Global online store Amazon is set to finally open up shop in Australia next week, and shoppers have been giving local retailers good reason to be shaking in their boots.
Rallying their support behind the international store, Australians have taken aim at major local chains – saying they’ve been getting ‘ripped off’ for far too long.
With shoppers hoping for better customer service, faster delivery and a wider range of options, it seems Amazon couldn’t arrive Down Under any sooner.
Australians have blasted local major chains online ahead of Amazon’s official launch next week
Future Amazon shoppers have been giving local retailers good reason to be shaking in their boots
Australians have taken aim at major local chains – saying they’ve been getting ‘ripped off’ for far too long
Future customers have taken to Twitter to pledge their allegiance to the online store, openly admitting to their plans to one day boycott Australian giants for good.
‘So glad that @amazon is coming to Australia time to show the likes of Harvey Norman and others that we are sick of your crap!! #REVOLUTION,’ one impassioned social media announced.
‘I’m hoping that @amazon’s launch in Australia will totally decimate Harvey Norman and Gerry’s Harvey’s refusable to adapt his business model. I won’t support a store that lobbied for a sales tax on internet purchases – I’m looking at you Gerry!.’
‘@BaramulStud (Gerry Harvey) still dangerously out of touch with reality of what shoppers want and what is already a reality for millions in the US get from Amazon, much better service than any retailer I’ve dealt with in Australia and fast delivery! #amazon #retail.’
Several Twitter users took aim at Harvey Norman for being ‘out of touch’ with its customers
Hundreds have taken to Twitter to pledge their allegiance to Amazon and voice how unimpressed they are with Australian retailers
Another echoed similar thoughts and couldn’t wait to splash their cash on a reliable delivery service.
‘Hoping #amazonaustralia improves customer service here. #target took 10 days to deliver an item – just 6km from Brisbane CBD.’
Plenty more chimed in, some claiming to have already witnessed Amazon’s effect on the Australian market.
‘Already seeing impact of having Amazon in Australia. Other retailers are being forced to up their game to remain competitive. This is a good thing.’
Some claimed to have already witnessed Amazon’s effect on the Australian market, slamming retailers for being a ‘rip off’
‘Large Australian chains/retailers without modern online strategies sulking about the incumbent launch of @amazon in our country is laughable, you’ve had ample time to be prepare . Seems reminiscent of the taxi industry complaining when @Uber came into the market #amazonaustralia.’
Others haven’t been fooled by changes in local retailer trends, with some waiting patiently for the competition to drive down prices and raise service standards.
‘I love seeing what all the big australia company’s are doing to take on amazon lmfao.’
‘Let the #retail games begin. It’s time to beat #market monopolies in #Australia. Competition can only be good for the #Customer. Welcome @amazon.’
Many Australians have been waiting patiently for the competition to drive down prices and raise service standards
When Amazon officially launches its Australian website next week, major electric appliance, clothing and cosmetic retailers could be in for a shock.
The global e-commerce behemoth is predicted to snatch a large chunk of the retail business from Australian giants Harvey Norman and JB Hi-Fi, David Jones and Myer – after it’s ‘soft launch’ on Friday.
At least 60% of Amazon’s revenue is expected to be made up by electronics, clothing and cosmetics by 2023, and the company is expected to significantly ‘accelerate’ Australia’s online shopping market, new UBS research revealed.
At least 60% of Amazon’s revenue is expected to be made up by electronics, clothing and cosmetics by 2023, USB research revealed
The global e-commerce behemoth is predicted to snatch a large chunk of clothing and shoe business from Australian stores like Myer and David Jones
The financial services company revealed more than half of surveyed Australian shoppers would be spending their money on Amazon, as a desire for more – and better quality – online stores still exist.
More than 40% said they’d ramp up their online spending once Amazon’s full website was in action, despite small volumes and limited amounts of product expected to be available initially.
While most still prefer an in-store experience over buying online, particularly when wanting to touch a product or seek advice, Amazon will likely accelerate Australia’s major shift to online shopping – much like it did in Italy, Spain and Mexico.
Not all is lost for Australian stores however, with analysts reporting a huge drop in market share of international online stores in recent times when local retailers amped up their online presence.
At least 60% of Amazon’s revenue is expected to be made up by electronics, clothing and cosmetics by 2023 USB research revealed
While most still prefer an in-store experience over buying online, Amazon will likely accelerate Australia’s major shift to online shopping
Amazon is expected to significantly ‘accelerate’ Australia’s online shopping market
Stores like Baby Bunting, Supercheap Auto and the big supermarket chains are among those expected to dodge Amazon’s disturbance to Australian business.
While shoppers are still expected to swarm to large malls long into the future, high-street and boutique retailers have a grim path ahead, UBS says.
UBS also predicts the global company will encourage shoppers to price check online before heading in-store, creating a sense of ‘customer empowerment’, Sydney Morning Herald reports.
Stores like JB Hi-Fi (pictured) have tough times ahead, with Amazon expected to cause serious disruption to its business with customers predicted to chase bargains with the global giant
Major electric appliance retailers, like Harvey Norman (pictured) could be in for a very rude shock when Amazon launches in Australia next week
Supercheap Auto is clear of the wrecking ball heading towards Australian business in the face of Amazon’s launch
While Amazon Australia’s launch was predicted to be the ‘biggest shake-up in retail in a generation’ – customers were faced with mark-ups of almost 1000% during its ‘soft launch’ on Friday.
Tech products were on sale for prices up to ten times more than local retailers like JB Hi-Fi and Harvey Norman.
Logitech surround sound speakers were being sold by Amazon for $504, while the same speakers could be bought for $369 at Kogan or $397 at Harvey Norman.
Baby Bunting is also clear form destruction, with shoppers still likely to make baby-related purchases in-store
Amazon Australia’s launch was predicted to be the ‘biggest shake-up in retail in a generation’ – but instead customers were faced with mark-ups of almost 1000%
Logitech surround sound speakers were being sold by Amazon for $504, while the same speakers could be bought for $369 at Kogan or $397 at Harvey Norman
The biggest mark-up appeared to be a laptop bag made by software company HP, which Amazon had on sale for $267 compared to JB Hi-Fi’s $29.95.
While the Olympus Tough TG5 camera was marketed as $796 by the online giant, despite retailing for just $598 at Harvey Norman.
Analysts from Deutsche Bank said Amazon’s soft launch would ‘undoubtedly have been disappointing’ and confusing for customers expecting a full catalogue.
‘Entire categories such as televisions, mobile phones, and grocery segments such as hair-care were missing,’ analysts for the bank wrote, reported Business Insider.
While the Olympus Tough TG5 camera was marketed as $796 by the online giant, despite retailing for just $598 at Harvey Norman
The biggest mark-up appeared to be a laptop bag made by software company HP, which Amazon had on sale for $267 compared to JB Hi-Fi’s $29.95
‘Searches for Apple products such as iPhones, or Sony does not produce the hardware results we intended (the results would mostly be books). Indeed, we observed a number of anomalies on Amazon’s Australian website.’
However, Amazon managed to out-price their competitors with some items, including a $1,289 Yamaha surround sound bar that was $200 cheaper than Harvey Norman’s offering.
And while the Brother PT-E110VP label printer was more expensive than the same one offered at Officeworks, an Epson Workforce printer was 21 per cent cheaper.
| Item | Amazon | JB Hi-Fi | Harvey Norman | Officeworks | Alternative Retailer |
|---|---|---|---|---|---|
| Logitech Surround Sound Speakers Z906 | $504.47 | $399.00 | $397.00 | $478.00 | $369.00 |
| Olympus Tough TG5 Camera | $796.13 | 599.00 | $598.00 | N/A | $599.95 |
| Epson Workforce WF-2750 Printer | $150.22 | $128.00 | $178.00 | N/A | $182.25 |
| Yamaha Sound Bar YSP-2700 | $1,289.00 | N/A | $1,496.00 | N/A | $1,399.00 |
| HP Value Top Load Laptop Bag | $267.95 | $29.95 | N/A | N/A | $40.90 |
| Brother PT-E110VP Label Printer | $103.25 | N/A | N/A | $99.00 | $86.93 |
| Source: Business Insider | |||||
Amazon did manage to out-price their competitors with some items, such as a $1,289 Yamaha surround sound bar that was $200 cheaper than Harvey Norman’s offering
The ‘soft launch’ of Amazon Australia began with promises the marketplace giant would forever change the face of shopping in this country.
The ‘internal testing phase’ was limited to a small number of customers who were able to order from the local site, with the full launch expected on Friday.
Despite the hype, Amazon Australia’s website still looked the same on Friday afternoon as it has in recent years.
The home screen remained as the Kindle book store, with avid buyers unable to access the new products.
The ‘soft launch’ of Amazon Australia began Tursday with promises the marketplace giant would forever change the face of shopping in this country