Despite a couple of premature starts, Amazon finally launches in Australia. This will certainly mean a big shake up to the retail industry. This e-commerce retail giant is expected to turn in over $200 million in sales before Christmas (that’s in just 3 weeks).
Although they had an untimely start on Black Friday, the online juggernaut is thought to achieve a more successful launch this time. They will be releasing millions of different products to suit any Australian. The categories include clothing, beauty, electronics and homewares.
One of the main reasons everyone is so obsessed with Amazon is their low prices. They are offering up to 30% discounts on major brands. With discounts like these, why would people want to shop anywhere else?
To sweeten the deal even more, the e-commerce business will be offering one day delivery to any customer who is located in a number of the major cities in Australia for just $9.99.
This means that even if you forget to purchase someone a gift for Christmas, you can still get them something at the last minute (and the shipping won’t cost more than the actual product)!
To ensure Amazon can meet its promise of one day delivery, it will be using a warehouse in Melbourne to fulfil any orders. This distribution centre is brand new and fitted with the latest technology to ensure the process of getting products to consumers is a smooth as possible.
Amazon is also been reported to have purchased over 2 hectares of land in Smeaton Grange, New South Wales. With two sizable pieces of land in the pockets of Amazon, it is clear to see that their entry into Australia’s market is a lot more aggressive compared to that of other countries.
The e-commerce giant obviously sees a gap in the Australian market and experts are suggesting that it is likely that Amazon will take over about a quarter of the sales in the e-commerce market. This has raised many concerns with other retailers, who are already struggling in the current market.
It will be interesting to see how Amazon actually preforms in the Australian market, and just how much impact this will have on other retail businesses.