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A UK payment facilitator World First who has worked with Amazon since 2008 claims that Amazon see Australia as a “$4 billion-dollar market”.
Ray Ridgeway, the chief commercial officer for World First Australia has said that his Company is currently setting up for the arrival of the giant US online store which he says will be “bad news” for big end retailers, by ramping up the disruption dynamic in way that would force them to ask some hard questions.
He claims that following the US giant around the globe has given the company an insight into how it ticks.
Talking to the Australian he said “We assess which markets they are looking to enter and we set up the bank accounts so when they look to sell into the country they don’t have to worry about the payment logistics,” he said.
“Amazon sees Australia as a $4 billion market. It’s never been an attractive market but what’s happening now is that Australians are rising up the ranks when it comes to online spending” he said.
“We are in the top 10 when it comes to online basket size, so that’s grabbing their attention.
“Also, we don’t have too many international marketplaces in the market.”
With 7,630,000 Australians aged 14 and above – almost 40 per cent of the population – buying one or more products via the internet every four weeks, the market opportunity down under is becoming more attractive.
Ridgeway said there was anecdotal evidence in the sector that the US retailer was getting closer to putting the warehouses and staffing in place for a full launch in Australia next year.
He said local online marketplace sellers would benefit.
“There’s no doubt existing local Amazon sellers will be keen to be the first merchants on Amazon Australia to ensure they get first mover’s advantage and benefit from the buzz of the new platform before competition in?creases,” he said.
“These sellers also have the experience, products and relationships to really hit the ground running.”
As for international online sellers, Amazon’s prowess in the logistics space will provide a valuable opportunity. While Australia is a small market it’s a wealthy market with an active consumer base.
