Online sales boom starts with B2B sales

Posted by AFN Staff Writers on 4th July 2012

A survey just released by the Australian Bureau of Statistics (ABS) reveals that Australian businesses are receiving record numbers of online orders. Currently, however, the majority of online sales orders are business-to-business rather than business-to-consumers.

The ABS survey found that Australian businesses received online orders worth $189 billion in the twelve months to 2010–11, including orders received from Australian households, businesses and government, as well as orders received from overseas customers. This figure shows a 32% increase since the previous year.

The proportion of businesses that reported receiving orders via the internet increased by 13% to 28%. Half or more of the businesses in the wholesale trade and manufacturing industries reported receiving orders online (52% and 50% respectively). The retail industry came in sixth place (35%).

Businesses reporting a web presence increased from 40% to 43%. Nearly all large businesses had a web presence (97%), compared to one-third of micro businesses (defined by the ABS as “having four employees or less”).

Online groceries networks to grow

Australian Food News recently reported on Australia Post’s announcement of its forthcoming fresh food delivery service, Farmhouse Direct, an online fresh food ordering and delivery service, set to tackle its grocery delivery rival Aussie Farmers Direct.

Australia Post’s announcement of Farmhouse Direct came only days after an Australian Food News article on ParcelPoint, another newly launched online distribution network.

The boom continues, as another Australian online food “marketplace,” Foodtraders says it is also set to launch later this month. Foodtraders is currently inviting Australasian manufacturers, wholesalers, growers and retailers for food and beverage products to register.

Foodtraders representative Robert Falzon says his group does not buy stock and add a margin. He was telling his prospective suppliers, “You deal direct, and we look after the back end. This gives everyone the tools to sell and promote their brands without the major cost and headaches that go with setting up individual sites.”