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Home / Business / Companies / Retail

Groceries lagging behind in internet buy-up

Karen Chan
30 Oct, 2005 08:20 AM3 mins to read

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New Zealand internet users are just as keen as Australians to shop online, new figures show. And while Kiwis are big online buyers of airline tickets, relatively few purchase their groceries over the internet.

A study by ACNielsen found 87 per cent of New Zealand internet users had made a
purchase online - and one in two did so last month.

The findings are part of ACNielsen's twice yearly global consumer opinion survey, which polled over 21,100 internet users in 38 countries. It was the first time the survey included questions about online shopping habits.

New Zealand ranked 13th equal with Australia when it came to internet users who had also spent money online. Germany topped the tables, followed by Austria.

But just 7 per cent of Kiwi internet users had bought groceries online.

"What it comes down to is the fact that they still prefer the physical shopping experience," said Alistair Watts, managing director of ACNielsen Pacific & Japan. He said looking at the company's annual ShopperTrends survey of 500 New Zealand consumers, it was evident this preference had not altered much over the last couple of years.

"They like to have personal choice and see what they're buying."

Other data showed a gradual decline in shoppers' enjoyment of grocery shopping in the last five years. Watts said that "may provide retailers the opportunity to target these consumers to build their online shopper base".

Items that were less commonly purchased online included cosmetics, which drew purchases from just 5 per cent of online New Zealanders, followed by toys at 3 per cent and cars at 2 per cent.

Airline tickets were the most popular items with 40 per cent purchasing them online.

ACNielsen senior communications manager Kylie Ross said New Zealander internet users stood out in the region in that respect, coming fourth in the world for online reservations and ticket purchases, and ranking behind only Malaysia in the Asia Pacific region.

Ross said the figures reflected the technology put in place by airlines and travel agents. "They've got great booking systems running here."

Internationally the most popular items purchased over the internet were books (34 per cent), followed by videos, DVDs and games (22 per cent), and airline tickets and reservations (21 per cent).

In Asia Pacific, online shoppers in New Zealand averaged four internet purchases in the past month - lagging markets like Singapore, Taiwan, Australia and China, where shoppers averaged five to six purchases online.

Kiwis' purchases

* Airline tickets - 40 per cent
* Books - 27 per cent
* Videos/DVDs/games - 19 per cent
* Computer software - 19 per cent
* Event tickets - 17 per cent
* Clothing/accessories/shoes - 14 per cent
* Tours/hotel reservations - 14 per cent

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