NZ Post’s latest eCommerce Market Sentiments Report, now in its ninth year, highlighted changing online shopping attitudes and behaviours, as well as the importance of what happens after the customer hits the ‘pay now’ button.
Kiwi shoppers made nearly six million more online transactions in 2025 than in 2024, a six percent increase that outstrips the two percent increase in traditional in-store spending.
Online transaction growth was similar across domestic and international retailers, but spending with New Zealand-based businesses grew at more than double the rate of international online spending. Over a quarter of shoppers cited NZ-based store, delivery visibility, and easy returns as key reasons for choosing a specific retailer.
While offshore retailers continued to grow transaction volumes, New Zealand retailers achieved larger average order values, over NZD 50 higher per basket, and accounted for 79.6 per cent of all online spending.
The average online transaction value grew by four percent to NZD 120, while domestic basket sizes rose by five percent and international basket sizes fell by one percent.
The reasons people cited for international shopping have intensified around price and value, together with product choice. Domestic spending was driven by faster shipping, local service, easy returns, the desire to support local businesses, and the ability to visit a local store.
Key online shopping insights
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Seeking value is now the default mindset
It's a buying habit that is the starting point for almost every purchase decision. Finding value involves multiple actions to weigh up what they’re getting for their money.
Value isn’t the same for everyone, and it’s not just about price. While 66 percent are looking for discounts, 41 percent are actively comparing and switching products and retailers, and 27 percent are seeking benefits and incentives.
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AI is the new front door to online retail
Generative AI is quickly emerging as a powerful new layer in how shoppers search, compare and decide where to buy. The rise of platforms like ChatGPT, Copilot and Gemini is making AI-driven research mainstream.
Forty percent of Kiwi shoppers have already used these tools, while the remaining 60 percent say they have not, but have probably unknowingly engaged with AI-powered search functions.
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Local retailers win when confidence matters most
Shoppers are making conscious, value-based decisions, choosing trusted, nearby retailers who deliver confidence, quality and transparency, especially for higher-priced items.
They also choose local when receiving the product; quicker is important, with 52 percent preferring local retailers, 35 percent have no preference, and 13 percent prefer overseas stores.
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Shoppers move across channels to stay in control
Shopping is now a fluid, cross-channel experience; not a choice between online and in-store, but a combination of both.
Only 8 percent of shoppers suggested they use only one channel. 62 percent of shoppers said they browse online before going in-store, 30 percent buy online and collect in-store, and 26 percent browse in-store and buy online. Shoppers don’t see channels; they see one brand.
NZ Post General Manager Business Chris Wong said that while searching for value has now become the starting point for almost every purchase decision, shoppers have been increasingly looking for signs of legitimacy and reassurance before hitting ‘pay now’.
“With cost pressures, international competition, scams and fast-emerging AI tools all altering the online landscape, retailer trust and transparency have emerged as important factors in Kiwi shoppers’ buying decisions. More than half of shoppers search for independent reviews, external ratings, or real shopper feedback before purchasing,” said Wong.
He added that they also look for other signs of a legitimate business, including a physical address, a social media presence, and a delivery partner. For retailers, this presents an opportunity to drive customer loyalty and growth by combining machine efficiency with human authenticity and a stand-out delivery experience.
“Shoppers are leveraging generative AI to search, compare and decide where to buy. They’re also moving seamlessly between online and in-store experiences, using each for what it does best.”
Retailers who are visible to AI, easy to find and trust, offer quality, and can reliably deliver to their customers will be well-positioned for growth when consumer confidence returns.
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