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Why Delivery Protection is the New Must-Have for Aussie eCommerce Retailers

Insights from the 2025 Australia Post eCommerce Report

We spend a lot of time thinking about what makes a great delivery experience because let’s face it, the delivery is the final moment of truth in the online shopping journey.

The newly released 2025 Australia Post eCommerce Report confirms what we’re seeing across the industry: delivery expectations are higher than ever. In fact, nearly 8 in 10 shoppers say their delivery experience directly impacts their overall satisfaction with a purchase. That’s huge. Even more striking? A massive 85% of Aussies across all generations say reliable delivery will be the #1 factor in deciding whether they trust an online retailer over the next five years.

Let that sink in. Not product quality. Not price. Reliability of delivery.

This shift in shopper mindset couldn’t come at a more important time. Australian eCommerce has hit a new milestone of $69 billion in online spending over the past year, a 12% jump from the year before. But interestingly, the average order value is now sitting at just $95*. That means people are shopping more often, but spending less per order. The result? More frequent deliveries happening right across the country which naturally increases the risk of things going wrong in the “last mile.”

We’re talking lost parcels, stolen packages from doorsteps, and items damaged in transit. As order volumes go up, so does the likelihood that something might go missing, and even a small issue can have a big impact on customer trust.

Add to that the pressure to offer fast, affordable delivery. Most shoppers now expect their parcels within 2–5 days, and more than half rate free shipping as their top preference. For merchants, that’s a tight balancing act: keep costs down, ship quickly, and somehow still absorb the cost when something goes wrong.

When your customers know their parcel is covered from your store to their door, they’re more likely to shop with confidence. And if something does go wrong, can you resolve it fast, without eating into your margins or losing that hard-earned trust?

As the eCommerce landscape continues to evolve, one thing’s clear: delivery protection isn’t just a nice-to-have anymore it’s an essential part of the customer experience. That’s where we come in!

We give eCommerce businesses an easy way to insure their deliveries against loss, theft, and damage helping protect their bottom line and their reputation.

Learn more about Parcel Protect, our delivery insurance solution.


By Bert Webster

*Source: Australia Post eCommerce Report 2025

National Transport Insurance is an equal joint venture administered on behalf of the insurers (CGU Insurance ABN 11 000 016 722 AFSL 227681 & Vero Insurance ABN 48 005 297 807 AFSL 230859) by its manager NTI Limited ABN 84 000 746 109 AFSL 237246.

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