Australian Ecommerce: So Far and so Close to Magento

Australia is one of the most advanced economies worldwide deeply integrated into the global market.

Ecommerce and Magento in Australia

Still, due to the sustainable financial structure, Australia weathered the global financial crisis avoiding any recession and today it is extremely attractive for most international sellers.

Australian Ecommerce Market

In Brief

In 2015, Global Retail Ecommerce Index Australia takes the tenth position on the attractiveness of the ecommerce market ahead of Hong Kong, Singapore, Canada, Netherlands, Sweden, etc. (Source: ATKearney).

Australia is going to surpass the $10 billion annual online market volume benchmark in 2015

According to eMarketer, the Australian ecommerce is going to surpass the annual $10 billion market volume benchmark in 2015 rising by 14.4% this year. The ecommerce sales share is going to take 4.5% of total retail sales providing the country with the 13th position among most online sales wedded economies. In 2016, Australians are going to spend $4.500 on online purchases and this spending amount is the highest within the Asia-Pacific region.

Customers

The internet penetration rate in Australia is more than 90% (Source: SPeCommerce), and amid this 73% of users aged 35-44 shop online (Source: Merlin FX). Even so, the overall digital buyer population is comparatively small, actually the smallest one in the Asia-Pacific region, and is made up of about 12.1 million people. (Source: eMarketer)

Below is a brief portrait of an average Australian online shopper:

  • Greatly inclined to cross-border sales;
  • Prefer to purchase trips, electronics, and fashion products online;
  • Usually purchase online between 7-9 pm, when brick-and-mortar stores are already closed in Australia;
  • Highly engaged in social media. More than 20% of users exploit social media to search for products (Source: Shipwire.com);
  • 32% of Australian online buyers spend more time shopping online than in-store (Source: SPeCommerce);
  • According to Google Barometer, Australians have 3.1 digital devices per person in average and often do shopping from their smartphones.

Australians have 3.1 digital devices per person in average

Biggest Players

Since 76% of online shoppers in Australia purchase abroad (usually in the U.S., UK and China), the structure of most popular ecommerce web sites mostly includes international traders, especially eBay and its local branches (million visits per week)*:

  1. eBay Australia – 23.1;
  2. Gumtree AU Splashpage – 13.3;
  3. eBay – 13.2;
  4. Amazon – 11.6;
  5. OzBargain – 1.9;
  6. JB HI-FI Australia – 1.8;
  7. Bunnings Warehouse – 1.6;
  8. Apple – 1.4;
  9. AliExpress – 1.4
  10. Target Australia – 1.3.  *Source: eMarketer.

Payment Gateways

The most popular payment gateways in Australia are usually locally based players: eWay, PayPal, PayMate, IP Payments, PayChioce, Merchant Warrior, e-Path, eMatters, CommWeb, ANZ eGate, NAB Transact, Westpac, SCNet, etc.

Magento in Australia

Magento stands firmly in Australia almost from the very appearing of the solution and has a strong local community here, including several truly outstanding and award-winning representatives. We are especially pleased to feature several of them as they are our long-term and trusted partners:

  • Ewave – eCommerce agency, Magento Gold Solution Partner based in Sydney and Magento Partner of the Year 2013, 2014, and 2015;
  • Balance Internet – B2C and B2B Magneto Solution Provider, Magento Gold Solution Partner located in Melbourne and Magento Partner of the Year 2012;
  • Acidgreen – Digital agency, Magento Gold Solution Partner located in Sydney;
  • Infinity Technologies – Magento Gold Solution Partner from Sydney;
  • Exceed – Digital commerce consultancy located in Auckland, New Zealand;
  • Online Visions – eCommerce Digital Agency & Magento Associate Partner from Brisbane.

Totally, Magento has 8 official solution, 3 hosting, and 3 technology partners in Australia. The number of Magento certified local developers equals 99.

The number of .au top-level domain web stores is 7559

Magento Conferences in Australia

The genuine spirit of Magento in Australia is cultivated via the dedicated local event – MagentoLive Australia organized by Magento. Usually held in mid-autumn the conference gathers numerous recognized ecommerce experts and intent merchants seeking for new knowledge and insider ideas.

Magento Share among Other Platforms

According to builtwith.com, Magento is the second most popular ecommerce platform in Australia. The number of .au top-level domain web stores is 7559, which is only twice lower than in the UK, while the population amount is three times lower, respectively.

Magento in Australia Search Trends

Victoria and South Wales are the most interested in Magento Australian regions according to Google Trends. And, “Magento Australia” is the most popular search keyword in Google, which arguably means that users often look for local Magento companies, when some technical  support or commercial advice is needed.

Victoria and South Wales are the most interested in Magento Australian regions

Key Findings

  • Australia is the tenth most attractive ecommerce market;
  • In 2015, the Australian ecommerce market will surpass the $10 billion benchmark;
  • 76% of online shoppers in Australia purchase abroad;
  • There are 14 official partners and 99 Magento certified developers in Australia;
  • Magento is the second most popular ecommerce platform in Australia;
  • Victoria and South Wales are the most interested in Magento Australian regions.

Conclusion

The Australian ecommerce market is extremely loyal to Magento and holds a great heritage and steady history of mutual cooperation. Of course, this “sweet friendship” was largely inspired by the close economic relations between Australia and the U.S., but now it definitely has it own way and perception of Magento.

This blog post continues our Ecommerce Markets Overview series. Leave your comment below, please.

1 Comment

Magento Extended Grid Pro

about 2 years ago

Today Magento plays an important role in eCommerce business. It is now spreading all over the world. And now we see the effect. It gives us the best services. Thank you for your post and thank to Magento.

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