Why should you expand your business into Australia?

Growth of on-line shopping in Australia

Australia is fast becoming a key strategic country for international retailers to expand their footprint. The potential of the Australian on-line shopping market is reflected in the decision by Amazon to enter the Australian market.

It is further reflected in recent and continued successes from some of the US, UK and Europe's largest retailers offering their products into the Australian market by utilising partnerships with a 3PL provider in Australia who can manage and distribute a local stock holding.

Using this model, Australian consumers can access international brands without having to wait 7-10 days for international delivery which makes a significant difference in their buying decision.

To discuss a tailored solution for your business call us on 1300 462 615 or:

Changes to tax legislation in Australia

Effective from the 1st of July 2018 an important change in tax legislation will be implemented in Australia. Currently, imported shipments into Australia under $1000 are exempt from the 10% GST (Goods and Services tax). From July 1st, the 10% GST will apply to all imports into Australia regardless of the value. This change in legislation will mean the following for retailers selling to Australian customers:

  • All shipments arriving into Australia will require processing through Australian customs which is likely to result in additional transit time to account for the customs clearance time
  • Unless the seller is operating as an Australian business, the Australian customer will be contacted to pay the 10% GST and a processing fee before the shipment is released for delivery. If the customer refuses to pay the additional fees, the shipment will be returned at the sender’s expense

Locating your inventory in Australia and sending your orders from within Australia will avoid these issues and provide your business with a competitive advantage.

Furthermore, if you set up a business structure in Australia (which we can assist with), you'll be able to claim back the 10% GST you paid on import via your quarterly tax compliance process called a BAS - Business Activity Statement.

Australians can no longer access Amazon international marketplaces

Effective from the 1st of July 2018, Amazon will be blocking Australian consumers from accessing all Amazon global marketplaces. As a result Australians will only be able to shop on Amazon.com.au. The move is in response to the Australian government decision to apply the 10% GST to all overseas purchases regardless of the value. Amazon's ban applies to all shipments to Australian addresses, which means that even customers with VPN's that hide their location will not be able to ship to their home.

Considering this change, the only way to sell to Australians via Amazon is to locate stock within Australia and sell on the Amazon.com.au site.

How can DB Global help?

DB Global consist of a team of professionals who are experts in the Australian logistics industry, but also with International Logistics experience. This allows us to implement the best possible solution in Australia which will be communicated to you in terms you will be familiar with.

Benefits you can expect when engaging DB Global include:

  • Ability to provide the client with a comprehensive end to end solution, from setting up an Australian business through to delivery of each individual order to the end customer
  • Access to Supply Chain professionals with the specific expertise in managing the expansion of international companies into the Australian market
  • Access to world-class resources, processes, services, and technologies in the Australian market
  • Economies of scale through sharing resources, volume shipping discounts, and increased shipment visibility
  • A strategic partnership with a company, whose core activity is specialising in logistics, allowing you to increase focus on your core competencies
  • The flexibility to respond quickly to changing market trends, changing business environments, and peak periods without major disruptions to distribution operations

Key services offered by DB Global

Assistance with setting up and operating an Australian business

DB Global have partnered with experts in the field who can either provide you with advice to guide you through or alternatively, to complete the steps on your behalf to set up an Australian business

Particular areas of expertise are:

  • Advice on the best business structure for your company - either branch or company subsidiary
  • Setting up a trading entity in Australia including local business address and resident company director
  • Australian Tax and GST compliance
  • Ongoing Accounting and bookkeeping services performed on your behalf by a local professional resource
  • The essentials for hiring employees in Australia
  • Payroll and ongoing HR services
  • Liaising with head office for smooth accounting collation and reporting

International shipping and customs brokerage

DB Global have partnered with a leading freight forwarder in order to offer a complete range of international freight solutions to our clients - including the customs clearance processes for importing into Australia.

Integration capability with multiple ecommerce platforms and marketplaces

DB Global's order management system can integrate with all major ecommerce platforms as well as popular marketplaces such as Amazon and ebay allowing you to sell on multiple channels in Australia all managed by the same process.

Amazon FBA preparation

DBG Logistics have expanded our services to include the preparation of shipments to the recently opened Amazon FBA warehouse in Melbourne

Click here to read about our services.

Contact us directly to understand more about how we can help you take advantage of Amazon's expansion into the Australian market.

Order fulfilment

DB Global operate a large scale warehouse in Melbourne which can accommodate everything from individual SKU picking to full pallet picking. For more information on our Australian order fulfilment solution:

Distributing across Australia

DB Global has arrangements in place with all of the major transport providers in Australia. Our expert local knowledge will ensure that we match your freight to the most appropriate transport solution at market-leading rates.

To discuss a tailored solution for your business call us on 1300 462 615 or: