To stay competitive, retailers need to drive digital discovery by leveraging consumer data to craft personalised, relevant experiences that speak to individual intent
Brendan Straw, Country Manager for Shopfully Australia.
New global research from Shopfully, the international leader in Drive to Store operating across 25 countries, reveals a clear shift in how Aussies are shopping and what they expect for their shopping journey going forward.
While the in-store experience remains a firm favourite, the latest State of Shopping 2025 report, based on a survey of nearly 1,000 Australian consumers in April, shows that digital touchpoints serve as the first point of contact for 83% of shoppers, making them a critical part of the path to purchase that shapes decisions well before consumers reach the checkout.
Considering the current economic climate, where over half of Australians expect their purchasing power to remain flat or decline in 2025, consumers are becoming more strategic and deliberate in their shopping habits. This heightened price sensitivity means shoppers are increasingly relying on digital channels to research products, compare prices, and hunt for promotions before committing to an in-store purchase. Retailers who fail to engage customers with personalised, timely digital experiences risk losing their attention early in the journey, making it essential to seamlessly blend online and offline channels to meet shoppers where they are, and support future smarter spending decisions.
Digital research fuels physical shopping
Digital tools remain a constant in today’s consumer purchase journey, with data revealing a significant 83% of shoppers are sometimes or always researching online before heading in-store to complete their purchases.
“Retailers today must start the consumer journey where it begins, online. With the majority of shoppers now researching purchases via mobile, digital touchpoints are no longer optional, they’re essential. But simply being visible isn’t enough. To stay competitive, retailers need to drive digital discovery by leveraging consumer data to craft personalised, relevant experiences that speak to individual intent,” said Brendan Straw, Country Manager for Shopfully Australia.
“From the first online interaction to the final in-store purchase, there needs to be a seamless, connected journey. This means orchestrating consistent, insight-driven engagement across digital and physical environments to ensure shoppers remain guided, informed and inspired, right up to the moment they walk through the door and beyond, into the post-purchase experience at home,” he continues.
Price consciousness and the power of promotions
Shoppers remain cautious in 2025, with over half (54%) believing their purchasing power will not improve, mirroring sentiments from the previous year. In response to this financial uncertainty, Australians are increasingly turning to promotions to guide their spending decisions. In fact, more than half (51%) of consumers say their shopping habits have shifted, placing a stronger focus on seeking out deals and discounts. With 84% of shoppers agreeing that promotions influence what and where they buy, value-driven marketing is no longer optional, it is a decisive factor in winning consumer loyalty and spend.
For retailers, this presents a clear opportunity, one that requires more than just broad-based sales messaging. A strategic, omnichannel approach that delivers timely, targeted promotions across multiple platforms will be crucial to capturing attention and driving conversions in a competitive market.
Shoppers want more than ads
Beyond promotions, today’s consumers are seeking genuine value throughout their shopping experience, online and in-store. The report reveals there is a clear appetite for ads that go beyond mere price tag visibility. Half of Australian consumers (50%) say they find ads helpful for discovering new products and deals, while 42% use them specifically to compare prices and secure the best offers.
But they want more than just a generic promotion pushed out across multiple platforms, they are expecting a thoughtful, engaging experience tailored to their needs. The report reveals that along with personalised discounts and sales alerts (77%), consumers are interested in access to real-time updates on product availability (55%), news on new arrivals in their favourite categories or brands (49%), and enriching content like articles, recipes, and how-to guides (37%).
“Meeting consumers where they are is only half the battle. To truly succeed, an omnichannel strategy must do more than exist across multiple platforms, it needs to add real value at every touchpoint,” Straw said. “Retailers who take the time to understand what their customers want and deliver content that’s timely, relevant and engaging, will stand out. It’s this depth of personalisation that separates a good strategy from a great one.”
Shaping retail’s future with tech
Australians are increasingly embracing emerging technologies to enhance everyday life, and shopping is no exception. More than half of Aussie shoppers (54%) already incorporate technology into their shopping habits, but they want more. Innovations such as AI-tools are especially popular, with a notable 42% of Aussies open to using artificial intelligence in their regular shopping. 25% are eager to try AI-powered shopping assistants, while 17% are interested in AI-generated shopping lists to help streamline their planning. Meanwhile, 18% see strong value in virtual try-on tools for clothing and cosmetics, signalling a growing demand for immersive, tech-driven retail experiences.
“To stay ahead of evolving consumer expectations, retailers must go beyond traditional tactics and embed innovation into the heart of the shopping journey. Embracing smart technologies like AI and virtual tools isn’t just an advantage, it’s becoming essential to deliver the seamless, personalised experiences today’s shoppers demand,” said Straw.
The next chapter in retail
Shopfully’s State of Shopping report confirms that Australian retail is evolving, shaped by hybrid shopping habits, and rising expectations for personalisation and tech-driven experiences. Consumers want more than just convenience, they expect relevance, value, and seamless integration across channels.
Straw concludes, “Retailers that embrace smart technologies and tailor their omnichannel strategies to meet real consumer needs will be geared to stay ahead of the curve.”
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