Selling on Amazon Australia
Electronics, toys, home & garden, baby products, books, technology, film, gaming.
Number of registered users
Amazon.com covers a broad demographic of men and women, and of all ages.
6.0 - 15.0% (Sellers also pay a closing fee of $1.00 per media item that is sold. Media categories are Books, DVD, Music, Software & Computer/Video Games, Video, and Video Game Consoles.)
AUD $49.95 per month
One-off registration fee
Parcel tracking required?
Business hours - Australia
Amazon (NYSE:AMZN) expanded into Australia with Amazon.com.au in late 2017, at a time when purchases by Australians on e-commerce marketplaces grew just under 75 percent year-on-year.
On Amazon, you set your own pricing and take care of inventory, fulfilment and shipping (unless you qualify for Fulfilment By Amazon (FBA)). FBA is a warehousing and fulfilment solution where sellers can send stock in bulk to Amazon’s warehouses to store, and when a customer places an order, Amazon will pick, pack and ship your products to customers, and take care of all of the customer service and returns. If you are an FBA seller your customers may be eligible for free delivery and you are charged a flat fee per product based on product type, dimension, weight and monthly storage fees.
Tips for being found on Amazon
Amazon’s A9 search engine uses an algorithm to list products based on relevance and popularity. Things like sales volume, product keywords, title tags, product bullet points, image alt tags, video content, positive product reviews and return rates are taken into account. That means being ranked highly on Amazon requires not only understanding your target customer, and having exceptional customer service, but also executing a well thought out keyword plan as well as technical optimisation of your product listings.
Amazon offers additional promotional opportunities to sellers including Sponsored Products and Headline Search Ads.
- Research the keywords used by searchers on Amazon, including long tail keywords with a tool like Keyword Tool Dominator. This helps you refine your own product listings to match what users are searching for.
- Optimise your Amazon product title by including your most relevant searched keywords after the product name.
- Your product description can be more than just a short list of features. Optimise your product description bullet points by combining longer tail keywords, making sure your descriptions read well for users, not just the search engine.
- Make your images work hard for you – include descriptive text where you can so that users on mobile devices can quickly grasp your sales messages.
Don’t forget the opportunity to list detailed descriptions and keywords for Amazon’s search engine in Amazon’s Seller Central backend.
- Social proof is important – which means reviews are critical – don’t dilute them by listing multiple sizes of products separately. Research ways to get reviews on Amazon – new tools to help sellers are developed all the time.
- Think about setting aside a promotional budget for sponsored products and headline search ads – make sure you measure conversion regularly and remove ads that aren’t converting.
- Don’t be afraid to A/B test elements of your listings to optimise sales or margin. Tools like Splitly help automate the testing of elements like hero images, product title or price.
Helpful links for Amazon Australia
- Fee schedule for selling on Amazon Australia.
- Fee schedule for using Fulfilment by Amazon.
- Amazon’s update on Australia’s Goods and Services Tax on low value imports.
Things to think about
Price is the primary reason shoppers use Amazon. Every time your customers search for your products, Amazon will show alternative suggestions from your competitors at the same time. Make sure you understand your competitors’ pricing, and fully understand your own top-down pricing model, taking into account all fees and costs.
In July 2018, Amazon banned Australian users from accessing its other international sites, instead launching a global store accessible to Australians. Unlike in North America and Europe, Amazon does not support linked Amazon accounts for Australia. If you have an existing seller account with Amazon, you must use a unique email address and storefront name when creating your new account. To register you will need an internationally chargeable credit card and an Australian bank account to receive payment from Amazon.com.au. Amazon Australia is also working with Hyperwallet to support disbursements of Amazon sales into Hyperwallet then to your local bank account in local currency.
You may be required to supply documentation so that Amazon can verify your identity (Government issued identification and bank statement) and if an Australian bank account is provided, Amazon Australia pays in Australian dollars into your account every 14 days.
Free Trade Agreements and Customs
Free Trade Agreements (FTA) are in place with Australia. Find out more on the MFAT website.
I want to find out about packaging and labelling for exportPackaging and labelling requirements can be very different from country to country, so get as much information as you can before making the decision to export.
Depending on where your products will be sold, you might need to use different materials or labels, and include different types of information. In some countries, you might have to translate all your packaging or labels into the local language – in others, applying a sticker with a few key details will do the job.
Make sure that you check out all of the requirements for packaging and labelling before tackling a new market, including anything that’s needed during transport or distribution.
You’ll find more details on the kind of things you need to think about in our guide to understanding international compliance requirements.
We suggest that you work with a customs broker or freight forwarder, or get advice from a lawyer in-market, to understand all the requirements for your product and the place where it’s headed. The Customs Broker and Freight Forwarder Federation (CBAFF) has a list of customs brokers and freight forwarders within New Zealand.
I want to find out about regulations and tariffs for exportRegulations and tariffs should be one of the first things you find out before exporting. They often determine whether a market will be easy or hard for you to export to, or whether you should try to do business there at all.
Understanding regulations in your export destination is a must-do. For an introduction to what you need to think about, see our guide on understanding international compliance requirements. This includes tips on how to research regulations, as well as insights on local regulations, standards, health and safety, and dealing with local bureaucracy.
It’s a good idea to take a look at the rest of the international compliance process while you’re doing your work on regulations – see more information in our guide to understanding international compliance requirements.
If you’re planning to export food or food-related products, you should also check out the food exporting page on the Ministry for Primary Industries (MPI) website. MPI maintains a list of Overseas Market Access Requirements (OMARs) for New Zealand food products in different export markets – search and identify OMARs for your product online.
Tariffs can make your products more expensive and less attractive to overseas buyers, so you need to know the charges your products will attract before you commit to a new market.
You can get a big head start in finding tariff information by using the Ministry of Foreign Affairs and Trade (MFAT) tariff finder or the World Trade Organisation’s tariff download facility. You can search the databases by product name, but they work best when you know the approximate Harmonised System (HS) code for your product. HS codes are used by customs authorities around the world to identify products and apply tariffs. The longer the code is, the more precisely it describes your product. The first six digits of an HS code are usually the same worldwide – after that, there can be up to eight further digits, which often vary from country to country.
New Zealand Customs can help you to find out the first six digits of your HS codes – email VOC@customs.govt.nz.
To get a longer and more precise HS code for a particular market, look up and contact the local customs authority online, or talk to a customs broker or freight forwarder who has done business in that market.