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Over 50% Australian online clothing customers buy local
04
May '16
Courtesy: Roy Morgan Research.
Courtesy: Roy Morgan Research.
Over half of the $2.4 billion that Australians (14+) spent buying men's and women's clothing online last year went to locally based retailers — but it seems overseas is still the site for menswear, according to online shopping expenditure data from Australia's largest independent research firm Roy Morgan Research.

Australians (14+) spent an estimated $2,414 million in total on men's and women's clothing online in 2015: of that, $1,366 million (56 per cent) went to Australian-based sites (whether online-only stores or the web-stores of traditional bricks-and-mortar retailers) and $1,048million (44 per cent) went overseas.

Local retailers' higher share of the online clothes market comes courtesy of women. As we can see below, women spent over $1billion on clothes through Australian online stores last year, compared with $550million on international sites.

Conversely, Australian men favour international sites for clothes shopping — but their total expenditure is only around half of women's, so their inclination toward overseas fashion isn't enough to outweigh the ladies' love of local.

Australians spent $1,579 million in 2015 on women's clothes online — and 89 per cent of that ($1,400 million) came from women: $961 million on womenswear via local and $439 million via overseas online retailers.

The other $179 million came from men buying women's clothes online, but unlike women they favoured international sites, spending just $75 million locally and $104 million overseas. All up, two-thirds of all the dollars Australians spent on women's clothes online went to local retailers.

But in menswear, it's a different story. The online menswear market was worth $835 million last year — and over 60 per cent ($504 million) went overseas. Men spent $393 million buying men's clothes from overseas sites, compared with $228 million through Australian online stores.

However, unlike for their own clothes, women also favoured international internet stores for menswear: they spent $111 million on men's clothes from overseas and $103 million through local retailers.

“There is clear difference between womenswear and menswear when it comes to how much of our expenditure stays local. Two thirds of Australians' spend on women's clothes online (nearly all of which came from women, of course) was through local sites. But for menswear, 61% of our expenditure went overseas — and both men and women shoppers favour international sites for men's clothes,” said Michele Levine, CEO, Roy Morgan Research.

“Together, all this suggests that Australian men's clothing retailers need to catch up to the women's. It may be that the pricing, quality, range and brands available on local menswear sites are simply not up to scratch in the new international marketplace, especially among fashion-conscious, tech-savvy and cashed-up consumers,” she added.

The menswear market may not be as big, but Aussie men are spending around $620 million a year buying men's clothes online — for almost $400 million of that (plus another $111 million from women buying men's clothes) to be clicked away to overseas is a big missed opportunity for local retailers. (SH)

Fibre2Fashion News Desk – India

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