Reaching the Consumer in Australia

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Marketing Opportunities

Growing Sectors
Food, beverages, financial services, beauty and fitness care, tourist products.
Consumer Behavior
Australia has substantial liquid assets, a high standard of living, and a population among which there is a strong demand for high value added products from Asia, North America and Europe. Australia can also be seen as a pilot market. More and more companies who want to penetrate the American market use Australia as a test zone. Their investment is limited and modes of consumption are very similar.
Australians are attracted by wholesome, healthy products, and are prepared to pay more for these goods. As national production does not cover all their needs, consumers are receptive to imported products.
Deciding to buy is principally determined by the price factor in Australia. Nevertheless, at the same time, the Australians' increasing interest in quality, and the growing impact of fashion phenomena fuelled by the media and advertising make "authentic" products, brand names and top of the range goods particularly popular.
Consumer Profile and Purchasing Power
Australian consumers are known for being big spenders. Their purchasing power is particularly high and has grown by more than 43% in 15 years, between 1991 and 2006. Per capita income in 2008 is very high; 15 to 20% higher than in France. Household debt is also high but domestic consumption sustains the country's growth. Consumers are demanding, and more and more sophisticated and aware of European trends. They like new products and alternative ones, and are what is called "early adopters", fond of new technologies. Australians are concerned more and more with their health and the environment. Consequently, the demand for fresh and organic foodstuffs, environmental markets and products linked to energy saving are also on the increase.
Consumer Recourse to Credit
Australians resort to credit very often and the rate of household debt is one of the rare economic indicators which is regularly worrying.The younger generations particularly are victims of excessive debt in this country which has a culture of borrowing.
Consumers Associations
Choice , The Australian consumer association
ACCC , The Australian Competition and Consumer Commission

Media in Which to Advertise

Australia is among the 10 leading advertising markets in the world. Advertising on television has immense influence on Australian consumer behavior. Showing an advertisement during the games or popular series on TV early in the evening (Prime time between 6pm and 10pm) will reach the biggest numbers of viewers.

Main Televisions
ABC (Australian Broad. Corp.)
Ten Network Holdings Limited
Nine Network Australia
Prime Media Group Limited
SBS Corporation
Advertising published in newspapers helps the consumer make his decision about buying and informs him of special offers. It is influential because the reader can assimilate it in his own time. Australians are very exposed to newspapers and magazines. The country has the world record, in relation to its population, for the number of magazines published.

Main Newspapers
News Corp.
Even if a growing number of Australians are resistant to it, most consumers read the advertising put in their letter boxes and refer to it for their purchases, as it advertises the special offers in nearby stores, gives money-off coupons, etc..
In Transportation Venues
From billboards in the streets, on bus shelters, in metro or railway stations, advertising is appearing more and more on the means of transport themselves (taxis, buses, trains, trams and even airplanes). This type of medium has a great impact on consumers.

Market Leaders:
JC DECAUX Australie
Radio advertising makes it possible to reach a very wide audience. It is broadcast above all on local radio stations and also on AM. It promotes nearby stores particularly. Its impact is widespread even if listener ratings are tending to drop noticeably. There are 262 AM stations in Australia and 345 FM stations.

Main Radios
ABC (Australian Broad. Corp.)
Portal listing all AM and FM radio stations in Australia
Australian radio stations on-line
DMG Radio
New Technologies (E-Marketing, SMS, etc.)
Australia has several million regular Internet users connected via Broad Band. Banner adverts and pop-ups appear directly on websites. Advertising by e-mail is expanding but anti-spam legislation controls this marketing practice very strictly. M-marketing (advertising by mobile phone) remains limited. Telemarketing is well developed, but it is considered more as a disturbance than a service. It is also controlled by legislation which allows citizens to opt out of telemarketing telephone lists.

Market Leaders:
Australian Information Industry Association
Main Advertising Agencies
Advertising Federation of Australia

Main Principles of Advertising Regulations

Advertising alcohol is allowed.
Advertising tobacco is prohibited.
Advertising pharmaceutical products is allowed.
Other Rules
Comparative advertising is allowed but Australian legislation makes provision for severe penalties against misleading advertising.
Use of Foreign Languages in Advertisement
Using a language other than English in advertising is extremely rare but is allowed by the law.
Organizations Regulating Advertising
National regulatory organization
Australian Radio Industry National Body.

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Experts Views (2)
  • Market Maintenance

    These may be troubled times, but that’s no reason to shy away from doing everything you can to maintain your market share, writes Ian Murray

    Australian Institute of Export on 19 Apr 2010 related to Reaching the Consumer in Australia

  • Stretching Brands

    Events in the news, and examples of successful category branding in other countries, inspire Ian Murray to examine Australia’s attitude to single-desk marketing for exporting.

    Australian Institute of Export on 19 Apr 2010 related to Reaching the Consumer in Australia

Events (1) Go Top
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  • Australian Institute of Export

    International Trade Training, Australia