Amazon in Australia: Not yet No 1

Australian consumers have yet to widely adopt Amazon shopping, according to a survey commissioned by digital experience platform Sitecore, with the e-commerce giant’s sales in Australia falling short of initial market forecasts.

Why it matters

A study finds that the Amazon juggernaut is not the first site Australians go to when shopping online and internet commerce players still have an opportunity to expand their share of the market if they can offer comparable levels of service and personalisation during the customer journey. 

Four findings

• The survey of nearly 3,000 Australian consumers showed only slightly over a fifth see Amazon as their first destination for online shopping. 
• One third of Australian shoppers end up on Amazon based on search results and 31% of consumers first shop around on other sites.  
• Despite the high trust and personalisation of Amazon’s shopping experience, 4 in 10 Australians would like to reduce the amount of shopping they do on Amazon.
• Gen Z in Australia are more likely to shop directly from brands online rather than Amazon – 75% vs 66% among the older generation. 

Key insight

The survey showed Amazon’s retail offering is seen as more tailored to consumers. Nearly one in three Australian consumers are finding Amazon’s shopping experience to be more personalised when compared with other retailers. On aggregate, Amazon shoppers in Australia would move to other retailers if they provided the same incentives, discounts and purchase experience as Amazon. 

Sourced from Sitecore