Australia has changed in the last twenty years. Our population is older. We’ve added 6.8 years to our median age and 6.3 years to our life expectancy already. And there are eight million more of us. Household structures are changing. Marriages and births take place later and more babies are born than ever before. We are becoming increasingly sophisticated, have access to infinitely more information and are growing new expectations because of this.
Woolworths has completed a national survey into Australia’s current shopping habits including research by the leading social demographer, Mark McCrindle, and the Woolworths chair of innovation, Professor Jan Recker, at the Queensland University of Technology. The result is called The Future of Fresh, a report that builds a picture of how Australia will be shopping in 2034.
It identifies the emerging Generation Alpha, the grocery buyers of 2034. They began to be born in 2010:
- They will be the most educated generation Australia has ever seen. 90% are predicted to complete Year 12
- 1 in 3 Alpha shoppers will never have children. The couple only family will replace the Australian nuclear family as the most common household type.
Woolworths has also identified four main characteristics of shoppers twenty years from now:
I know exactly where my fresh food came from.
- Generation Alpha will look for a back-to-basics approach when it comes to buying fresh food
- They will want their fresh food to be local, and know where it came from will be an important factor in their decision to buy. Already 10% more Australians value locally-sourced produce than five years ago. This trend will continue to grow.
- The local produce sphere of influence will become smaller and supermarkets will sell more local food for local people.
- 61% of Australians are already concerned that the next generation of children won’t know where their fresh food comes from.
Technology will determine how I shop, and how I buy.
- Already, new families are 2.6 times more likely to shop online than the average Australian. Generation Alpha will rely on technology to buy food.
- The majority of all check outs will be cash free in 2034, with some outlets going completely card-free too with payments being made via chips embedded in mobile phones
- They will have most of their pantry and dry items delivered to their homes. In-store shopping will be reserved for fresh, hyper-local food.
I am part of a community.
- The local shopping centre will continue its evolution to become the new village green. 40% of Australians already consider their local shopping centre the place for ‘meeting up’ and being entertained.
My idea of value has changed.
- Price and discount has already gained a foothold. 68% of shoppers now actively seek out products on special. Value for money will continue to be a strong decider because cost of living and financial pressures will continue for Aussie families.
- Lifestyle, health and ethical considerations will all form the 2034 idea of value.
- Australians are already willing to pay at least 5% more for ethical products that minimise environmental impact. The percentage is higher among only younger Australians.
The full report also traces the changes that Woolworths has undergone to service an evolving Australia.
Tjeerd Jegen, managing director of Woolworths Supermarkets said, “As the Fresh Food People, Woolworths has a long term commitment to providing fresh, local and affordable produce for our 18 million weekly customers. As part of this commitment, we have had to evolve to meet the needs and tastebuds of a diverse and ever-changing Australia.
“This unique ability to look at how Aussies shop has enabled us to track the changing needs and wants of families over the past few decades and look at how this will change in the future. The Future of Fresh report provides a unique insight into the shopping experience of 2034, a fresh future we’re excited to be a part of with our customers.”
Read the Future of Fresh here:
