How Businesses Can Sell on Amazon Australia

Amazon has come a long way. The e-commerce platform operates in 14 worldwide marketplaces and has become one of the world’s largest online retailers. In December 2017, Amazon was launched in Australia and became one of the most used e-commerce platforms in the country. Amazon’s success in Australia owes in large part to increased online shopping, population growth and the country’s isolated geographic location.

Currently, this multi-billion dollar business now has two warehouses in Australia. Countries such as the United States, the United Kingdom, China, Hong Kong and Canada, are the preferred destinations for Australians to make cross-border purchases, an interesting opportunity that executives looking to do business in Australia ought to consider.

Should your business consider selling on Amazon Australia? 

Man using his tablet to buy products in Amazon Australia.
In 2017, Amazon was launched in Australia and became one of the most used e-commerce platforms in the country.

Online shopping is big in the United States and it is still somewhat establishing itself in Australia. US Amazon accounts for 50% of all e-commerce operations, while online shopping in Australia makes up just about 9% of total retail sales.

The Australian marketplace is a great opportunity to build a foundation for long term sales. Think about the goldmine in reviews waiting to be acquired over time for multiple products. This can help distinguish yourself as a reputable seller from the competition once you establish your business.

This will not make you an instant millionaire, however, with a carefully planned strategy, you will reach success in the years to come. If you want to build a strong long term business, then selling across a number of Amazon marketplaces would be another important component to reaching long term financial goals.

Who can sell on the Amazon Australia marketplace? 

Anyone can sell on the Amazon marketplace. From an established international company looking for another marketplace to offer it’s products, to an unknown first-time seller. There are now two Amazon fulfilment places in Australia situated in Melbourne and Sydney, allowing sellers to store their inventory in those warehouses. At this stage, the best delivery partner is the Australia Post Service. 

There are multiple ways to market your products on Amazon Australia. These include marketing strategies, social media, branding, and optimising your products listings. Note that Amazon uses a marketplace search engine to rank products, and it considers various factors in product listings to do this. Do research to find out the best way to present your product features, price, availability and sales history to rank well in Amazon search.

What can I sell on Amazon?

There is a whole range of products that your business can sell on Amazon Australia. Some of these include:

  • Products for home improvements.
  • Kitchen supplies.
  • Lighting.
  • Movies and music.
  • Toys and games.
  • Books.
  • Baby items.
  • Computers.
  • Health products.
  • Beauty products.

How much does it cost to sell in Amazon Australia?

Amazon Australia charges AUD$49.95 ( USD$36.42) for a monthly subscription, and it is the standard fee for sellers in general. Likewise, Amazon Australia will charge a referral fee each time you sell a product the same as the US, this fee varies depending on what type of product you are going to sell, but usually is around 6% – 15% of the produt’s price. 

How can you get started?

Man in his office using his laptop to buy products in Amazon Australia.
Australia positions as the world’s 10th largest e-commerce market by revenue.

The first step is to create a seller account in Amazon Services Australia. The sign-up process is very similar to creating an account in the United States. You must provide personal details, such as ID, business name, address, phone number, chargeable credit card, and tax information. 

Like in any other market place, you must have a bank account linked to your credit card. The money you make from sales must be deposited in the currency of the country that you are selling in.

It is also essential for businesses to have a brand trademark. Nevertheless, you don’t necessarily need to have a trademark to start selling on Amazon, but it is strongly recommended. Amazon rewards companies that have their trademark and identified. Make sure you make the most of e-commerce opportunities in Australia.

Take advantage of e-commerce opportunities in Australia with Biz Latin Hub

Currently, Australia positions as the world’s 10th largest e-commerce market by revenue. According to Statista, e-commerce in Australia will grow exponentially in the future. Furthermore, it is estimated that the digital Australian market size will be about AUD$35.2 billion (USD$ 25.2 billion) by 2021.

At Biz Latin Hub, our team of incorporation experts are equipped to guide you through Australia’s e-commerce ecosystem. With our full suite of multilingual market entry and back-office services, we are your single point of contact in Australasia, able to provide solutions tailored to your specific needs.

Contact us to now find out how to take advantage of Australia’s e-commerce opportunities.

Learn more about our team and expert authors.

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The information provided here within should not be construed as formal guidance or advice. Please consult a professional for your specific situation. Information provided is for informative purposes only and may not capture all pertinent laws, standards, and best practices. The regulatory landscape is continually evolving; information mentioned may be outdated and/or could undergo changes. The interpretations presented are not official. Some sections are based on the interpretations or views of relevant authorities, but we cannot ensure that these perspectives will be supported in all professional settings.
Legal Team Australia
Legal Team Australia

Legal Team Australia is the Biz Latin Hub leading experts on doing business in Australia The Team writes on the news, doing business, law, and changing regulations. The team are experts in corporate law, Administrative law, Employment law, Immigration law and legal advisory services. Read more about them here. You can contact Legal Team Australia via our "contact us page".

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