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Myer and Amazon announce deal

By Wei Zhang
1 min read
016585 myer david jones
016585 myer david jones
In this article (5)

Myer will stock Amazon Kindle products in its store and online, after the retailers today announced a new partnership.

Amazon’s heavily-speculatedventure into Australia, alongside a host of other international brands now entering the market, have been posed as major risks by analysts to the 117 year old department store chain retailer, amid CEO Richard Umbers’ ambitious turnaround plan for the business.

Today’s announcement sees Myer offer a selection of Kindle e-readers and device accessories.

“We are thrilled to announce our program with Myer, a true icon of Australian retailing,” said Scott Harrington, director of Amazon Device Sales.

“As the largest department store chain down under, Myer will help make e-reading even more accessible to literature enthusiasts across the nation.”

“We want to help make it as easy as possible for Australians to delve into a good story. Now that Australians can shop for Kindle e-readers and accessories at Myer, we’re one step closer to that goal.”

Dain Friis, Myer group general manager home and entertainment, said the “collaboration is a natural fit for us.”

Earlier this month, former cross-border supply chain manager at Amazon, Brittain Ladd, said the US giant will begin its Australian entry with  a “basic model in terms of staging.”

Temple & Webster CEO Mark Coulter said he’ll “probably” partner with Amazon in a panel discussion.

Adairs CEO Mark Ronan is reviewing the possibility of bringing his company’s range of high-end Manchester to Amazon’s platform.

Amazon itself has begun discussions with suppliers, with former Appliances Online head of buying Fabio Bertola having been brought on to oversee the rollout of marketplace.

Meanwhile Myer boss Richard Umbers remains committed to his “wanted brands” strategy despite the retailer suffering a $46 million hit from the collapse of its Topshop experiment and continuing pain from fashion label sass & bide.

Questions & Answers

Q.

Does this partnership affect Myer's other product lines or brands?

A.

The article states that Myer remains committed to its 'wanted brands' strategy. However, it also notes the retailer suffered financial hits from previous brand collaborations, including Topshop and sass & bide.

Q.

How does this deal relate to Amazon's overall entry into Australia?

A.

This partnership sees Myer stock Amazon Kindle products, which is part of Amazon's heavily-speculated venture into Australia. Amazon is reportedly starting with a basic model for its Australian entry.

Q.

Are other Australian retailers partnering with Amazon?

A.

Yes, other Australian retailers are considering or have begun discussions regarding partnerships with Amazon. Temple & Webster's CEO has suggested a likely partnership, and Adairs' CEO is reviewing possibilities.

Q.

What is the expected scope of Amazon's marketplace rollout in Australia?

A.

The article mentions that Amazon has begun discussions with suppliers, and a former Appliances Online head of buying has been brought on to oversee the marketplace rollout. No further details are given on scope.

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