Feb 25, 2018 Last Updated 10:02 AM, Feb 23, 2018

New Entry From the Editor :

Australia slips to second place in mining investment attractiveness ratings

Australia slips to second plac…

AusBN - Australia has fallen to second place in the Fraser Institute’...

Wesfarmers reports 87% H1 profit plunge on business write-downs

Wesfarmers reports 87% H1 prof…

AusBN - Wesfarmers (ASX:WES) has reported an 86.6% nose-dive in its H1 net ...

Australian female labour force participation reaches record high

Australian female labour force…

AusBN - Australia’s female labour force participation rate reached a ...

Amazon to arrive in Australian retail market for Christmas – Citi analysts

Amazon España por dentro San Fernando de HenaresAUSbnAusBN - Analysts at global banking group Citi have suggested that Amazon could launch in Australia within two months, in a blow to several existing major retailers in the saturated national retail market.

The US retailing giant confirmed it would be arriving in Australia in April after purchasing a warehouse in Melbourne and appointing German executive Rocco Braeuniger as country manager for Australia.

Retail analyst at Citi Brian Raymond confirmed that the company has set buying terms and first orders have been placed with suppliers in recent weeks.

In a further statement, Citi said it expects Amazon’s prices to be competitive at first, as it will not have a meaningful advantage in two of their three key pillars, range and delivery, which will evolve later over time.

“This increases near-term gross margin risks for retailers as price will be Amazon’s key lever,” said Citi.

Current national retailers expected to lose out if Amazon does arrive before Christmas include JB Hi-Fi, Harvey Norman and Myer.

@AusBNOnline

This Month's Issue

v3i2 cover web

Subscribe

rgn web banner

abn web banner

Recent Tweets