Media Release

Hey, big spender: Aussies could splash out an extra $583 million per year

  • 14 million Australians shop from online stores overseas
  • 86% of Gen Y buy from international retailers
  • How to get the best deal

2 July 2018, Sydney, Australia – Online shopping from overseas stores is likely to get more expensive for Australian consumers, according to finder.com.au, the site that compares virtually everything reveals.

Yesterday marked the introduction of a new GST for all goods worth less than $1,000 shipped from overseas retailers.

New finder.com.au research shows 73% of Australians – equivalent to 14 million people – shop from overseas retailers, having made a purchase under $1,000 for an international store in the last two years.

On average these shoppers are spending $80 per purchase, at an average frequency of five times per year.

Collectively, that represents an estimated $5.8 billion spent on international purchases in the last 12 months.

Bessie Hassan, Money Expert at finder.com.au says prices could well go up as overseas businesses cope with the change.

“It’s unclear which retailers will absorb the tax, which will bump up their prices up or which will stop shipping to Australia altogether.”

"Australians love shopping online so it’ll be interesting to see whether this tax deters some from spending with overseas retailers. Others might turn to local stores instead, which would give the retail industry a much needed boost."

Had the tax been completely passed on to consumers, Aussies could have spent an extra $583 million on online purchases from sites like ASOS, Boohoo, Net-a-Porter and Marks & Spencer.

“The reality is overseas retailers are all in the same boat: they want to show us competitive prices and keep their Aussie customers.”

“Make sure you compare prices from a couple of retailers before you buy. Prices will still vary and you want to make sure you’re getting the best deal.”

“Once you add shipping to your purchase, you could be better off buying from a local retailer.”

Gen Y purchases overseas goods online the most (86%) in comparison to Gen Z (80%), Gen X (74%) and Baby Boomers (61%).

Men spend significantly more than women, forking out on average $91 per purchase in comparison to $66 per purchase.

The survey also shows that 16% of respondents only shop online from local retailers, and a further 11% don’t shop online at all.

How to get the best deal

  • Compare pricing from different retailers
    If you’re shopping online, copy and paste the name of the item you want to buy, and see what other websites offer it. Compare the prices, but make sure you check out shipping fees to make sure you’re comparing apples with apples.
  • Check if there’s a price match offer
    Some retailers will have a price match offer or price beat guarantee. Make the most of these offers and ask!
  • Search for a coupon code
    Have a quick online search for a coupon code - you might score free shipping or 10% off for signing up to the retailer’s newsletter.

How much has each generation spent in the last year with overseas retailers?

Gen Z$555
Gen Y$514
Gen X$377
Baby Boomers$293

(source: finder.com.au)

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For further information

Disclaimer

The information in this release is accurate as of the date published, but rates, fees and other product features may have changed. Please see updated product information on finder.com.au's review pages for the current correct values.

About us

More than 3 million Australians turn to finder.com.au every month to save money, time and make important life choices. We compare virtually everything from credit cards, phone plans, health insurance, travel deals and much more.

Our free service is 100% independently-owned by two Australians: Fred Schebesta and Frank Restuccia. Since launching in 2006, we’ve helped our users make more than 17 million decisions.

We continue to expand and launch around the globe, and now operate in the United States and United Kingdom. For further information visit www.finder.com.au.

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