Online retail is driving intense competition in Australia when it comes to faster delivery options, and a previous report from Mandala estimated that households have saved nearly $3,500 since 2019 thanks to the price-lowering effects of online channels.
The report coincides with the launch of Prime Free Same-Day Delivery in Sydney, reaffirming Amazon’s commitment to faster deliveries for Prime members in Australia. Same-Day Delivery is free to Prime members on eligible orders over $49, and is available to the vast majority of Sydney residents, covering over 90% of the city’s population.
Prime members can now order from more than one million products as late as midday for delivery before 10pm that day, making it even more convenient to shop on Amazon.com.au – from click to doorstep in just a few hours.
Amazon’s continued investment in Australia for customers and sellers
Amazon Australia continues to grow and invest in its operations network to enable a seamless, faster, and reliable shopping experience for customers across the country, building its operational sites close to where its customers live and work. Amazon Australia now has six fulfilment centres, and 12 logistics sites, including its first robotics fulfilment centre located in Western Sydney which spans 200,000 square meters - around the land size of Taronga Zoo – and can house up to 20 million items. The business confirmed its continued commitment to its Australian operations, announcing plans to invest $1.6 billion opening five new operational sites by 2026, which will create an additional 4,500 jobs once fully operational.
Since 2011, Amazon has invested more than $15 billion across all of its businesses in Australia, including more than $5 billion in 2022 alone, in order to continue improving delivery experience for customers. Additionally, in 2023 Amazon Australia added 600 permanent roles to its operations network. This means that even more Amazon customers around Australia are now able to access an enhanced delivery experience, including faster delivery, delivery on evenings and weekends, and reattempted deliveries for customers when they are not home. To further build on its delivery capacity in Sydney, Melbourne and Brisbane to meet growing customer demand, the business has recently introduced its Delivery Service Partner program in Australia, seeking inspiring business owners to apply to the program to hire and manage their own delivery team.
Faster delivery such as Same-Day Delivery enables selling partners to get their products to more customers fast. Fulfilment by Amazon (FBA) is a fulfilment method available for sellers on Amazon.com.au, built to enable third party sellers to make the most of Amazon's advanced logistics network. FBA sellers just need to send their product to one of Amazon’s fulfilment centres and Amazon then stores, picks, packs and ships the seller’s order to customers. Amazon also takes care of customer service issues and handles any returns or refunds on behalf of the FBA seller. All products enrolled into FBA are eligible for Prime delivery, meaning that selling partners in the program may see their products delivered to Prime members in Sydney the very same day. According to Mandala Partners’ report, businesses are estimated to have gained $1.4 billion in sales revenue from faster Business-to-Customer deliveries over the last decade. This, combined with the potential to save an estimated $400 million through swifter access to inventory, means Australian businesses stand to unlock $1.8 billion of value thanks to fast delivery, the report suggests.
Michelle Tirabudi, CEO and Founder of Givewrap a Sydney-based wrapping paper creator that donates a portion of sales to charities Children's Cancer Institute, RSPCA NSW, Starlight Children's Foundation and Gotcha4Life, said, "Our customers tell us fast delivery is incredibly important, and so we think the arrival of Same-Day Delivery in Sydney is going to be a gamechanger for us and for them. How many times have you purchased a present but realised there was no wrapping paper at home? A classic dilemma solved by same-day delivery!
And the more Givewrap grows the more we give to our four charity partners. Seriously, why would you give once, when you can Give Twice with Givewrap."
For more information on Amazon Prime and Prime Free Same-Day Delivery, visit www.amazon.com.au/prime-free-same-day-delivery
