Fifty-eight per cent of consumers said they would avoid brands that did not source products sustainably – up 10 per cent on last year.

After a year filled with consumer data breaches that compromised sensitive information from millions of Australians, consumers are also paying close attention to how brands hold and protect their data.

More than two-thirds of consumers told Mastercard they were more likely to buy goods from companies that showed they took data security seriously.

‘The idea of having a secure firewall and never being compromised, I think is naive.’

Richard Wormald, Mastercard

Wormald said data collection and processing had boomed in the retail sector as operators tried to work out how to best serve customers, but brands needed to be judicious about the information they kept.

“I don’t think there’s been the same level of focus to removing data that was no longer needed. We would say that one of the best data security measures to have is don’t have the data, delete it,” he said.

“The idea of having a secure firewall and never being compromised, I think is naive.”

While consumers on the whole remain bullish on spending despite rising costs, there are indications the rate of growth is slowing.

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UBS analysts noted this week that its survey of Australian shoppers showed consumers were still on the whole optimistic that spending would stay strong over the next year. However, that optimism is strongest among the highest earning Australians, but even this cohort is less “euphoric” about the outlook than it was last year.

“High-income earners remain most optimistic on spending, income growth, savings, home purchases, home renovations, travel and vehicle spending – albeit spending expectations [have] retraced significantly, which could disproportionately weigh on aggregate consumption,” the UBS equities team said in a note.

Australian retailers have also been tracking the rise of sustainable shopping over the past six months, noting a significant move towards sustainable consumption.

“Many Australians are researching purchases very carefully and purchasing intentionally and thoughtfully – researching online before going in-store. There is also a powerful shift amongst retailers and consumers towards sustainable consumption,” Australian Retailers Association boss Paul Zahra said late last year.

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