The Australian online group buying market has stabilised in Q3 2012 compared with the previous quarter with $117 million in revenue, according to research from Telsyte.
According Telsyte, the stabilisation comes due to the growth in travel deals, which account for 30 per cent of the total industry revenue in the period – a 60 per cent increase from the previous quarter. Travel has moved from being the fourth most popular group buying category to becoming the largest category of deals.
Telsyte senior research manager Sam Yip says nearly one in three group buying deals during the past quarter have been travel deals.
“Consumers are increasingly comfortable paying for higher value deals from group buying sites,” he said.
According to Telsyte research, the industry has put an end to the past three quarters of decline, indicating that the market stabilised in 2012.
“The stabilisation of the market has come at a great time – putting the industry in good stead leading into the holiday season,” Yip said
“Consumers have continued to purchase products and services through group buying sites and the industry is expected to sustain year-on-year growth.”
Telsyte forecasts the group buying industry to exceed $530 million revenue in 2012 – a 7 per cent increase over 2011.
“Group buying is here to stay and it is part of the natural evolution of the local eCommerce landscape,” Yip says. “Consumers continue to purchase through group buying sites and are becoming more comfortable doing bigger transactions through these sites. The average voucher purchase price has continued to grow.”