We’re already one week into Amazon’s big launch! So, after literally months of speculation over what the retail giant will do to Australia’s retail sector, we thought now would be a great time to take a look at people’s reactions so far, and find out whether it’s everything it was cracked up to be.
They’re “weirdly underwhelmed”
Amazon didn’t exactly get off to a flying start with all consumers. After months of big talk about crazy prices, fast delivery, and more choice than you could possibly imagine, some online retail enthusiasts were left feeling “weirdly underwhelmed” – apparently. According to this report, one Amazon Australia subscriber said:
“I can’t see any prices that impress me. I could find cheaper items on other sites – maybe even for half the price.”
Well – they talked a big game, so customers were ready and waiting with high expectations. But let’s give Amazon the benefit of the doubt – it’s early days. This is a retail model that’ll take time to gain momentum as they continue to expand their retailer base.
No local customer reviews!
Now, here’s an interesting one. One critic dedicated an entire opinion piece to expressing his utter dismay at there being “no local customer reviews”. What’s more, Amazon simply can’t be a “one-stop-shop” when you’ve got to scour other retailers for reviews!
“It punches a hole in the company’s pitch as a one-stop shop, finding that you need to scour other sites to evaluate its wares” – he said.
Wait, hold up. Didn’t Amazon launch just a couple of days before? Hmm – perhaps it was just a VERY slow day in the news room. Moving on…
Amazon will beat any retailer on price
Here’s something a little meatier to get your head around. Whatever first impressions Amazon has made in Australia – some hold the long-term view that the retailer’s future is already secured. According to this post-launch report, Australian retailers typically have very low net profit margins after deducting expenses. This means Amazon’s incredibly lean operation was a guaranteed winner before it even hit Aussie shores.
“Price war or no price war, Amazon will beat any Australian retailer on price. And the impact will spread way beyond the retail sector.”
The most successful launch day in Amazon’s history
And it certainly seems to be heading that way if we take notice of the retailer itself. According to Amazon Australia country manager, Rocco Braeuniger, Amazon Australia experienced the most successful launch day in the company’s history – with “tens of thousands of orders” flooding in.
“From early in the day, we experienced visitor numbers that far exceeded our expectations,” he said.
Retailers looking on the bright side
Some players in the retail space don’t appear to be taking it too badly either. They’re looking on the bright side (yes, it’s possible) and are embracing a bit of healthy competition. According to this compilation of reactions from Australian business owners, Amazon will raise the profile of online shopping while it represents a chance for every retailer to lift their game.
“I’m excited about Amazon. They will lift the standard of customer experience, and more importantly, consumer expectations.”
Do we really believe them, or are they just ‘playing nice’?
So, it seems like Amazon might be set for a smooth, unhindered operation here in Australia (almost). While all this positivity is going on here, it’s a different story in the US – cracks have emerged in their super-fast and apparently ‘flawless’ delivery services. That’s right, Amazon US delivery drivers have been under so much pressure they’ve taken to urinating in bottles to save time and keep up with the demand! (Seriously).
