Australian retailers “All-in” for online marketplaces as Amazon launches in Australia

A retailer survey released by retail management platform, Neto, has revealed that 95 percent of Australian online retailers plan to sell on Amazon Australia within the next 12 months. Within that cohort, a staggering 18 percent are predicting that more than 75 percent of their sales will come from Amazon and other online marketplaces in 2018.

The survey of more than 200 retailers was conducted over the past three days, just ahead of this morning’s much-anticipated launch of Amazon Australia, and asked retailers about intentions to sell on Amazon or other online marketplaces in 2018.

The results reveal that online marketplaces have become a key factor within Australian retailers’ growth plans, with 39% of retailers saying they will sell in as many marketplaces as possible in 2018.

The reason most commonly cited was the reach and popularity of marketplaces to ‘put them in front of more potential customers’.

Retailers are also bullish about the share of sales to come through online marketplaces. While 18 percent predicted more than 75 percent of their sales will come from Amazon and other online marketplaces in 2018, a more conservative 50% of respondents still predicted between 5-25% of total sales will come from Amazon and other marketplaces over the next 12 months.

“I’ve been consistent in my view that Amazon and online marketplaces are a strategic opportunity for retailers,” said Ryan Murtagh, CEO and founder of Neto. “The marketing machine that is Amazon and the quality of customer experience that Australian online shoppers will now demand and expect, is a great outcome for every retailer selling online. There is a huge amount of growth coming for Australian eCommerce and every retailer savvy enough to embrace the power of online and marketplaces such as Amazon will get a share of that growth.”

A number of Neto’s thousands of retailers are amongst the first to sell on Amazon through the Amazon Australia integration within Neto’s One- Touch Retail management platform.

Retailers such as Stuffed with Plush Toys and Cosmetic Capital are already selling products and managing Amazon Australia listings from the same dashboard they use for existing channels such as web-store, physical store or other marketplaces such as eBay. They are also able to manage inventory and control the products and quantities to be sold, as well as manage and fulfil orders directly from Neto.

Cosmetic Capital is excited to be involved in Amazon’s launch from day one. According to Danny Marcuson the Managing Director of Cosmetic Capital, retail is undergoing a significant transformation in Australia and the launch of Amazon brings an opportunity to expose their products to thousands of new customers.

“Conservatively, we’re hoping that Amazon will represent 15% of orders processed in 2018,” said Marcuson. “This comes from our experience with other marketplaces. Anything more will be a great bonus.”

“We’re on a mission to open a retailer’s store to customers no matter where they are. Integrating with Amazon Australia is just the tip of the iceberg, with more channel integrations to launch soon,” said Murtagh.



Business First is a peer-to-peer magazine: written by CEOs and other high level executives, with interviews with some of the country’s best leaders.


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