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Competition heats up as Amazon Australia breaks into fashion sector

Amazon Australia wants to dress you. Image: Amazon Fashion screenshot.
Amazon Australia wants to dress you. Image: Amazon Fashion screenshot.

Amazon Australia has continued its push into the Australian retail sector, today launching Amazon Fashion just in time for the Christmas retail frenzy.

With more than 150 fashion brands, the move follows its launch of Pantry Food and Drinks last month, and represents Amazon Australia’s growing focus on the Australian consumer.

Also read: Are Australian retail businesses in trouble?

Amazon Fashion has a collective range of tens of millions of products with local names cropping up next to international favourites.

Among Amazon Fashion’s “top brands” are Cooper St, Lorna Jane, Lacost, French Connection, Tommy Hilfiger, Van Heusen.

However, the retailer also stocks several exercise and outdoor-wear brands, luggage brands and children and baby brands.

Also read: Aussies taking drastic measures to save on Christmas

What does this mean for my favourite Aussie brands?

Several Aussie names grace the list of Amazon Fashion brands. But, the impact of the retail juggernaut on smaller vendors is difficult to ignore and comes less than a week after iconic Aussie fashion chain, Sussan, was reported as searching for a buyer.

Plus-sized fashion retailer Maggie T entered administration in January this year after luxury accessories retailer, Oroton in late 2017.

Roger David and Metallicus have also faced difficulties. Even international giant, Top Shop, hasn’t been immune.

“Retailers are facing a challenging environment of increased competition, slow growth in consumer spending and changing consumer preferences,” the RBA financial stability department’s Gabriela Araujo and Timoth de Atholia said in September.

Also read: Secrets to Bombshell Swimwear’s success

They said international companies enjoy the benefits that come with scale, while online retailers are also able to easily tap into changing consumer preferences.

Aussie retailers can win a marketing package to fuel growth

Amazon also announced a new award giving 15 Australian brands the opportunity to win a marketing package to fuel their growth. The Amazon Fashion Local Brand Award features shoewear brands Jaggar and Antoine & Stanley among its 22 nominees, together with up-and-coming fashion brands Three of Something, Will & Bear and Silent Theory.

The winner will be chosen by customer vote.

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“We are really excited to be empowering some brilliant home grown talent by putting them front and centre on our fashion store,” Angela Langmann, Amazon Australia’s head of fashion, said.

“We know Aussies love to shop local and we want to help them do just that with our Amazon Fashion 2018 Local Brand Award and The Local Fashion Store.”