Australian consumers are buying goods from other countries in large quantities, in large part because of lower tariffs – items under $1,000 are exempt. According to the National Bank of Australia, Australia’s online retail consumption increased by 10% year-on-year in 2015, reaching US$17.6 billion. 63% of Australian consumers shopped cross-border online, and the cross-border consumption rate ranked first in the world, followed by Canada and Russia.
The three major e-commerce websites in Australia are Amazon eBay and Gumtree (a classified advertising website under eBay). Australia is a typical Western society. Due to its unique geographical and social environment, its e-commerce development is much faster than that of other Western countries. Due to its vast territory and sparsely populated areas, Australian consumers are willing to accept longer delivery times and higher postage costs, and demand is concentrated in urban agglomerations on the east coast.
Many local e-commerce companies, such as clothing retailer TheIconic, daily limited offer website Catch of the Day, etc., require a certain order amount to be eligible for free shipping. Except for big cities such as Sydney and Melbourne, there are few express delivery services on the same day. There is no way to track ordinary mail packages, and the delivery efficiency is very low.
The rate of no trace, packet loss and damage is estimated to be the highest among developed markets. Local logistics services are worth exploring, such as warehouse lessors, logistics transportation companies, and even call centers. Dedicated logistics is very popular in Australia, with direct flights to the four major cities and nearby delivery, which can improve delivery time.
Australian customs generally accounts for a small number of detentions. The main problem is suspicion of under-reporting or concealment, so customers can declare truthfully. Because it is an isolated mainland, quarantine regulations here are strict, and the declaration of some products is more sensitive.