users shopped online during 2012–13.

"Australian retailers are falling behind international market leaders who have invested for many more years in digital commerce features that support more personalised customer experiences,” Capgemini Australia’s digital transformation lead, Ben Gilchriest, said in a statement.

“Closing the gap between Australian retailers and international market leaders requires strong improvements in omni-channel integration, the strategic use of customer data to drive one-on-one engagement and a greater focus on systematic engagement across social media channels,” said associate professor Kai Riemer from the University of Sydney Business School.

The report found that 33 per cent of the Australian retailers lag their international competitors when it comes to building customer relationships

Retailers in the food, hardware and furniture sectors are the ones most likely to be trailing their leading international counterparts, failing to achieve a balance between omni-channel execution and customer-centric engagement.

"Only if retailers engage with customers consistently across different channels will they be able to successfully grow and harness a loyal customer base to ensure continuing customer satisfaction and profitability,” said Riemer.

“Operationally, this means treating customers as individuals and not as part of an anonymous group, even if this is done in a mass customised way.”

Follow CMO on Twitter: @CMOAustralia, take part in the CMO Australia conversation on LinkedIn: CMO Australia, join us on Facebook: https://www.facebook.com/CMOAustralia, or check us out on Google+: google.com/+CmoAu

Signup to CMO’s email newsletter to receive your weekly dose of targeted content for the modern marketing chief.

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.
Show Comments

Latest Videos

Launch marketing council Episode 4: Disruptive category launches

Our multi-part video series, Ready to Launch, is focused on unlocking the secrets of launching brands, products and services by exploring real-life examples from Australia’s marketing elite. The series is being produced as part of the Launch Marketing Council initiative by CMO in conjunction with Matt Lawton, MD at independent agency, Five by Five Global.

More Videos

Nowadays, when everything is being done online, it is good to know that someone is trying to make an improvement. As a company, you are o...

Marcus

10 lessons Telstra has learnt through its T22 transformation

Read more

Check out tiny twig for comfy and soft organic baby clothes.

Morgan mendoza

Binge and The Iconic launch Inactivewear clothing line

Read more

NetSuite started out as a cloud-based provider of Enterprise Resource Planning software or as NetSuite solution provider, which companies...

talalyousaf

NetSuite to acquire Bronto's digital marketing platform for US$200m

Read more

Thanks for sharing this post, its really good information I get through this blog.CDPO Online Exam Training

Infosectrain01

3 ways Booking.com is improving its B2B marketing game

Read more

Time is of the essence, especially for customer service teams. With chatbots, you can interact and assist customers at a larger scale, al...

Jai

Triple-digit customer database growth, personalised engagement become reality for Stone & Wood

Read more

Blog Posts

​Beyond greenwashing: Why brands need to get their house in order first

Environmental, Social and (Corporate) Governance is a hot topic for brands right now. But before you start thinking about doing good, Craig Flanders says you best sort out the basics.

Craig Flanders

CEO, Spinach

​The value of collaboration: how to keep it together

Through the ages, from the fields to the factories to the office towers and now to our kitchen tables, collaboration has played a pivotal role in how we live and work. Together. We find partners, live as families, socialise in groups and work as teams. Ultimately, we rely on these collaborative structures to survive and thrive.

Rich Curtis

CEO, FutureBrand A/NZ

The forgotten art of Acceptor/Rejector Analysis

The way we analyse brand health market research is wrong.

Zac Martin

Planning director, Ogilvy Melbourne

Sign in