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Australian E-commerce Market Report (Platform)

2021-03-21 607
Australia and New Zealand have always been ignored by major e-commerce platforms, with a small population and a small market size. Not only that, the online retail volume of Australia and New Zealand only accounts for 10% of the total retail sales, and the frequency of national online shopping is far behind. In the United States and the United Kingdom. However, in 2019, the total online retail transactions between the two countries exceeded 25 billion U.S. dollars, which is the largest increase in the world. The total cross-border transactions in Australia and New Zealand increased by 9.5% and 33% respectively. The crazy premium price of some products in the two countries is the fuse for the people of the country to switch to overseas shopping. It is more appropriate to describe it as "another village in the dark."

The official language of Australia and New Zealand is English, and they are both developed countries. Their respective "national online shopping platforms" are different. In Australia, eBay is the one that calls troubles and rains, while Trade Me has the highest market share in New Zealand. Both platforms are open to international sellers.

Australia and New Zealand e-commerce platform rankings

In Australia, eBay said it was No. 2 and no one would dare to say it was No. 1. In this magical territory of Australia, even the Amazon can only be ranked second, which can be called a world wonder. But the Amazon Australia site has been catching up since 2017. In just three years, its monthly activity has grown to 25.8 million (41% of eBay's). The Australian people also attach importance to shopping experience and delivery services. Said that no peer has surpassed Amazon.

Trade Me ranked third, among which, New Zealand contracted 94% of Trade Me’s 18.8 million monthly activities. In fact, the number of visits to Trade Me in New Zealand is second only to Google, YouTube and Facebook. EBay and Amazon's traffic in New Zealand accounted for only 3% and 2% of Trade Me.

The remaining e-commerce platforms on the list include Catch.com.au, The Iconic and MyDeal.com.au from Australia. Approximately 95% of the traffic of Catch.com.au and MyDeal.com.au comes from Australia, which is called "little transparency" in New Zealand. The Iconic's main trend clothing, 11% of the traffic comes from New Zealand, 84% of the traffic comes from Australia.

eBay in Australia

Australian E-commerce Market Report (Platform)

eBay has a monthly activity of 62.8 million in Australia and has been dominant in the region since its establishment in 1999. Amazon has opened its Australian site for 3 years, but eBay has always maintained its leading position. 90% of Australian SMEs export their products to all parts of the world through eBay.

eBay uses a global account system, which means that in each country or region, eBay’s model and policies are the same, and seller information will be fed back to the system in a centralized manner, with both coordination and consistency. But this does not mean that eBay will automatically display search results worldwide.

eBay Australia does not support the upgrade of the International Site Visibility (ISV) list. The "Global Shipping Plan" does cover Australia, but it may not be the first choice for sellers for international shipping. eBay is far behind by Trade Me in New Zealand, with a monthly activity of 539,000.

Amazon in Australia

Amazon launched its Australian site at the end of 2017 and attracted thousands of consumers in just 24 hours. The industry predicts that it will not be long before Amazon will become the top e-commerce in Australia, calling on the government to protect the local industry. But despite the steady growth of Amazon's Australia site in the past three years, it cannot be said to have seen a big improvement. The reason is that the Australian people have a "misunderstanding of facts" about Amazon and believe that Amazon and eBay are not much the same. eBay has successfully entered Australia. Although Amazon has a better user experience, it seems that there is still a long way to go to replace eBay. Local protection is a gully in front of the Amazon.

Amazon has rarely been a deserter after opening a new site (with the exception of China). Currently, the Australian site has 4 warehouses in China, and the newly built warehouse is located in Queensland. Sellers in Australia site can use FBA so that logistics services can radiate all corners of Australia. Although the area of Australia is similar to that of the United States, its population is less than one-tenth of that of the United States, and most of the main population centers are coastal areas. From a single warehouse to all parts of the country, the cost and time of logistics will go through great variables. It is natural for sellers to enjoy Amazon's burden of logistics.

The seller registration system of the Australian site is independent, and sellers who already have accounts on European or North American sites need to register again!

Trade Me in New Zealand

Trade Me is expected to become another good talk in New Zealand following the Lord of the Rings. Trade Me was founded in 1999 and its founder is Sam Morgan. At the beginning of Trade Me’s creation, it went smoothly, and resisted the difficult moment of eBay, which was already growing on its wings. In 2005, the number of registered members successfully exceeded 1 million. Currently, this number has reached 5 million (slightly higher than the total population of New Zealand). . Trade Me was acquired by Apax Partners in 2019.

Trade Me is also famous for its safe shopping environment for users. The model adopted by Trade Me is similar to eBay. With listing as the axis, consumers can buy products through bidding or at a fixed price for a period of time. As mentioned before, online shopping accounts for 33% of New Zealand’s total online sales, which is approximately US$1 billion. In the past three months, two-thirds of New Zealand netizens have placed orders from overseas. Several shopping platforms including eBay, Amazon, Wish and AliExpress are the favorites of New Zealand netizens. Of course, their favorite is Trade Me.

New Zealand's cross-border trade business has always been among the top 10 in the world.

Other e-commerce platforms in Australia

Catch.com.au is Australia's largest daily necessities platform, established in 2006. Its global monthly activity is 8.3 million, 95% of which come from Australia. Catch.com.au started as an independent retailer and then added an online platform in 2017. Catch currently has more than 4 million users and has absorbed many well-known brands including Nike, Lego and Dyson. It is best for sellers who intend to settle in to provide Catch.com.au with some niche products that can be bundled for sale in order to stand out more easily.

The Iconic is both a retailer and a cable platform. Founded in 2011, it is affiliated to GFG (headquartered in Singapore) and is mainly engaged in fashion apparel. GFG also has Dafiti (located in Brazil), lamoda (located in Russia) and Zalora (radiated to Southeast Asian countries). TheIconic's monthly activity is 5.1 million, of which 84% are from Australia and 11% are from New Zealand. Whether it is The Iconic's self-operated products or the products of ordinary sellers, the pages are exactly the same, and there is no shop homepage or other channel exposure.

MyDeal.com.au is another successful model, established in 2011. Only a platform, not a retailer. There are more than 1 million platform products. Global monthly activity is 2.6 million, 95% of which come from Australia. MyDeal.com.au sells various categories of products, especially large and heavy goods such as furniture and household items. MyDeal.com.au does not provide logistics services, so sellers need to arrange their own delivery or cooperate with a third-party logistics company.
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