Australian shoppers are ready to embrace Amazon, survey reveals

AS GLOBAL giant Amazon plots domination in Australia, we now know how keen shoppers are to embrace it. It’s a scary picture for local retailers.

Amazon is coming to Australia. Picture: Kevork Djansezian

AMAZON looks set to be embraced by Australian shoppers when the e-commerce giant makes its bold move down under.

The results of a new survey paint a picture that should have traditional bricks-and-mortar retailers quivering in fear.

When the global company launches here in September this year, it is poised to shake up the local market with analysts predicting it could strip as much as $4 billion in sales from local retailers like JB Hi-Fi and Harvey Norman.

Now a Nielsen survey has revealed that three-quarters of Australians aged 18 and above are interested in Amazon Australia, while 45 per cent would sign up for a paid Amazon Prime membership to receive special deals, discounts and delivery perks.

Analysts have this week warned that JB Hifi must expand its online offering if it is to withstand the Amazon threat and maintain the double-digit growth that has set it on track to achieve an expected $206 million full-year profit.

Electronics, books and clothes were the most likely products to be bought from Amazon, the survey found.

Fresh meat and vegetables were not on the radar of most shoppers surveyed, suggesting that Australians were yet to be convinced of the benefits of Amazon Fresh, a new grocery shopping experience that integrates physical stores with online ordering — and has been a huge success in the United States.

Australian shoppers reveal what they want to buy from Amazon Australia.

Nielsen Omnibus research shows that Amazon’s US site converts 49 per cent of Australian visitors into sales — the fourth highest behind eBay (78 per cent), The Book Depository (74 per cent) and The Iconic (53 per cent).

The retailer’s appeal is expected to be skewed slightly toward younger age groups and male shoppers.

“Amazon’s arrival presents clear benefits to consumers with access to more diverse online retailing options,” the Nielsen report said.

“While still relatively small in this market, online shopping continues to grow from strength to strength. You only need to look at the development in shopping websites to see this playing out: customer experience, delivery options, and the general morphing between bricks and mortar online — with services such as Click & Collect.”

It comes as the e-retailer ramps up a local hiring spree ahead of its launch and retail veteran Gerry Harvey vows to go to war with the global behemoth on price, issuing a rallying cry earlier this month that he will not “lie down for Amazon”.

The report went on to predict that consumers would “continue to embrace the digital landscape for research and purchasing” expected retailers to make their online experience transparent, with “easy access to information”.

“Value, personalised customer experience and convenience will all be key to success,” the report said.

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