New Zealand's economy is recovering slowly, and e-commerce platforms such as Amazon are performing strongly

It is learned that according to the latest GDP data, New Zealand's economy has begun to recover slowly. Consumer spending grew by 0.8% for the second consecutive quarter, and e-commerce platforms such as Temu, Amazon and AliExpress performed strongly. However, New Zealand's retail industry faces huge challenges. According to some retailers, many stores are closing and the current situation is comparable to the most severe period in recent years.

Gareth Kiernan, chief forecaster at Infometrics, pointed out that e-commerce platforms such as Temu and AliExpress appear to be beneficiaries. Data shows that the proportion of low-priced goods in household consumption has increased by 20%, accounting for the largest part of consumption growth. As household budgets tighten, people are more sensitive to prices and encouraged to look for low-priced goods. Therefore, against the backdrop of a sluggish retail industry, shoppers are buying goods from e-commerce platforms such as Temu and AliExpress in an increasing proportion of their consumption activities.

New Zealand Post's recent e-commerce market report showed 17% of New Zealanders rated Temu as their most used e-commerce platform, and Amazon's product range in the New Zealand market is also expanding.

Chris Wilkinson, managing director of First Retail Group, said that in the current market, a large number of products are sold from China to New Zealand through direct sales channels such as Temu and Shein. Some consumers buy mainly for novelty, while others are solving the problem of tight family budgets, such as mothers turning to cheaper e-commerce platforms such as Temu and Shein to buy baby clothes. At the same time, people are more inclined to buy basic items needed for life and are cautious about luxury purchases.

In addition, Worldline data shows that despite the huge population growth, there was only one day in May when non-food retail spending exceeded the same period last year. This shows that New Zealand consumers are more inclined to spend on daily necessities, which also explains the boom in e-commerce.

Author✎ Summer/
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