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~ Pattern ~

In a disrupted retail market facing potential economic headwinds, brands have to carefully
consider their business growth plans and focus on eliminating risk where possible. In such
an environment, cross-border selling into a financially stable market like Australia, where
consumers have a high disposable income, should be a priority.

ccording to the OECD, the average household in the past 12 months expect to spend the same or more on
net-adjusted disposable income per capita in the platform in the year ahead.
A Australia is USD$37,433 a year, more than
the OECD average of USD$30,490 a year. In terms Although Australia has a less mature marketplace adoption
of employment, about 73% of people aged 15 to 64 in rate compared to North America, currently, 30% of
Australia have a paid job, above the OECD employment Australians have a Prime membership, and Amazon is only
average of 66%. just getting its infrastructure in place (with guaranteed
next-day delivery to Melbourne and Sydney). Once the
Interestingly, the way in which Australian consumers shop is company builds out its infrastructure and the size of
evolving. Recent growth in e-commerce transactions and the shopper spend increases, more international retail brands
proliferation of online channels where consumers can find will become present on Amazon. This means that a brand
and purchase products have fundamentally altered the local selling into Australia is not only broadening its reach and
retail landscape, presenting international brands with new growing revenue sources but also defending competitors and
opportunities to connect with local customers. unauthorised sellers in the market.

Understanding the local marketplace opportunity Marketplaces as a brand introduction channel for
Today, e-commerce marketplaces like Amazon and eBay Australian shoppers
allow brands to quickly scale their business to cross-border Today, marketplaces are a product discovery hub for many
sell into Australia – expanding business reach and their Australian shoppers–as well as a place for loyal customers
customer base and revenue streams. Selling in Australia and to repurchase their favourite items–creating a platform for
putting your product on marketplaces can introduce new international brands to build awareness. Research from
customers to your brand, act as a defence strategy against Pattern only reinforces this point, with 68% of shoppers
unauthorised sellers, and ultimately drive incremental sales. saying that they now buy products for the first time on
According to research undertaken by Klarna, a buy now, pay Amazon. Additionally, a further 64% of shoppers say that
later payment method, 23% of Australian consumers begin they choose Amazon to buy products from brands they
their shopping journey on marketplaces today, a number have never heard of or bought from before.
which is expected to grow rapidly over the coming years. As a platform, marketplaces are being embraced by
The reasons why Australian shoppers buy online and via Australian shoppers due to heightened perceptions around
marketplaces are: value, exclusive products, speed of delivery and purchaser
• 75% - It saves time trust, including real-world product reviews and informative
• 71% - Easier to compare price answers to product page questions which are commonly
• 64% - Wider assortment of products featured on marketplace listings.
• 65% - Lower prices
• 65% - More payment options Cross-border selling into Australia to grow revenue
• 59% - Better product information International brands looking to grow their customer base
in a disrupted economic environment should consider
Amazon’s expanding market presence cross-border selling into Australia. Those brands that
As the leading marketplace platform available to international have expanded into the country via marketplaces in recent
brands looking to enter the Australian market, Amazon years are creating genuine connections with a new range
continues to rapidly grow its share of online shopping of customers, who (after purchase) can go on to become
activity. Amazon’s local revenue was reported to have hit repeat sources of business, supporting ongoing revenue
AU$1.75 billion in 2021, and indicators from Pattern’s growth. ••
Australia Shopper Report 2022 suggest it will smash through
the $2 billion barrier this year.
MORE INFORMATION ON HOW YOUR BRAND CAN CROSS-SELL INTO AUSTRALIA
Importantly for international brands looking to expand their VIA MARKETPLACES
business into Australia via marketplaces, research indicates Please visit: https://pattern.com/au/
that 88% of local shoppers who bought from Amazon.com.au

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