NZ Post Research Shows Kiwis Spent $1.3b Online This Quarter, Down 14% On Last Year

NZ Post’s latest eCommerce Spotlight report shows Kiwis spent $1.3 billion online in the third quarter (Q3) of 2022, down 14 percent on the same quarter in 2021.

NZ Post General Manager of Business Marketing Chris Wong says we need to consider the decline in online spending in the context of the wider economic and retail environment.

“Context is important here. The same quarter last year saw a spike in online spending due to Covid-19 lockdowns, but when we compare spending from this quarter to the same quarter in pre-pandemic 2019, we’re up a healthy 39 percent in online spending,” Wong said.

“Kiwis are also continuing to make the positive choice to buy local. 75 percent of spending online in Q3 2022 was with NZ-based retailers, up from 71 percent a year ago,” Wong said.

NZ Post’s research comparatively shows an increase on in-store spending in the last quarter, up 19 percent on the same quarter from 2021.

Wong says this trend is also likely due to the Covid-19 lockdowns from the same period last year.

“In-store spending this quarter is 19 percent above Q3 2021 levels. With borders reopening and mask-wearing requirements gone, Kiwis appear to be enjoying being out and about more. This out of home activity is seeing shoppers spending on a much wider range of goods and services, helping physical retailers to continue their recovery from the tough times of the last few years,” Wong said.

“The signs are there that the return of a ‘more normal’ pre-pandemic environment is encouraging many shoppers to return to some of their pre-pandemic habits,” Wong said.

“The big online shopping events (Click Frenzy, Singles’ Day, Black Friday and Cyber Monday) leading into the Christmas shopping period are coming up, and this will see online spending increase. We’ll be watching trends closely to see how the big online shopping season goes this year,” Wong said.

There’s no doubt, despite a short-term decline in growth, that online shopping is still in a strong position for the long term” Wong said.

Please see the full eCommerce Spotlight report for Q3 2022 www.nzpostbusinessiq.co.nz/latest-ecommerce-insights

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