Amazon launches in Australia to great fanfare

Amazon’s Australian arm has finally launched – offering customers the chance to snap up deals just in time for Christmas.

Initially thought to be launching ahead of Black Friday, Amazon said it would start taking orders on Tuesday, ending speculation about the timing of its launch in Australia and likely dashing hopes of a holiday boost for struggling brick-and-mortar rivals.

The global retailer said it would offer free shipping nationwide for purchases over $49, with millions of products available from clothes to sporting goods to consumer electronics.

 

Amazon’s Australian arm has finally launched on Tuesday – offering customers the chance to snap up deals just in time for Christmas.

Deals available on the website include a 32′ Samsung Smart TV for $608.20 and a Kindle E-reader starting from $109.

Gamers can get their hands on a Nintendo Switch console for $399 and the new FIFA 18 game for PlayStation is available for $39.

A VS Sassoon hairdryer can be snapped up for as little as $25. 

However, some of the products on Amazon were found to be much cheaper at rival retailers. 

Deals available on the website include a 32' Samsung Smart TV (pictured) for $608.20

Deals available on the website include a 32′ Samsung Smart TV (pictured) for $608.20

Gamers can get their hands on a Nintendo Switch console (pictured above) for $399

Gamers can get their hands on a Nintendo Switch console (pictured above) for $399

A 65″ Samsung QLED Series 7 TV was offered for $5,999 on Amazon, but on JB Hi-Fi’s website, the same television is on sale for just $3,996.

Amazon are offering a Chanel perfume trio for $199, but on department store David Jones’ site, the same set is offered for $139. 

Amazon didn’t say what time of day it would begin taking orders from its Australian warehouse, except to say it would be on December 5.

Amazon customers can get a Kindle E-reader starting from $109 and FIFA 18 for PS4 for $39

Amazon customers can get a Kindle E-reader starting from $109 and FIFA 18 for PS4 for $39

A Disney Cars gift set is priced $55 on the newly-launched Amazon Australia website

A Disney Cars gift set is priced $55 on the newly-launched Amazon Australia website

A VS Sassoon Styling Kit can be snapped up for less than $25 on Amazon Australia

A VS Sassoon Styling Kit can be snapped up for less than $25 on Amazon Australia

It also did not comment on any last-minute problems from an order-taking trial which began on November 23.

Under the free delivery offer, Amazon said it estimated delivery times as short as three business days in the cities of Sydney, Melbourne, Brisbane, Adelaide and Canberra – home to half the country’s population – while shipping to remote areas could take 10 days.

Shoppers could pay a fee for faster shipping times.

Amazon said it planned to offer its rapid-shipping subscription service, Prime, in mid-2018, in a sign it is unperturbed by the geographic challenge posed by one of the world’s most sparsely populated countries. Australia is the size of the mainland United States, with one-thirteenth its population.

The move establishes the US giant as an aggressive presence in the sluggish Australian retail sector, just as shopkeepers were hoping for a rush of sales over the important Christmas holiday season.

'Are you ready to make a difference?' a sign at Amazon's fulfillment centre in Melbourne said

‘Are you ready to make a difference?’ a sign at Amazon’s fulfillment centre in Melbourne said

Amazon’s Australia country manager, Rocco Braeuniger, said in a statement the U.S. company would ‘earn the trust’ of Australian shoppers and, over time, create ‘thousands of new jobs’.

Australia has long been home to Amazon-registered sellers, but until Tuesday they were limited to sending goods offshore because the Seattle conglomerate did not have a warehouse in the country of 24 million people. 

This also meant Australians had to wait longer times, and pay higher fees, for shipping.

The company has now set up a massive distribution warehouse on the outskirts of Melbourne city, on the country’s east coast where four-fifths of the population live, and the company hopes to cut delivery time to as little as a day.

The  online retailer will offer one-day delivery to customers in major Australian cities

The  online retailer will offer one-day delivery to customers in major Australian cities

Australian retail shares have fallen sharply since Amazon confirmed plans for the country in April. 

Shares of top department store operator Myer Holdings Ltd are down 30 percent since that time.

Myer has been shutting stores and ramping up online sales, and last month it halved its three-year target for growth in sales per square metre. 

Its online sales leapt 68 percent in the 13 weeks to Oct. 28, but remained only a tiny fraction of its total revenue.

Shares of No. 1 electronics retailer Harvey Norman Holdings Ltd are down 7 percent since April, while smaller JB HiFi are off by 6 percent amid fears of competition from Amazon. 

 



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