Consumer group Choice has advised retailers to see the online shopping world as consumers do, as an opportunity and not as a threat. Choice welcomed the Productivity Commission’s draft report into the Australian retail industry, saying it supports arguments in the consumer group’s submission to the inquiry.

According to the consumer watchdog, with online here to stay, retailers have a real chance to expand their business well beyond their front door as well as providing another way for them to connect with their customers

“Never before have retailers had the tools to communicate so intimately with their customers. Many retailers have already embraced online. The risk for those that don’t is that they will fall behind and possibly become irrelevant,” said Choice spokesperson, Ingrid Just.

Choice supports the recommendation that the $1000 GST threshold for purchases from overseas sites be kept at its current level. It said the threshold should not be lowered until its collection is cost-neutral and the process made consumer friendly.

“The evidence shows that people don’t shop from overseas websites just to save 10%. Shoppers are finding savings far beyond that figure,” said Ms. Just

“Australians are also shopping online to access a seemingly unlimited range and variety of products which, for various reasons, are not sold locally. If they are, the price tag is often very high.”

Choice said some retailers who have embraced online technology are building relationships with their customers in ways that they haven’t been able to do before.

Some stores are using Facebook and their own websites to let customers have a say in designs before they are produced; some restaurants are using “check-in” functions on social networking sites to give special offers to their customers while they are in-store or close by while other stores are creating online communities that help provide feedback and engagement with their brand.

“More Australians are carrying smart phones, tablets and notebook computers with them everywhere they go, with innovative retailers designing integrated experiences to ensure their products and services are in sync with consumers’ needs and desires,” said Ms. Just.