10 August 2017
Resolution has been working over the past six months to establish a new offering to help brands take on Amazon’s monumental shake up of online retail in Australia. It centres on improving the e-commerce capabilities of brands as well as use of Amazon in media strategies.
Australian shopping behaviour has seen a landslide shift in recent years with e-commerce sales increasing from $26.8B in 2013 to $32.6B in 2017 – and there is no sign it’s slowing down. This lucrative trend is a huge talking point among onlookers both local and international. And the conversation is expected to heat up even further as American retail giant Amazon officially sets foot in Australia later this year. They are in the midst of hiring more than 250 staff for this market so it’s just a matter of time…
Brands need to be prepared so they can be first to market to take advantage of the groundswell of interest in building positive rankings, reviews and ratings on Amazon.
Citi Research predicts that Amazon’s entry will create a greater than 2% drop in sales, with JB Hi-Fi to absorb the largest hit at 6%.
But Amazon’s entry isn’t just affecting retailers. The Amazon push will also impact the brands that feed into these retailers and we are working with a number of FMCG and hardware companies already.
The platform giant also has a wealth of data that can be leveraged well beyond the walls of its ecosystem, with shopper media becoming a new kind of supply chain.
Resolution’s Amazon offering incorporates specialist teams across the agency’s entire operational framework: Create, Connect and Convert.
We will be leveraging our Omnicom Media Group global enterprise level partnership with Amazon and have been working closely with our Resolution U.S. counterparts to adapt tried-and-tested processes for the Australian market. In the U.S., Resolution in fact has team members nested in Amazon sitting directly with the team; we learnt a lot from them during our recent visit in April.
Using our new Transact™ integration methodology, we will be helping clients:
The Amazon team is led by Richard Bedford, General Manager of Owned and Earned, in conjunction with Tom Fryett, Head of Programmatic Sydney and Mohammad Heidari Far, Head of Customer Experience and Optimisation.
Please reach out for more information.
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