Amazon Australia has grown its annual customer base by 1.1 million people over the 12 months to June 2024, according to new research.

The data by Roy Morgan suggests that 7.9 million Australians aged 14+ shop on Amazon at least once a year, up from 6.8 million in the year to June 2023.

These latest figures do not include this month during which Amazon held its mega six-day Amazon Prime Day sale in Australia.

On average Australian Amazon shoppers are purchasing six times a year on the platform – almost as frequently as Kmart customers shop at Kmart (with an average of 7.5 times).

A large proportion of Amazon’s customers are high-frequency shoppers, with 3 in 10 making a purchase on the e-commerce platform seven or more times over a 12-month period.

Books, small electrical goods, clothing, computers and accessories continue to be the top-selling categories on Amazon Australia.

There is evidence that shoppers don’t just stick to one category, but turn to the platform for multiple items. Thirty-one per cent of Amazon customers buy two or more categories. Also, just over 1-in-10 buy three or more categories.

As for the demographic of Amazon Australia’s shoppers, it is an even split between men (50 per cent) and women (50 per cent). Amazon has managed to buck the trend at some retailers where the number of women shoppers outnumber men.

More than half of Amazon’s shoppers are aged 25-39, and the platform’s shoppers are more likely than the average Australian to come from higher-income households (3 in 10 shoppers live in $200,000+ income households).

However, Amazon is reported to be aware of the success of platforms like Shein and Temu are currently enjoying by selling non-branded items at rock-bottom prices. It is reported to be planning a strategy of opening a new section devoted to non-branded products under $30, shipped directly from China to consumers.

Pictures at the Amazon Fulfillment Centre BWU2 at Kemps Creek

Amazon’s growing numbers come at a time when other retailers in Australia are struggling. David Jones (-5 per cent) and Target (-7 per cent) have lost the most customers over the last 12 months compared to the previous year, while Big W and Myer are in neutral territory.

JB Hi-Fi is the only other retailer to have gained customers, with an increase of 300,000 in the current year.

Source: Single Source data, Base: Australians 14+ who shopped any item at any of the listed retailers in the last 12 months.Sample size: July 22 to June 23 n=66,234 and July 23 to June 24 n=64,708.

Source: Single Source data, Base: Australians 14+ who shopped any item at any of the listed retailers in the last 12 months.
Sample size: July 22 to June 23 n=66,234 and July 23 to June 24 n=64,708.

“At a time where Australian retailers are battling it out for a share of dwindling disposable incomes Amazon’s continued growth is impressive and signals a big change in the landscape. If Australia is on track to mirror the US trend, where Amazon accounts for an incredible 37.4 per cent of all online spend, our retail landscape could look quite different in coming years,” said Laura Demasi, Roy Morgan’s Head of Retail Research and Social and Consumer Trends.

Earlier this year, Amazon Australia announced plans to invest $490 million in opening two new fulfilment centres (FC) in Horsley Park by early 2026. Aimed for completion by 2026, the purpose-built FC has a capacity to hold up to 1.6 million large items sold by Amazon such as garden equipment, furniture and flatscreen TVs too. “The disruptive power of Amazon has been underappreciated in recent years, but this kind of growth trajectory puts all Australian retail brands on notice – especially now given its upcoming expansion into big box retail and the ultra-cheap market,” added Demasi.