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Emarsys report: The Global Consumer Products Engagement Report Australia Edition

The Global Consumer Products Engagement Report – Australia Edition, developed in collaboration with SAP Emarsys and Deloitte, explores how brands are navigating the rapidly evolving Engagement Era. Based on research conducted by Opinium among 14,000 global respondents and 750 senior marketers—including 2,000 consumers and 100 marketing decision-makers in Australia—the study examines emerging trends, priorities, and challenges shaping customer engagement strategies for 2025.

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The Global Consumer Products Engagement Report – Australia Edition, developed in collaboration with SAP Emarsys and Deloitte, explores how brands are navigating the rapidly evolving Engagement Era. Based on research conducted by Opinium among 14,000 global respondents and 750 senior marketers—including 2,000 consumers and 100 marketing decision-makers in Australia—the study examines emerging trends, priorities, and challenges shaping customer engagement strategies for 2025. Data was collected between February 3–28, 2025, across enterprise-level businesses and consumers, ensuring robust insights into both marketer and consumer perspectives

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The Australian consumer products (CP) landscape is undergoing rapid transformation. As inflation, supply chain disruptions, and evolving consumer expectations redefine the market, engagement—not just advertising—is emerging as the true differentiator. This report provides a deep dive into how brands can thrive in this new reality.

1. The Shift to the Engagement Era

Traditional marketing methods are no longer enough. Brands are moving toward omnichannel engagement, requiring connected data systems, real-time personalization, and AI-driven automation. Engagement is no longer about reach—it’s about building authentic, ongoing consumer relationships.

2. Marketer & Consumer Perspectives

• 79% of CP marketers say they must significantly transform their engagement approach in 2025.

• 82% believe AI is essential for acquiring new customers.

• Only 47% integrate customer engagement data into operational systems, though many plan to improve this.

• From consumers’ side:

  • 58% of Gen Z don’t care about brands as long as the product meets their needs.

  • 85% of consumers have cut spending, with notable shifts toward own-label alternatives.

  • 76% are put off when brands collect data without explaining its use.

3. The Top 5 Trends Shaping 2025

1. Consumers are harder to engage and retain

   • 63% of marketers say predicting consumer behavior is harder than ever.

   • 60% of consumers have switched to cheaper private-label options.

2. AI drives personalization and innovation

   • 82% of marketers view AI as critical for new customer engagement, but only 7% of consumers see AI as adding value unless it leads to better deals or personalization.

3. Channel volatility and diversification

   • Consumers prefer email, websites, and apps for interaction, but marketers prioritize social ads.

   • 63% of marketers are preparing for a TikTok ban.

4. Pushback on “dark data”

   • 84% of consumers want clear data privacy policies.

   • 53% of marketers admit to collecting data they don’t use effectively.

5. Gen Z reshapes spending

   • They drive digital-first engagement, relying on social commerce and mobile apps more than any other generation.

4. Engagement Priorities for 2025

• Marketers’ top goals:

  1. Increase engagement across existing channels (52%)

  2. Improve loyalty and retention (48%)

  3. Deliver new customer experiences (44%)

• Consumers’ top asks:

  1. Personalized deals (38%)

  2. Loyalty schemes (34%)

  3. Transparent communication (20%)

The gap between these priorities underscores the need for data-driven personalization and value-based engagement strategies.

5. Barriers to Engagement

• Data accessibility: 70% of marketers can’t access real-time data.

• Technology investment: Lack of tools remains the biggest roadblock.

• Personalization gap: Only 36% of marketers feel effective at personalization, while 59% of consumers disagree with current brand efforts.

6. Key Investment Areas

• AI-powered engagement (48%)

• Omnichannel strategies (36%)

• Customer loyalty programs (29%)
  Personalization and AI stand out as the ultimate differentiators in 2025.

7. Strategic Recommendations

• AI Integration: Use AI for predictive analytics, personalization, and content automation, paired with human oversight.

• Connected Data: Break down silos; integrate CX, ERP, and marketing data for real-time insights.

• Omnichannel Flexibility: Be ready for shifts in social media, voice commerce, and immersive shopping.

• Advanced Personalization: Move beyond product recommendations toward personalized experiences throughout the customer journey.

• Measurable Impact: Build dashboards to link engagement strategies directly to revenue and customer lifetime value.

Australian CP brands face unprecedented challenges—but also unique opportunities. The winners of 2025 will be those who invest in data integration, AI, and personalized omnichannel engagement, all while respecting consumer privacy and delivering clear value.

Source: Emarsys