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Amazon Australia is live, Prime to launch in mid

05 December 2017

Rocco Braeuniger, the man brought in from Amazon's German arm to run the Australian operation, said Amazon would be focusing on "customers and the long-term" as it attempted to build its business in Australia.

It's not all doom and gloom, however, with many retailers - including eBay and Kogan.com - affirming that Amazon's entrance will ultimately be good for Australia's retail landscape, promoting innovation and growth.

While Amazon's launch is likely to shake up the retail environment, the fact that it has just one distribution centre for the entire country means, at first, the service will not be almost as comprehensive as the USA or United Kingdom version.

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Retail analysts at Citi believe large local electronics retailers JB Hi-Fi and Harvey Norman will be among the hardest hit by the disruption the global behemoth is expected to create.

"By concentrating on providing a great shopping experience and by constantly innovating on behalf of customers, we hope to earn the trust and the custom of Australian shoppers in the years to come".

After much anticipation and hype, Amazon is offering free delivery on eligible orders above $49 that are sold by Amazon.

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Australian customers can now also access Prime Video and Twitch Prime, for an introductory price of US$2.99 ($4.00) per month. Still, it's a huge blow to our $16 billion retail sector.

While Amazon has been busy hiring for its music offering since before June, filling the roles of Music Curator, Senior Music Curator, Senior Marketing Manager, and Head of Digital Music, Amazon Music Unlimited won't launch until early 2018.

Retail categories most likely to be hurt by Amazon's entry include electrical, appliances, apparel and cosmetics, UBS added. "I think this may prove hard".

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Australian retail shares have fallen sharply since Amazon confirmed plans for the country in April. They will be shipped from a warehouse in Melbourne.

Australia has always been home to Amazon-registered sellers, but until Tuesday they were limited to sending goods offshore because the Seattle conglomerate did not have a warehouse in the country of 24 million people.

In 2016, more than 100,000 small businesses across the globe achieved sales of over US$100,000 through selling on Amazon.

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Amazon Australia is live, Prime to launch in mid