In 2013, Amazon launched a Kindle store in Australia. This fall, it launched warehouse-based sales for the first time—in a country where a quarter of all print book sales are through independent bookstores.
Articles across the US and Australian media express two major concerns: first, that Australia’s publishers will provide better terms to Amazon than indie bookstores, driving down prices and author royalties; and second, that “Amazon will find a way to tilt Australia’s labor, tax, and import laws in its favor,” writes Damien Cave in the New York Times.
Australia has a long and proud tradition of supporting independent and community businesses; as Cave points out, not even Starbucks has fared well in the country. Will Amazon? The possibility of free Prime shipping may tip the scales in its favor, especially since for years Australians have been placing book orders on the American Amazon site, with added overseas shipping costs, and still paying less for books than they would locally.
Still, the Australian government has laws in place that protect Australian publishing and literary culture and that curtail potential Amazon advantage. Booksellers are not allowed to import and sell books from another country as long as they are reasonably available from Australian publishers or copyright holders; this prevents Amazon from acquiring books more cheaply from elsewhere—and it also keeps book prices high.
Bottom line: Australia has been admirable in its preparations for Amazon’s arrival. Ahead of Amazon’s launch, the Australia Post launched a delivery program called Shipster, which essentially mimics Amazon Prime by offering free delivery from local retailers. Some believe that Amazon’s arrival won’t be as devastating as feared; they point to Canada, where Amazon’s market share is five times smaller than in the United States. The large size and scattered population distribution of both countries, experts say, pose significant logistical challenges for Amazon.
Jane Friedman has spent her entire career working in the publishing industry, with a focus on business reporting and author education. Established in 2015, her newsletter The Bottom Line provides nuanced market intelligence to thousands of authors and industry professionals; in 2023, she was named Publishing Commentator of the Year by Digital Book World.
Jane’s expertise regularly features in major media outlets such as The New York Times, The Atlantic, NPR, The Today Show, Wired, The Guardian, Fox News, and BBC. Her book, The Business of Being a Writer, Second Edition (The University of Chicago Press), is used as a classroom text by many writing and publishing degree programs. She reaches thousands through speaking engagements and workshops at diverse venues worldwide, including NYU’s Advanced Publishing Institute, Frankfurt Book Fair, and numerous MFA programs.
