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Younger kiwis most shop at The Warehouse, Kmart

16 Nov 18

Younger kiwis most shop at The Warehouse, Kmart
Kmart - 68 in every 100 young adults regularly shopping there

The Warehouse and Kmart are the most used retailers among younger New Zealanders.


A Horizon Research survey finds 71% of 18-24-year-olds are regularly shopping at The Warehouse and 68% at Kmart.


The Warehouse’s grip on the younger adult shoppers is slipping – down from 79% in 2017.

K-mart is down 1% in the past year.


The next most shopped at by younger Kiwis is Farmers (44%, up from 35% in 2017) followed by Noel Leeming (24%, up from 22%).


Briscoes, Mitre 10 and Z Energy have suffered falls in the past year.


Which of the following retail stores do you regularly shop at?

18-24 years

2018

2017




Briscoes

13%

20%

Farmers

44%

35%

Harvey Norman

20%

17%

Hanna’s

6%

9%

ITM

2%

3%

Kmart

68%

69%

Mitre 10 (including Mitre 10 Mega)

13%

18%

Noel Leeming

24%

22%

Rodd and Gunn

3%

2%

Smiths City

4%

5%

Z Energy

19%

21%

Warehouse

71%

79%

I don't really do much shopping

16%

12%

Another large retail chain (not grocery)

7%

11%




N (unweighted)

504

460


 

Loyalty scheme leaders


AA Smartfuel commands the largest loyalty scheme membership among 18-24-year-olds.

39% of this age group are members, up from 34% in 2017.


One Card is second with 37% (down 3% on 2017), Air NZ Airpoints is third with 31%, enjoying significant growth from 22% in 2017). Its New World Club Card competitor has 28% (up from 23% in 2017).


Farmers and Fly Buys are fourth largest with 30%. Farmers has made a major gain from 24% last year, while Fly Buys market share is stable.


Which of the following reward/loyalty programmes or customer mailing lists are you a member of?

18-24 years

2018

2017




AA Smartfuel Programme

39%

35%

Air NZ Airpoints

31%

22%

American Express Membership Rewards

1%

0%

ANZ Airpoints Visa

3%

4%

ANZ Cashback rewards

2%

2%

ASB True Rewards

3%

4%

Farmers Club

30%

24%

Fly Buys

30%

30%

Hannahs

3%

3%

Mobil Smiles

10%

0%

Mitre 10 (including Mitre 10 Mega)

2%

2%

MyCoke

5%

7%

New World Club Card

28%

23%

Noel Leeming

6%

5%

Onecard

37%

40%

PB Tech

3%

4%

Qantas ANZ Visa

0%

0%

Qantas Frequent Flyer

1%

2%

Rodd and Gunn Loyalty Club

1%

1%

Z Energy Card

5%

4%

The Warehouse

9%

10%

Velocity Frequent Flyer

0%

2%

Westpac Hotpoints

1%

2%

Another reward/loyalty programme

3%

2%

I am not a member of any reward/loyalty programme

22%

20%




N (unweighted)

488

456


Out of touch?


However, the research also finds retailers and loyalty schemes may be out of touch with what younger New Zealanders really want.


64% say retailers and loyalty schemes they use only somewhat or mostly don’t or definitely don’t know what they want, at what prices and when.


28% say the retailers and schemes definitely or mostly know what they want.


Do you feel the retailers and loyalty programmes you use know what you really want, for what prices and when?

18-24 years

2018

2017




Definitely

6%

8%

Mostly

22%

27%

Somewhat

45%

43%

Mostly not

16%

12%

Definitely not

3%

4%

Not sure

8%

7%




N (unweighted)

491

454


Huge potential to increase sales?


The results indicate retailers and loyalty schemes may have huge latent potential to increase sales and loyalty by understanding just what their customers really want to buy.


Horizon says between 30% and 80% of various loyalty schemes’ members would tell retailers and schemes what they want if they were asked.


The nationwide survey using Horizon’s HorizonPoll panel, represents the 18-24 adult population at the 2013 census. At a 95% confidence level, the maximum margin of error is +/- 4.4%.


For further information, please contact


Graeme Colman, Principal, Horizon Research Limited

E-mail: gcolman@horizonresearch.co.nz

Telephone: +64 21 848 576