Stellar Trends & Insights Report: November 2018

Join us to discover the latest trends across Australian industry and customer experience. In this issue: online shopping in Australia – travel dominance and abandoned carts, automated facial clearance comes to a Chinese airport, and 4-star prime shopping takes on a bricks and mortar experience.

The Stellar Trends & Insights Report keeps us at the cutting edge of trends in our industry and in customer experience. It kicks off internal conversations at Stellar about how our clients might be impacted and how we can make improvements to our business to navigate change.

Look out for the Stellar Trends & Insights Report every month on our blog.

Online shopping in Australia – travel dominance and abandoned carts

Travel dominates the online market, although shipping costs scare off a lot of purchasers

According to SAP’s 2018 Consumer Propensity Report, travel – flights, hotels and tours (72%), fashion (69%) and entertainment (56%) are the top online purchases for Australians. The report also found that Australian consumers (57%) ditch their shopping carts, more often than those in Europe (41%) and North America (47%), mainly due to high shipping costs (60%). The other reasons for cart abandonment are out of stock items (32%) and longer than expected delivery times (29%). A NAB report stated that Australian consumers spent a total of AU$1.95b per month on online shopping in 2017. Online spending is only expected to grow in the coming years, with Australia Post predicting that 1 in 10 items will be bought online by 2020.

Online shopping continues its strong momentum in Australia, although the tyranny of distance may be beneficial for companies with a physical retail presence. Will be interesting to see how this changes as Amazon may build more of a presence in Australia.

Read more here: https://www.cmo.com.au/article…

Automated facial clearance comes to a Chinese airport

Chinese ID card holders can now experience a more automated airline check in experience in Shanghai

Shanghai Hongqiao International Airport is the first in China to introduce an automated clearance system for airline passengers using facial recognition technology. The eight security machines installed at Terminal One can scan passenger faces and ID cards to check if they matched, and can reduce the clearance procedure to ~12 seconds. The automation allows for an unassisted airport journey, from check-in to bag drop, and from security clearance to boarding. The new system is applicable only to Chinese ID card holders. According to airport officials, the quantity of passengers moving through the terminal per hour is likely to remain at 10 million. However, the quality of security checks is expected to vastly improve.

We’ve already seen this type of technology used in Australia with Smartgate technology for passport recognition – interesting to see this being launched in a high-volume airport in China.

Read more here: https://www.independent.co.uk/…

4-star prime shopping takes on a bricks and mortar experience

Amazon opens another retail store in the US, this time focused on top-rating online products

Following on from launching a cashierless shopping experience with Amazon Go stores, Amazon has opened a new store in Soho in New York called Amazon 4-Star that sells products that customers have rated four stars and above, and also new, trending and best-selling items. The store carries toys, books, kitchen gadgets, games and consumer electronics including Amazon’s own devices such as Echo speakers and Fire TV sticks. The digital price tags for each item change throughout the day based on the price on Amazon.com, which can fluctuate. Amazon Prime members can get select items at the discounted price when available. Another store is reportedly being planned for Berkeley in California.

A novel idea that blurs the line between online and offline retail – really like the idea of prices fluctuating real-time with the online store.

Read more here: https://www.businessinsider.co…

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