Amazon has officially arrived in Australia ahead of the busy Christmas period and expanded its product range to 23 categories.
As of today, the Amazon.com.au website is now live, and is serviced out of a 24,000-square-metre converted warehouse in Dandenong South in Melbourne.
Although groceries are not currently on offer, the AmazonFresh high-speed grocery delivery business that currently operates in the US and the UK is believed to be also on the cards for Australian customers.
Amazon is offering delivery Australia-wide, free delivery on orders over $49, and in select areas, a $9.99 one business day delivery service, a move that is expected to boost competition from traditional retailers.
Australian Retailers Association (ARA) executive director Russell Zimmerman is upbeat, saying the e-commerce giant's third party retail offering, Amazon Marketplace, will provide local retailers with an additional revenue stream.
Moreover, Amazon’s Fulfilment by Amazon (FBA) program will enable Australian retailers to eliminate bottlenecks in their supply chain, according to Zimmerman.
“Amazon’s arrival means many things for Australian retail, it means growth, opportunity, and employment and the ARA look forward to seeing the retail industry thrive in 2018.”
Online sales currently account for more than seven per cent of total retail sales, and this is growing at five per cent annually, according to Zimmerman.
“With the advancement in digital technologies across the retail sector, we believe online retail sales will account for 13 per cent of total retail sales in the next five years.”
