Australians are already planning their Amazon purchases

Andrew Munro 18 September 2017

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Imagine the possibilities.

According to Business Insider and Commonwealth (CBA) Retail Insights, 73% of Australian customers are already comfortable with buying Amazon-branded products, before it has even arrived in Australia, while plenty more are already planning their purchases.


Overall, the CBA Insights report suggests that almost 70% of people are likely to make Amazon purchases, while a solid third are already thinking of the possibilities. Previous reports have suggested that electronics would be one of Amazon's main offerings in Australia, and it looks like shoppers are ready to make it come true.

It's not split evenly among age groups, however. Younger shoppers are more likely to head online for their shopping and are also most likely to get on Amazon Prime. Baby boomers and older shoppers were more ambivalent, being well aware of Amazon but hesitant to actually use it. According to the report, only 20% of baby boomers and 13% of pre-boomers are likely to use Amazon Prime.

In contrast, well over a third (38%) of Gen-Xers, and around half of millennials and younger are likely to subscribe to Prime. Odds are, it's the younger age group that's already thinking about what they'll be buying on Amazon.

Shoppers are split about whether they'll be using Amazon, while retailers are naturally also split about whether it's going to be good for business. Some will probably do very well in the new marketplace, while others might find themselves struggling to hang on to customers.

The report suggests that only about a quarter of retailers have a plan for competing.

In some ways, this is the opposite of Australia's fresh food business. Here, shoppers are slow to embrace the idea of grocery shopping online, even as incumbents like Woolworths do their best to get more people shopping online.

On the whole, it looks like most shoppers are happily imagining the possibilities of Amazon, while most sellers are worriedly imagining the same thing.

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