Amazon’s Australian Growth Poses Risk to Local Retailers

Amazon’s Australian business is growing faster than previously expected by Jarden analysts, who see growing risk for local electronics, home and garden, and general-merchandise retailers. Jarden’s analysts estimate that Amazon could take 18% of Australia’s non-food online sales in the country’s 2024 fiscal year, which runs through June. That’s up from 15% in fiscal 2023, they add. Australian shoppers are seen increasingly using Amazon as a first point of purchase, hitting local retailers’ sales and increasing pressure on them to invest in things like centralized fulfillment and regional distribution centers. They see JB Hi-Fi, Kogan.com, Wesfarmers and Myer as among those at risk.

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