New research from tech company ShopFully reveals that 87% of Australians plan to rely on promotional deals and discounts over the next 12 months due to the rising cost of living. The study surveyed 1,000 Australian consumers and 10,000 consumers across Europe in February 2024 about their anticipated shopping behaviours and habits over the next year.

Brendan Straw, Country Manager of Australia for ShopFully, said, “Our recent research peaks have been consistent in uncovering the concerns of the Australian consumer around the cost of living crisis the country finds itself gripped by”. The study found that 53% of Australians do not expect their purchasing power to improve in 2024, with many planning to limit their spending across various sectors including food and beverages, beauty purchases, clothing, electronics, and home furniture.

Despite the general plan to limit spending, the survey reveals that Australians are planning to spend more strategically, with big purchases planned around big sales moments like Black Friday. Less than one in ten consumers in both Australia and Europe do not consider the sustainability of products important, with over half (53%) of Australians willing to pay more for a product that was sustainably or ethically made.

Attractive prices or discounts are the top choice for Australians when trying new brands, while quality is the top choice for European consumers. Both Australian and European consumers research products online before buying in store, with 85% of Australians and 78% of Europeans following this practice. Only 5% of Australians have used AI tools like smart speakers to help them make purchases.

Straw added, “It is encouraging to see that – although spending is set to decline – consumers are being more savvy about when they spend, relying on promotional deals and big sales events to make up for planned cutbacks on a variety of different goods”. He also noted, “While there are many commonalities between Australia and Europe in how best to research products and a serious concern for our environment, it is interesting that consumers differ on what they value when it comes to brand loyalty. It’s somewhat unsurprising that a low percentage of Australian consumers have used AI when making purchases, but we expect the technology to have a big impact on the shopping experience over the coming years, enabling a more transparent flow of information on promotions and ultimately encouraging Aussies to do more shopping in store”.