Over-60s remain loyal to brick and mortar stores despite online shopping boom

The past few months have seen an increasing number of traditional brick and mortar stores shutting up shop for good, with Australian brands such as Colette, Jeanswest and Harris Scarfe collapsing into voluntary administration.

But, while almost half of Australian consumers admitted they have made the transition to online shopping, the older cohort is more reluctant to give up the ‘old way’ of shopping.

New research from parcel delivery service CouriersPlease found that 43 per cent of Aussie shoppers plan to head online in the next 12 months rather than making their purchases in store. The majority of the younger generation is said to fuel the eCommerce trend with just over half of those under 30 preferring to online shop, while only 25 per cent of over 60s chose the digital route.

Around a third of Australians admitted they would be spending the same amount of money online as they would in store, however this trend increased with age as 57 per cent of over 60s agreed to the statement compared to just 25 per cent of those under 30.

The online shopping sector was a $17 billion industry last year compared to its $15.9 billion turn over in 2018. And with no signs of slowing down, spokesperson for CouriersPlease, Jessica Ip, said the convenience of the internet has changed spending habits for most but not all.

“We’re seeing tech-savvy shoppers embrace eCommerce more than older generations, which could be due to retailers focusing and targeting the younger market through social marketing platforms such as Instagram and Facebook,” she said. “However, it’s important that retailers don’t forget about the older market, as they are generally the ones with more disposable income.”

Shoppers prefer the flexibility of delivery and the ability to compare prices online, however the convenience of shopping wherever and whenever they want is the key to the increasing popularity of the trend. This constant availability has experts now considering the fact that buying-shopping disorder (BDS) is evolving into an online retail disorder.

BDS was traditionally for those who experienced an extreme obsession with buying from stores – but now with the rise in eCommerce, the ease of online shopping has experts thinking the disorder could worsen over time.

These concerns were amplified after 1,000 Australian shoppers were asked about some of the craziest places that they found themselves online shopping. The question saw some surprising responses including breastfeeding in the middle of the night, on the toilet at home or at work and in the bath or shower. Shoppers also admitted to making purchases half-asleep in the middle of the night, while waiting in lines for rides at theme parks, while on a plane and even during a movie at the cinema.

The research was released in the wake of a number of big-name Australian retailers shutting their doors for good due to the declining state of the retail market. Most recently, accessory store Collette entered voluntary administration earlier this month after a decade on the market.

Prior to this, department store giant Jeanswest also went into voluntary administration at the beginning of the year before revealing they were in debt to the tune of $50 million that was owed to creditors including $2.6 million to go to casual employees.

One of the biggest surprise collapses however was the veteran department store Harris Scarfe which shut its doors late last year after 169 years of trading. Other department stores that have followed suit in the recent years include Roger David, which folded in December 2018, Ed Harry, Napoleon Perdis and Laura Ashley. Topshop, Marcs and David Lawrence are also among those who are now out of business or struggling in the Australian market.