Convenience & trust top price as key to online shoppers in 2025

A new study of Australian online shopping trends by Pattern has shown that product range, convenience, and trustworthiness are becoming key areas of competition for marketplaces as pricing pressures mount in 2025.

International tariffs are causing shifts in marketplace business models, with platforms such as Temu and Shein, previously known for ultra-low prices, now increasing costs. In certain markets, the price of goods like health and beauty products has risen by as much as 51%.

Merline McGregor, Managing Director for Pattern Australia, stated, "The days of marketplaces winning Australian consumers with ultra-cheap pricing alone are over. Although leading platforms like Amazon will continue to attract shoppers with competitive pricing, consumers are now making purchasing decisions based on factors like credibility, product variety and ease-of-shopping."

Among Australian consumers, convenience has become a major driver for marketplace loyalty. Amazon leads in this category, with 57% of shoppers considering it the most convenient platform for purchasing goods, a position attributed to its streamlined ordering process, rapid shipping, and integrated returns experience.

Despite increased recognition, Shein and Temu lag in convenience, with only 14% and 27% of shoppers, respectively, rating them highly. The research suggests that while aggressive marketing and discounts help these platforms attract first-time buyers, ensuring a seamless and trustworthy shopping experience is essential for repeat patronage.

McGregor highlighted the evolving nature of convenience, saying, "Convenience is more than just speed of delivery, it's about every touchpoint of the shopping experience, extending from intuitive search functions to reliable customer service and simple returns. Australian brands selling on marketplaces that deliver frictionless shopping experiences are more likely to secure both the first purchase and increase their chances of building customer loyalty."

With narrowing price differences, trust in product quality and returns processes has become increasingly important for shoppers. Amazon is recognised for product quality by 60% of Australian shoppers, and for reliable returns by 53%.

eBay is also viewed positively, with 42% of shoppers trusting its platform. In comparison, Kogan is trusted for product quality by 16% and MyDeal by 9%. Chinese platforms Temu and Shein face significant trust challenges, with only 12% and 11% of consumers, respectively, expressing confidence in their product quality.

McGregor commented, "In an increasingly competitive and regulated environment, trust is not an aspiration. Marketplaces must consistently deliver quality products, backed by hassle-free returns to build enduring customer relationships. We've seen a positive improvement in returns processes for all marketplaces, with only 3% of Australian consumers stating they do not trust any marketplace for reliable returns. This is a huge drop from 18% in 2024 and shows that all platforms are prioritising improving the customer experience in this critical area."

The study also examined product variety as a differentiating factor between platforms. Amazon is acknowledged by 60% of shoppers as having the largest range of products in Australia, particularly in areas such as electronics, home and kitchen, and sporting goods. eBay is recognised by 45% of respondents, especially for second-hand and collectible items.

Temu is believed by 32% of shoppers to offer the widest product range, with a significant 87% increase in consumers visiting the platform for its selection since 2024.

According to McGregor, "A broad and evolving product range is proving key for marketplaces to retain and grow their shopper base. Consumers are moving towards platforms that offer a one-stop-shop experience, and marketplaces that can deliver this effectively across multiple categories have a clear competitive edge."

The Pattern research indicates that while traditional advantages of low prices persist, lasting success for online marketplaces in Australia will increasingly rely on providing a comprehensive, convenient, and trustworthy shopping experience to consumers as competition continues to intensify.