Amazon finally opens door to Australian customers

Amazon finally opens door to Australian customers

Amazon finally opens door to Australian customers

Amazon Prime hasn't launched as yet, though Amazon expects it to launch here in mid-2018, but they are offering 1-day shipping to selected areas across Australia.

One of the biggest things to happen to Australia's retail sector, Amazon's website has switched over from a Kindle Store presence to its fully fledged Amazon.com.au, with millions of products now ready for eager Christmas shoppers across more than 20 categories. Some Kiwi players, like Trade Me, say Amazon's high-volume model might not suit our smaller market. Amazon has said that "customers can enjoy free delivery on eligible orders above $49 that are sold by Amazon".

Gartner research analyst Thomas O'Connor said that Amazon may not be able to provide all the products at a cheap price but would provide special discounts on some goods, and force existing Australian retailers to innovate to keep the customers loyal.

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The site will also give users access to Prime Video, Amazon's answer to Netflix.

A number of well-known Australian brands including Bonds, Puma, Lego, L'Oreal and Sonos have already started selling on the Amazon Marketplace. Globally, approximately 50% of Amazon's total units come from Marketplace sellers.

Country Manager of Amazon Australia, Rocco Braeuniger said Amazon plans to invest hundreds of millions of dollars in Australia and hope's to earn the trust of its Aussie customers.

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"It is hard to see otherwise than that Amazon's entry into Australia will be good for consumers, despite it not being good for incumbent retailers", Sims said, addressing the RBB Economics forum in late November.

While Amazon's launch is likely to shake up the retail environment, the fact that it has just one distribution centre for the entire country means, at first, the service will not be almost as comprehensive as the U.S. or United Kingdom version. "The result will be an ever-improving customer experience driven by the regular introduction of new products and services that we hope customers will love", Braeuniger added.

Currently Amazon Australia employs around 1000 people in its Dandenong South warehouse and corporate offices in Melbourne, Sydney, Brisbane and Canberra.

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The launch of the largest e-commerce store in Australia has expected to shake up the Australia retail industry as it would put pressure on department stores and retail chains.

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