Security & value drive Australians’ digital shopping

SOTI research suggests Australian shoppers weigh data security, trust and digital experience heavily when choosing where to spend, as retailers push more services through apps and connected systems.

The study, titled "Retail Tech Assessment: Opportunities for Enhanced Consumer Experiences," surveyed 1,000 consumers in Australia as part of a 13,000-person sample across 11 countries. It examined how shoppers use retail technology and what they expect from retailers' digital and in-store experiences.

The findings point to cautious consumers. Security concerns sit alongside cost pressures and an appetite for more technology-led shopping features, particularly those that shape the experience rather than just the transaction.

App engagement

Retail apps remain central to how many Australians shop. The research found 55% use apps for exclusive offers, savings and points. It also found 53% value app features such as faster checkout.

SOTI said the data indicates retailers have not seen the level of engagement growth they expected. The research pointed to a need for stronger reasons for customers to use digital touchpoints more frequently and in more parts of the shopping journey.

The report also highlighted augmented reality and visualisation as areas where retailers could place greater emphasis. It linked these tools to more immersive experiences and said retailers have not yet made full use of what is available.

"Most of the technology does exist, but it is not being leveraged properly. Consumers want experiences that feel more relevant and forward-thinking than what they are receiving today," said Michael Dyson, VP of Sales APAC, SOTI.

"Engagement and loyalty can deepen as this technology becomes more central to the retail experience. Secure and connected devices and apps are the starting point for building brand trust," said Dyson.

Value pressure

Economic conditions continue to shape shopping behaviour. The research found 86% of Australian consumers have taken cost-cutting measures. It also found 63% say economic factors have influenced their ability to purchase their usual items in the past 12 months.

Consumers also appear to scrutinise product origin more closely. The study found 33% now check where products are made or choose to buy domestically made products.

Retailers have invested heavily in services that sit across online ordering, store collection and home delivery. The report suggests customer expectations have tightened. It also suggests shoppers use digital tools more consistently across discovery, price comparison, purchasing and fulfilment.

"Consumers now know exactly when and where to find the best value, and they're using digital tools at every step of the buying journey," said Dyson.

The study also raised issues around the operational side of retail technology. It pointed to problems with real-time tracking and fulfilment, even as retailers seek smoother experiences across channels.

"Retailers are working hard to meet expectations for smooth, connected experiences, yet issues with real-time tracking and fulfilment highlight that some foundational supply chain processes still need strengthening," said Dyson.

Security focus

Security and privacy concerns emerged as a dominant theme across the Australian results. The research found 87% of consumers worry about data privacy or security issues when shopping online or in-store.

The report linked that concern to personal experience and to perceptions of risk after breaches. It found 42% of consumers have been victims of retail-related fraud. It also found 69% think twice before shopping with a retailer that has suffered a cyberattack.

At the same time, the report found consumer interest in technology-led experiences remains significant. It said 55% of consumers want to see more technology-enhanced shopping. The findings suggest retailers face pressure to expand digital services while also addressing anxiety about how customer data is handled.

"Finding the right balance between smarter, tech-enabled shopping and protecting consumer privacy has become critical," said Dyson, "Shoppers are open to personalisation, provided they trust how their data is managed. Maintaining that trust requires transparency and robust security, especially at a time when major brands are facing increasing cyber threats," he added.

Global sample

SOTI expanded the research to 11 countries. It included Italy and Spain for the first time. The full sample covered 13,000 consumers across the US, Canada, Mexico, the UK, Germany, France, Sweden, the Netherlands, Italy, Spain and Australia.

The report positions retail technology adoption as uneven, with customers aware of digital convenience but cautious about risks and sensitive to value. It also indicates that consumer expectations now span both front-end experiences, such as app features and in-store digital tools, and back-end performance, such as fulfilment accuracy and tracking.

"Most of the technology does exist, but it is not being leveraged properly. Consumers want experiences that feel more relevant and forward-thinking than what they are receiving today," said Dyson.