Amazon is leading the marketplace industry for now after overtaking eBay in a historic moment, according to new research by Pattern. For years, eBay has been the most recognized place to sell online.
eBay was founded initially to sell second-hand items, but it has since evolved to become Amazon’s biggest rival. It led the marketplace for years, but according to new findings in the newly released Marketplace Consumer Trends Report – 2024, the scene has changed in favor of Amazon.
Just last week, Amazon announced its latest full-year financials for 2023, reporting a revenue jump to $170 billion due to a massive push from online shopping.
Key marketplace consumer trends for 2024
Now in its sixth year, the Pattern team highlights the marketplace’s important role, including the newly added Temu and Shein. The report acknowledges the boos in online retail activity during the COVID-19 pandemic. But it also notices the “challenging economic conditions” experienced now, marked by inflation and a steep increase in the cost of living.
Despite Australians searching for deals, budget-friendly bargains, and cutting down on luxuries, the report notices that shoppers are still flocking to online shopping.
The e-commerce market is projected to reach AU$ 64.14 billion later this year. Research also found that the most popular marketplace in Australia is Amazon, with an average of 75.2 million monthly site visits. Far behind is eBay, with 50.9 million monthly site visits.
Amazon, a strong competitor
Pattern finds that Amazon has overtaken eBay in Australia for the first time, heading straight to achieving the highest growth rate of any marketplace in 2024. 63% of consumers have indicated they plan to shop on the site this year. That’s an increase of 6% compared to the previous year.
Contrary to this, the study finds that 8% of consumers plan to spend less on eBay.
But what caused the shift in popularity? The research has found:
- Customers find Amazon products have more quality (58%)
- Largest product range (64%)
- Most convenient platform (56%)
- Reliable returns (49%)
For Amazon to keep this top spot in Australia, it must continue prioritizing speedy delivery, quality products, and good customer service.
Exciting data from this research points to a 59% growth in consumers choosing to begin their product search with Amazon or 11% turning to the marketplace for “inspiration.” In stark contrast, shoppers turning to eBay for research has declined by 19%.
Temu and Shein, competing for the same audience in the fashion sections, have also been featured in the report. Both emerging brands focus on selling clothing, shoes, and accessories, but Shein continues to shine bright. Australians prefer Shein (16%) to its rival Temu (10%).
Amazon attracts premium shoppers
As the dominant marketplace in Australia, Amazon’s online store posted net sales of AU$1.29 billion. That’s an increase of AU$883 million.
Premium shoppers are drawn explicitly to Amazon. The Pattern research found that 80% of those with a $200,000 (and more) household income have bought from the platform in the last 12 months. Aged shoppers are also drawn explicitly to Amazon. 73% of respondents using Amazon are between the ages of 34 and 44, while other marketplaces only attracted 59% of the professional-aged shoppers.
Amazon Stores’ CEO Doug Herrington says on top of this success, the company has also reached a remarkable milestone with a “new record for speedy delivery globally.”
More than 7 billion units now arrive the same or the next day. Another four billion customers received their deliveries in the US and 2 billion in Europe.
About the author
Mia is a multi-award-winning journalist. She has more than 14 years of experience in mainstream media. She's covered many historic moments that happened in Africa and internationally. She has a strong focus on human interest stories, to bring her readers and viewers closer to the topics at hand.
