Aussies shoppers learn the hard way cheapest isn’t always best
Australian shoppers are no longer reaching for the cheapest product on the shelf, having realised that the most expensive purchase a household can make is the one they have to replace three months later, new data published by Mumpower Approved has found.
“Parents can’t afford to buy things twice,” Christie Nicholas, CEO of Mumpower, told nine.com.au.
Australian shoppers are no longer reaching for the cheapest product on the shelf iStock
“When budgets are tight, cheap isn’t a bargain if it breaks, fails, or needs replacing in three months. Paying for quality and trust is the ultimate household risk management.”
The consumer research group looked into how consumers around the country are feeling as the cost of living crisis continues to bite and looks to remain well into the festive season.
‘Paying for quality and trust is the ultimate household risk management.’ Julia Gomina
The results showed family budgets are stretch, with competing categories which often results in grocery costs being weighed against other household expenses, and tough decisions having to be made.
“In the next 12 to 18 months, brands aren’t just competing with their direct rivals, they’re competing with groceries, school fees and family dinners,” Nicholas explained.
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“Because of this, consumer trust is the primary conversion driver. Shoppers don’t have the luxury of trial and error. If a brand can’t give consumers instant confidence and prove performance and reliability upfront, parents simply won’t risk their hard-earned dollars.”
The hard numbers back up this consumer shift. The latest Mumpower Approved research surveying 2,391 Australian parents found that just one per cent put price ahead of trust.
‘Because of this, consumer trust is the primary conversion driver.’ Getty
In contrast, almost 60 per cent of parents reported that price and brand trust were equally important, while 40 per cent stated they would rather pay more for a brand they trust than save money on one they do not.
This presents an immediate reality check for businesses trapped in endless sales cycles.
“The finding that only 1 per cent of parents prioritise price over trust should be a massive wake-up call for retailers leaning solely on discount-driven marketing,” Nicholas said.
“Price drops don’t build confidence, and they don’t speed up the sale. What parents are telling us is that they would rather spend slightly more on a product they know will deliver, because repurchasing an inferior alternative drains both their wallet and their patience,” she added.
At the same time, better-informed shoppers are making it far easier for agile challenger brands to get their attention, the data found. Today’s customers frequently arrive at a retail store or website already armed with side-by-side comparisons, peer reviews, and AI-generated recommendations.
While heritage brands still hold an advantage in familiarity and reputation, that edge only holds if they remain relevant, innovative, and easy to choose.
Better-informed shoppers are making it far easier for agile challenger brands to secure a spot on the family consideration list. iStock
To capture the family budget, retailers need to adapt to what shoppers genuinely demand across five key areas: proving value instead of merely advertising price cuts, making trust visible, designing deliberately for the second purchase, mastering the new research journey, and refusing to be unoriginal.
‘Retailers chasing a discount race to the bottom are misreading today’s consumer.’ SDI Productions
“Retailers chasing a discount race to the bottom are misreading today’s consumer. Smarter, better-informed parents are calculating the true cost for them,” Nicholas explained.
“If you want to win family shoppers heading into 2027, stop shouting about price cuts and start proving longevity. When you show parents that your product prevents the frustration and expense of a second purchase, trust and loyalty naturally follow.”
