Australian consumers say their tolerance for poor business communication has decreased since the pandemic and are willing to blacklist local businesses who don’t cater to their habits and preferences, according to research from Podium.
The Business-to-Customer Communications Report, which sought to understand what consumers want from local businesses post-pandemic, reveals that convenience trumps cost, with over half of respondents willing to pay more for convenient communication with local businesses.
Almost half (48%) of Australians say as a result of the pandemic and the digitisation of businesses, they have less tolerance for local businesses that don’t offer easy, convenient or customer-friendly means of communication. More than half (57%) would be less likely to engage with a business if the channel was inconvenient, while 55% would choose a business that offered convenient communication options, even if it was more expensive.
Dave Scheine, country manager for Australia at Podium, said: “Australia is home to millions of innovative local businesses, but in a saturated market it’s not easy to compete on price or product.
“As global economic headwinds circle, and Australian households become more cautious about their discretionary spending, every lead, interaction and sale takes on added significance for local businesses. Those who recognise how their audience is changing, then cater to their habits with convenient communications strategies, will be better placed to succeed.”
The average Australian spends almost two hours (119 minutes) a day on their smartphones, with one in four spending at least three hours, and half of Australians (49%) say that businesses that use SMS to communicate appear more professional than those that don’t.
It comes as the most convenient channels for consumers change. Three-quarters (76%) of Australians say they’re reliant on SMS reminders to manage their day-to-day life tasks, while 69% say an SMS reminder has saved them from missing an upcoming appointment. Almost half (46%) of Australians have deleted an email from a business without opening it in the last 24 hours, while almost two-thirds (62%) have ignored an unsolicited call from a business in the last week.
Other insights from the research include:
- 73% of Australian consumers blacklist businesses that spam them with regular or inconvenient marketing;
- 70% prefer speaking to local businesses with a human presence rather than one that uses bots or AI;
- 50% would much rather communicate with a business via text or online chat than phone call;
- 36% believe local businesses still don’t understand their preferences as a consumer.
The full report, including state-by-state breakdowns, can be viewed here.
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