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FURTHER INFORMATION Shopping in the Electronic Age


Direct Marketing

This form of shopping markets products directly to consumers using various medians which include television and telephone:

  • in 1996 $6.32 billion was spent on advertising for direct marketing in Australia, whilst all other forms of advertising totaled $6.8 billion.

  • sales via direct marketing approximately totaled $10 billion in 1995.

Internet Shopping

A recent report by International Data Corporation (IDC) Australia into Internet commerce has highlighted the major growth area of the World Wide Web as an effective commercial median:

  • in December 1996, there were 606 757 users of the Internet: this has increased to 1.21 million by July 1997.

  • IDC estimates that 4.67 million Australians will be logging onto the Web by the year 2001.

  • in 1996, Internet users spent approximately $702 per user, whilst by the year 2001, IDC Australia predicts that this will increase to $6,250 per user.

  • 8.8 per cent of Internet users purchased goods and services via the Internet, whilst in the year 2001 it is predicted that 33.4 per cent of Internet use will be for the purchase of goods and services, according to IDC Australia.

Electronic Banking

Most major financial institutions now offer at least one form of electronic banking, which can be over the telephone or via the Internet:

  • the National Australia Bank reported that 750,000 people use their phone banking system per year.

  • the Commonwealth of Australia Bank estimates that per year 15,000 people use Internet Banking and 255 000 use phone banking.

  • Westpac reported that approximately 100,000 transactions are conducted per day via telephone banking.

Smart Cards

A number of trials have been conducted over the past few years involving different smart card technology:

  • Visa on the Gold Coast - this trial involved approximately 1000 retail outlets, as well as the major theme parks.

  • Mastercard in Canberra - this trial involved over 2000 consumers and 150 retail outlets

  • Quicklink in Newcastle - this trial was expanded to include Newcastle University, State Transport Authority and Newcastle Knights (football club) with approximately 17,000 issued to the community. This card had dual functions and could be used as a membership card in some circumstances.


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