Australia/NZ Marketplace Ecosystem Overview: Strategic Insights for 2025
The Australia and New Zealand (ANZ) ecommerce marketplace ecosystem is evolving rapidly, driven by technological advancements, shifting consumer behaviours, and intensifying competition. For ecommerce managers, marketing leads, and founders targeting this region, understanding the nuances of these markets is essential to unlocking growth and optimising marketplace performance. This article provides a comprehensive overview of the ANZ ecommerce landscape, highlighting key trends, consumer profiles, marketplace dynamics, and strategic opportunities. It also reinforces Incubate Agency’s role as a trusted, performance-focused partner for brands seeking tailored support in scaling online.
The Current State of Ecommerce in Australia and New Zealand
Australia and New Zealand represent two of the most digitally advanced and mature ecommerce markets in the Asia-Pacific region. Both countries benefit from high internet penetration, widespread smartphone adoption, and robust digital infrastructure, which underpin strong online retail growth.
Australia’s ecommerce market reached an estimated US$89.4 billion total volume in 2024, with retail ecommerce accounting for US$46.2 billion2. The market is forecast to grow at a compound annual growth rate (CAGR) of around 6% through 2027, reaching approximately US$107 billion2. New Zealand’s ecommerce market, while smaller, is also expanding steadily, supported by growing mobile commerce and government initiatives to accelerate SME digital adoption7.
High digital adoption: 98% of Australians are banked, with widespread use of digital payments and smartphones2. New Zealand shows similar trends, with mobile commerce driving 66.2% of transaction value in 2024 and expected to grow at over 10% CAGR7.
Marketplace dominance: Online marketplaces contribute significantly to ecommerce growth. In Australia, marketplaces accounted for 39% of online spend growth in 2024, attracting $16 billion in sales3.
Generational diversity: Millennials (Gen Y) and Gen X lead ecommerce spending in Australia, with Baby Boomers and Gen Z also growing their online purchase volumes23. In New Zealand, Gen Z’s adoption of buy-now-pay-later (BNPL) and social commerce is accelerating7.
Cross-border trade: Both markets benefit from cross-border ecommerce, with New Zealand leveraging parcel agreements to lower shipping costs from Australia and China, enhancing international sourcing and sales7.
Marketplace Landscape and Competitive Dynamics
The ANZ marketplace ecosystem is highly competitive and dynamic, with established players and emerging challengers reshaping consumer choice and seller opportunities.
Australia’s Marketplace Environment
Amazon: Continues to expand aggressively, recently launching Amazon Haul, a budget-friendly storefront aimed at price-sensitive shoppers. This move is expected to counterbalance rapid growth from Temu, a discount marketplace that surged in popularity but faces quality perception challenges5.
Temu and Shein: These marketplaces have grown rapidly by offering low-cost products, appealing to value-conscious consumers. However, their expansion may slow as Amazon innovates and leverages Prime delivery benefits5.
Local marketplaces: Platforms like Catch and Kogan remain important for Australian sellers, offering regional reach and consumer trust.
New Zealand’s Marketplace Scene
Growing mobile commerce: Mobile-first shopping drives marketplace engagement, especially in urban centres like Auckland, Wellington, and Christchurch7.
Social commerce rise: Influencer-driven marketplaces and social media shopping are gaining traction among younger consumers, particularly Gen Z7.
Government support: The Digital Boost Programme accelerates SME migration online, increasing marketplace seller diversity and inventory depth7.
Consumer Behaviour and Ecommerce Trends
Understanding consumer preferences and behaviours is critical for tailoring marketplace strategies in ANZ.
Australia
Value and convenience: Rising cost-of-living concerns (93% of Australians) have pushed shoppers online in search of value, with marketplace sales growing faster than in-store3.
Delivery expectations: 85% of shoppers prioritise reliable delivery, with free delivery and frictionless returns rated highly3.
Personalisation and sustainability: Younger generations want personalised offers (61% Gen Z, 62% Millennials) and sustainable shopping options, including recommerce3.
Mobile dominance: Mobile commerce is expected to account for nearly 75% of ecommerce traffic by 20294.
New Zealand
Mobile-first shopping: Smartphones generated 66.2% of ecommerce transaction value in 2024, with 5G and fibre broadband improving user experience7.
BNPL adoption: Rapid uptake of buy-now-pay-later solutions fuels average order value growth, especially among Gen Z7.
Social commerce: Post-COVID, social media influencer marketplaces have surged, particularly among urban millennials and Gen Z7.
Omnichannel and B2B growth: B2B ecommerce is forecast to grow at 11.8% CAGR, driven by digital procurement platforms and SME digitalisation7.
Strategic Opportunities for Brands and Retailers
To capitalise on the ANZ ecommerce ecosystem, brands must adopt tailored strategies that align with local market dynamics and consumer expectations.
Optimise Marketplace Presence
Prioritise marketplaces with strong local relevance such as Amazon Australia, Catch, and Temu.
Leverage marketplace advertising and promotions to improve product discoverability.
Monitor emerging platforms and social commerce channels to diversify sales channels.
Enhance Mobile and Omnichannel Experiences
Ensure ecommerce sites and marketplace listings are fully mobile-optimised.
Provide seamless cross-device shopping journeys and fast-loading pages.
Integrate click-and-collect or out-of-home delivery options, which are increasingly popular among younger shoppers3.
Focus on Delivery and Returns Excellence
Communicate clear delivery timelines and offer free or low-cost shipping.
Implement frictionless returns processes to build trust and repeat business.
Explore last-mile innovations such as parcel lockers or robotics, particularly in urban centres7.
Personalise Marketing and Product Offerings
Use data analytics and AI to deliver personalised offers and recommendations.
Develop product assortments that cater to sustainability and recommerce trends.
Target generational segments with tailored messaging and promotions.
Why Partner with Incubate Agency for ANZ Marketplace Growth
Incubate Agency brings over 50 years of combined leadership in ecommerce marketplaces and digital performance strategy. We specialise in helping growth-focused brands navigate complex ecosystems like Australia and New Zealand with tailored, transparent, and strategic support.
Learn more about our Amazon performance management to maximise visibility and sales in key marketplaces.
Explore our digital performance strategy services designed to accelerate ecommerce growth.
Review case studies showcasing how we have helped brands succeed in competitive marketplaces.
Conclusion: Ready to Scale Your Growth
The Australia and New Zealand ecommerce marketplaces offer significant growth potential for brands that understand their unique dynamics and consumer behaviours. By adopting a data-driven, mobile-first, and customer-centric approach, and partnering with an experienced consultancy like Incubate Agency, you can unlock new revenue streams and build lasting customer loyalty.
Ready to scale your marketplace growth with a partner who gets it? Book your consultation now.