With a fall below parity with the American greenback over the weekend, and prophecies of further doom ahead for the Aussie dollar, the question yet to be asked is: “will online shopping take a hit?”
To begin, let’s look at the so called “fall” of the Australian dollar.
While the media spin seems to favor looking at the Australian dollar in its decline, what is actually happening is the strengthening of the US dollar against our currency.
The rise (again) of the US dollar
Confidence is blooming in the US economy as the US stock market, showing steady gains over the past few weeks, looks to leave behind its years in the slumps.
So, rather than the Aussie dollar dipping, this is really more about the US dollar coming back from the dead.
But will this consign the fate of online shopping?
My prediction is that we’ll be seeing plenty of articles in the coming weeks, sponsored by Australia’s retail giants, singing the demise of online shopping overseas.
And yet, nothing will happen.
Of course, as the currencies do balance out, savings will be tempered, but even so, online shoppers will still be saving 35-45% on their household goods, sporting equipment, and latest fashions. And that’s nothing to be sneezed at!
Price is not the only motivator
Quite simply, price is only one factor motivating the online shopper.
Shoppers who have experienced the customer-centric world of online shopping, with customer service the likes of which is unknown in these parts, along with the fabulous selections available to them, will be hard pressed to give up all these benefits because of the marginally less savings to be had.
Product choice and service are key considerations of online shoppers. Those who focus only on price and believe the changing position of the Australian dollar will lead to a mass exodus of shoppers from online stores, are not understanding the motivations of customers at all.
Kayla Barber is an online shopaholic and passionate advocate for Australian consumers. Her website Zangle.com.au highlights global stores offering great selections, outstanding user experience, and competitive pricing and shipping options.