What is the Future of Amazon Australia: Trends & Opportunities for Sellers in 2025 & Beyond

TL;DR

• Amazon Australia is growing rapidly, with projected revenue to exceed $5 billion by 2026—offering first-mover advantage for sellers.

• Aussie shoppers are shifting online, prioritising convenience, local products, sustainability, and mobile-friendly listings.

• Fulfilment is improving with new warehouses, faster delivery, and smarter inventory tools, making logistics easier for sellers.

• Product trends in AU focus on eco-friendly goods, wellness, home organisation, and seasonal outdoor essentials tailored to the Aussie lifestyle.

• New tools like “Enhance My Listing”, AI and Marketplace Product Guidance are being introduced to help sellers optimise listings and discover high-demand products.

• Key challenges include limited FBA coverage, fewer buyers than the US/UK, strict compliance rules, and slower review-building—requiring a strategic, localised approach.

Is Amazon Australia really worth the effort—or is it just too early to take it seriously?

That’s the question many sellers are asking. With fewer buyers than the US or UK, limited FBA coverage, and slower feature rollouts, Amazon AU can feel like a risk. But here’s the truth: behind the slower pace is a fast-growing marketplace that’s quietly setting the stage for long-term success.

More Aussie shoppers are turning to Amazon for everyday needs. Amazon is investing in local fulfilment, expanding its ad tools, and making it easier for sellers to scale. While other marketplaces are crowded and cutthroat, Australia still offers breathing room—and real opportunities for first movers.

In this blog, we’ll explore where Amazon Australia is headed, what’s changing in 2025, and why now is the time to get ahead of the curve. Whether you’re already selling or thinking of expanding, understanding the trends now will help you grow with the market—not chase it later.

How big will Amazon Australia get? 

Amazon Australia might have launched quietly in 2017, but its growth has been anything but slow. In just a few years, it’s gone from a limited marketplace to one of the fastest-growing eCommerce platforms in the country.

In 2023 alone, Aussie sellers generated over $100 million in export sales, and Amazon continues to expand its local fulfilment network and seller services.

Market analysts predict that Amazon Australia will surpass $5 billion in annual revenue by 2026, driven by rising consumer trust, faster delivery options, and more competitive pricing. With millions of Australians now using Amazon for everyday shopping, the shift from traditional retail to online is accelerating—and Amazon is at the centre of that change.

Unlike the crowded US and UK marketplaces, Australia still offers a first-mover advantage in many niches. With Amazon Australia's growth in 2025 expected to accelerate through continued investment in local operations, ad tools, and seller support, the time to build a strong presence is now.

If you're looking for long-term growth, Amazon Australia isn’t just worth testing—it’s worth building around. You still have time to get in early and grow with the platform, not after it’s saturated.

What will change in Amazon Australia in the future?

#1 Changing consumer behaviour in Australia

Australian shoppers are evolving—and so is the way they use Amazon. Just a few years ago, many Aussies still preferred in-store shopping or trusted local retailers over online marketplaces. But that’s shifting fast.

Today, convenience, speed, and value are driving more Australians to Amazon, especially for essentials, home goods, and lifestyle products. Shoppers are becoming more confident buying from third-party sellers, as long as listings feel local, trustworthy, and well-presented.

Sustainability matters more. Consumers are actively looking for eco-friendly, reusable, and “Made in Australia” products. They also care about transparent shipping, clear return policies, and reliable delivery timelines—even if it’s not Prime speed.

Mobile shopping is also on the rise, with more buyers discovering and purchasing directly through the Amazon app. This means your images, titles, and Amazon A+ content need to be scroll-friendly and optimised for smaller screens.

In short, the modern Aussie Amazon buyer is informed, value-conscious, and expects a seamless experience. Sellers who adapt their messaging, offer local relevance, and focus on trust-building will have the upper hand as consumer behaviour continues to mature in 2025 and beyond.

#2 Logistics and fulfilment developments

Amazon Australia is growing fast, and big changes are coming—especially in logistics and fulfilment. In the near future, we’ll see faster delivery, smarter warehousing, and better tools for sellers.

Amazon is already investing in more fulfilment centres across the country. This means sellers can store products closer to customers, leading to quicker shipping and lower costs. In the future of Amazon AU, expect same-day or even two-hour delivery to become more common, especially in major cities, as infrastructure continues to expand.

Robotics and automation are also being added to warehouses. These smart systems help pack and ship orders faster, reducing human error and speeding up processing times. For sellers, this means better support. With more local storage and fulfilment options, sellers can rely less on their own logistics and focus more on growing their business.

Tools like real-time inventory tracking and improved Seller Central dashboards will also help manage orders more smoothly. In short, Amazon Australia’s logistics future is all about speed, accuracy, and seller convenience. If you're selling now or planning to start, these changes will make things easier, faster, and more profitable for you.

#3 Product trends to watch

As Amazon Australia grows, so will the demand for products that fit the evolving lifestyle, values, and habits of Aussie shoppers. In the coming years, expect to see strong growth in eco-friendly, locally made, and wellness-focused products. Shoppers are becoming more conscious about what they buy—and who they buy from.

Categories like home organisation, pet care, outdoor gear, reusable baby products, and natural skincare are already gaining traction. As work-from-home and hybrid lifestyles become more permanent, items that improve comfort, productivity, and home aesthetics will continue to perform well.

Health-conscious products, especially those with clean ingredients or certifications like BPA-free, cruelty-free, or organic, will also see rising demand. As part of emerging Amazon Australian trends, Aussies are increasingly looking for practical, long-lasting items over cheap, fast-consumption products—especially in categories like wellness, home care, and baby essentials. Also, with Australia’s climate and outdoor culture, seasonal products like sun protection, cooling gadgets, and camping essentials will remain strong sellers.

The key for sellers? Don’t just follow global trends—adapt them to the Aussie lifestyle. Products that match local needs, values, and language will always outperform copy-paste listings from other regions.

#4 Seller landscape

The seller landscape on Amazon Australia is changing fast—and there’s more to come. As more Aussies shop online, Amazon will likely attract a wave of new sellers, both local and international. This means more competition, especially in popular categories like home, health, and electronics.

To stand out, sellers will need to focus more on brand building, unique products, and strong customer service. Generic, low-quality listings won’t cut it anymore. Amazon may also push for more local warehousing and faster delivery, encouraging sellers to use FBA for Prime shipping benefits.

We can also expect tighter compliance rules, especially around product safety, GST, and authenticity. Sellers who play by the rules and keep their accounts healthy will be rewarded. On the brighter side, Amazon might expand seller tools and programs in Australia—like Amazon Launchpad and advanced analytics—giving local sellers more ways to grow.

In short, the future will bring more opportunities but also more pressure. If you’re planning to sell on Amazon Australia, the key will be differentiation, customer trust, and smart strategy. As Amazon seller opportunities in AU continue to grow, those who adapt quickly and focus on long-term value will be best positioned to succeed.

New tools and features for sellers in 2025

Amazon is ramping up its support for Australian sellers in 2025 with a set of powerful new tools—many of which were already available in the US and are now being introduced to Amazon AU.

• One key upgrade is the “Enhance My Listing” AI tool, previously launched in the US. This smart feature helps sellers optimise product titles, bullet points, and descriptions using AI-driven suggestions. It’s designed to boost listing performance, improve conversions, and save time on content creation—especially for new or underperforming products.

• Another game-changing addition is the “Marketplace Product Guidance tool”, which provides sellers with data-backed insights on trending categories and high-demand products in the AU marketplace. It’s a quick way to spot opportunities and expand your catalogue strategically.

• Lastly, the “Selling Partner App Store” is getting a local boost, offering Australian sellers access to a wider range of third-party tools for inventory tracking, pricing automation, review monitoring, and more.

These new features signal Amazon’s continued investment in the AU market—making it easier than ever for both local and global sellers to scale efficiently and stay competitive in e-commerce Australia in 2025 and beyond.

Challenges sellers need to prepare for Amazon Australia 

• Limited FBA coverage: Amazon’s warehouse network in Australia is still growing. Delivery can be slower, and many sellers need to use other shipping partners to reach customers quickly.

• Fewer customers than the US/UK: There are fewer Amazon shoppers in Australia, so you may see lower sales unless you choose the right niche and optimise your listings well.

• High shipping and handling costs: Shipping across Australia can be expensive because of the long distances and low order volume. This can reduce your profit if not planned properly.

• Strict product rules: Australia has strict rules for product safety and labels—especially for supplements, baby items, and health products. You need to meet local standards or risk getting removed.

• Building trust takes time: Shoppers in Australia are careful when buying online. Reviews build up more slowly, and people often compare listings before buying.

• Fewer advanced tools:  Some of the advanced tools and ad features available in the US and UK are still limited in Australia, which can make it harder to scale fast.

Wrap up

Amazon Australia is no longer a market to overlook. While it may not have the scale of the US or UK yet, it offers something those saturated markets don’t—room to grow. With rising buyer trust, expanding fulfilment infrastructure, and new tools tailored for AU sellers, 2025 presents a unique window of opportunity for those ready to move early and smart.

But success here requires more than just listing a product. Sellers need to localise their approach, stay compliant, and invest in brand-building to win customer trust in a cautious yet fast-growing market.

If you're serious about scaling in Amazon AU, now’s the time to act—and you don’t have to do it alone. Working with Amazon professionals can help you navigate the changes, use the latest tools effectively, and build a profitable long-term business.