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The Current State of Australia's Cross-Border EC Market and Points to Consider [2024 Edition].

I want to start cross-border EC in Australia, but what is the actual situation?"

For those who have such questions, this article explains the following.

The size and growth rate of Australia's cross-border EC market

Consumer characteristics and purchasing behavior

Points to note about Australian cross-border EC

If you are currently thinking about expanding your business in Australia, please read on.

Basic Information on Australia

First, here is a summary of basic information about Australia.


7,692,024 square kilometers (about 20 times the size of Japan, about the same as the U.S. excluding Alaska)


Approx. 26.26 million


Mainly of European descent, including Anglo-Saxon. Other ethnic groups include Middle Easterners, Asians, and indigenous peoples.

Official Language



Christianity 43%, no religion 38

Major Industries

Mining, wholesale and retail trade, finance and insurance

Reference: Basic Data on Australia, Ministry of Foreign Affairs

According to worldometers, Australia ranks 55th in the world population ranking, and the population growth rate over the last three years shows an annual increase of around 1%. In contrast, Japan's population in the last three years has been decreasing at around 0.50% annually.

Therefore, Australia can be said to be a more promising country than Japan.


Australia Population (2024) - Worldometer

Japan Population (2024) - Worldometer

Australia's Cross-border EC Market in 2024

According to statista, the Australian EC market is growing rapidly and is expected to reach US$37.1 billion by 2024 (¥5,834.6 billion as of June 2024).

This EC market is projected to expand at an annual growth rate of 9.36% to reach approximately US$58.03 billion (9,126.2 billion yen) by 2029. Japan's growth rate of 9.23% is also on par with Australia.

The number of users is expected to reach 23.1 million in 2029, and the penetration rate to 84.4% in the same year (65.3% in 2024).

Clothing, electronics, and food are the top three categories in DataReportal's survey, but as the penetration of the e-commerce market increases in the future, demand for other categories is expected to increase as well.

Characteristics of Australian Consumers

According to LOCAD, Australian consumers in the 30-39 age group are active online shoppers and tend to compare product prices and conduct in-depth research.

E-commerce growth is particularly strong in New South Wales and the capital city of Canberra. In addition, higher socioeconomic status groups tend to have higher demand for certain product categories and higher-priced products.

In terms of gender, both genders are widely accepted, with women being particularly active on social networking sites, while men spend more time shopping on e-commerce sites.

Factors Driving Australian Consumers' Brand Awareness and Purchases

The following data shows that SEO, word of mouth, TV ads, and SNS ads are the top drivers of brand awareness.

If medium- to long-term digital marketing efforts are to be implemented, SEO on product pages and columns and word-of-mouth spread on social networking sites are effective, while social networking ads are effective if a short-term approach is desired.

Also, the most important factors that encourage purchase are free delivery in first place, coupons/discounts in second place, and an easy return policy in third place.

Australian users are sensitive to special offers and discounts, and are highly motivated to buy at sales events such as Black Friday, so promotions tailored to this time of year are effective.

Australia's Import Regulations and Taxation System

Australia has import restrictions on goods that pose a danger to the public and can carry pests and diseases.

According to PrivacyShield, these include food, plants and animals, and protected wildlife. However, since the laws of each state vary, it is necessary to request research from local marketers.

As for taxation, Australia has a Goods and Services Tax (GST), currently at a rate of 10%; starting in 2018, low-value imported goods (less than A$1,000) will also be subject to the GST.

This means that overseas e-commerce businesses will need to pay GST in the same way as businesses in Australia, and will need to take this into account in their pricing and accounting procedures.

Popular payment methods and their usage rates in Australia

With the rise of digital payments, the use of cash has declined to around 1% in Australia. Digital & mobile wallets are mainly used at 31.0%, debit & credit cards at 41.0%, and bank transfers at 10.0%.

In Japan, 12.3% used digital & mobile wallets, 64.2% debit & credit cards, and 8.4% cash.

Compared to Japan, digital & mobile wallets are used more than twice as much in Australia. Therefore, if digital & mobile wallets are not available as a payment method, the purchase rate of e-commerce sites may decrease.

Two popular cross-border EC platforms in Australia

With reference to statista, we will explain two popular cross-border EC platforms in Australia.

The platform we will be describing is not our own EC, but a mall-type EC site. By using this mall-type EC, in addition to gaining early recognition, you have the advantage of being able to focus on the quality of your products by having the platform take care of logistics and customer service.


Amazon began operations in Australia in 2017 and is known for its global brand reach and wide range of product categories.

This Amazon is a good fit for all categories and price-competitive categories for toC.

The Fulfilled by Amazon service also allows sellers to outsource the storage and delivery of their products to Amazon, which reduces risk and allows newcomers and small businesses in particular to expand their business.

From a marketing perspective, Amazon can predict customer buying behavior and needs and provide personalized product recommendations, which can also improve cross-selling.



THE ICONIC is a mall-based e-commerce site that focuses specifically on fashion and lifestyle products in the Australian cross-border e-commerce market. The site is known for its fast shipping options and is particularly popular with younger, fashion-conscious consumers.

It also has strong visibility in Australia as well as New Zealand, offering the latest trends in apparel to consumers in the region.

In terms of marketing strategy, THE ICONIC relies heavily on digital marketing and social media use, and is particularly active on Instagram and Facebook.

This helps to increase brand awareness and strengthen engagement with target audiences. THE ICONIC is also active in seasonal campaigns and sales to attract and maintain customer interest.

Cautions for Australian cross-border EC

According to a JETRO study, immigrants will account for 51.5% of the total population as of 2021, surpassing the 48.5% of the indigenous population. Nepalese, Indian, Pakistani, Iraqi, and Filipino immigrants are on the rise, so it is necessary to approach them with an awareness of their cultural backgrounds and language differences.

In addition, logistics strategies need to be well planned based on delivery costs and delivery options. The reason for this is that Australia is vast in area compared to Japan, so delivery costs to remote areas are much higher than expected.

Since there are fluctuations with regard to immigration rates and delivery costs, we recommend that you research the latest information with native local marketers before deciding on a logistics strategy.

Frequently Asked Questions about Australia Cross-border EC

The following frequently asked questions regarding cross-border e-commerce in Australia are answered.

  • What are the legal requirements for starting an e-commerce business in Australia?

  • How should I set up a return policy in Australia?

  • What is the best way to ship goods to Australia?

Q. What are the legal requirements for starting an e-commerce business in Australia?

A.To establish a business in Australia, you need to register your business with ASIC and obtain an ABN (Australian Business Number). GST registration is also required if your annual sales exceed AUD 75,000 (JPY 7.79 million as of June 2024). These registrations can be made through the Australian Taxation Office (ATO).

Q.How should I set up a return policy in Australia?

A.According to the ACCC (Australian Competition and Consumer Commission), consumers must be allowed to return goods if

  • The product purchased is faulty

  • Or it is different from the description

The refund must be for the full amount paid by the consumer for the product and must be made by the payment method by which the user made the payment.

Q.What is the best way to ship products to Australia?

A.Since different regions within Australia have different accessibility, it is advisable to offer multiple logistics options. It is common practice to offer expedited delivery services to major cities and standard delivery options for remote areas.

Transparency and traceable delivery options can also improve customer satisfaction.

TheDigitalX supports cross-border EC strategy & operation in Australia

If you are worried about your cross-border EC strategy and operation in Australia, please contact The Digital X.

Our native Australian marketers and specialists in Japan will support you.

Please feel free to contact us with any questions or concerns you may have.

We look forward to hearing from you.

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