Google estimates that 64% of all transactions in Australia include an online element, including researching products and services before purchase, so you need to be online to connect with current and potential customers.
According to Nielsen research (Connected Commerce: connectivity is enabling lifestyle evolution, 2018) Australia currently has 3.1% of FMCG sales online. This is low % of sales vs other markets such as South Korea – 20% FMCG sales online. However Roy Morgan research, (Inside FMCG March 2019) highlighted more Australian grocery shoppers want to buy online. Unfortunately, the offer is not strong enough so about 600,000 buy online each month whilst 5,000,000 are interested to buy online. These statistics highlight the opportunity for FMCG manufacturers and retailers to achieve sales growth with an improved digital / e-commerce offer.
Some of the changes in the market leading to on-going growth of online sales include:
Australian shoppers using marketplaces such as Amazon and e-Bay
Amazon opening warehouses in Australia
FMCG manufacturers operating direct to consumer (D2C) e-commerce operations
COVID-19 changing shopping behaviours
Digital Marketing Expertise
Bowen Consulting can help demystify digital marketing and help our clients build better relationships with their shoppers online. Whilst online sales are still relatively low in the supermarket industry, shoppers are now influenced by digital marketing. Unlike other agencies, we focus on digital marketing for the FMCG / retail industry. Our expertise is knowing what digital marketing activities can drive sales for FMCG brands. For example suppliers can advertise on supermarkets websites to drive sales.
This service normally includes:
Mapping your shoppers path to purchase
Creating a digital plan that focuses on activities to drive sales
Reviewing the customised content for different platforms
Reviewing numerous digital opportunities, including Amazon and D2C, to create the optimal long-term digital strategy
If you are new to the industry my blog, Digital disruption = sales opportunities for FMCG suppliers, may be useful.
For a free initial consultation, or meeting with Tim, my Contact Details . I look forward to talking with you.