Amazon Business launches new tools amid Australia growth

Amazon Business has launched new purchasing tools in Australia and disclosed its first-year growth in the market, with tens of thousands of organisations now using the service locally.

Its business-to-business arm also announced an Australian partnership with Carnival Cruises and said its product selection had increased ninefold since launch. Amazon Business reported average quarter-on-quarter order growth of more than 50%, with orders in the second half of its first year 155% higher than in the first six months.

The update comes as companies scrutinise procurement costs and supplier management more closely. Research commissioned by Amazon Business and conducted by Lonergan Research among 1,000 Australian business leaders found organisations spend an average of AUD $257,000 a year managing procurement processes.

The survey identified several sources of friction in business purchasing. More than 70% of respondents said manual approval workflows delay important purchases, while 65% said fragmented supplier networks lead them to overpay. Nearly one in five still rely on paper forms and spreadsheets.

Amazon Business said Australian customers had saved hundreds of thousands of dollars through business pricing, quantity discounts and free shipping, although it did not provide a total figure. Popular categories on the platform include Technology & Electronics, Office Products, and Cleaning & Industrial Supplies.

New tools

Among the new additions is Amazon Quick, an AI assistant for Prime Business members. Amazon said the tool connects to more than 100 apps and data sources and can automate manual tasks, carry out research, and create documents such as presentations and spreadsheets.

The second product, Business Essentials, is aimed at routine purchasing. According to Amazon Business, it offers competitive pricing, bulk buying options with savings of up to 15%, and a curated range of tens of thousands of products with same-day and next-day delivery based on what similar businesses buy.

The tools build on features already introduced in Australia, including single sign-on, guided buying, and spend visibility tools. The broader aim is to shift procurement away from manual administration and toward centralised buying with tighter oversight.

Several customers cited reduced complexity from using a single purchasing platform. Amazon Business highlighted users in student accommodation and hospitality as examples of businesses managing broad and varied supply needs.

"Amazon Business has helped us streamline purchasing by bringing a wide range of products and suppliers together in one place," said Angelica Kritharis, Contracts and Procurement Manager at Iglu Student Accommodation.

"The improved visibility of purchasing across our 14 sites has significantly reduced the administrative burden for our teams. In the last three months, we've achieved 19% savings on our procurement," said Kritharis.

Another customer, restaurant group Zushi, said the service had helped centralise ordering across a business with varied requirements.

"We started using Amazon Business to streamline our procurement in one centralised place. Our needs are diverse as a restaurant group, and having a wide selection powered by innovative spend tools in a one-stop shop has made a big difference," said Serena Ang, General Manager at Zushi.

"Delivery is fast, convenient, and trackable in real time-we know exactly when orders are arriving, which means less time chasing suppliers and more time running the business," said Ang.

Enterprise expansion

Amazon Business is also extending its relationship with Carnival Cruises to Australian operations. The arrangement builds on an existing procurement relationship in the United States and gives Carnival's local teams access to Amazon Business for purchasing and supplier consolidation.

For large operators, scale and consistency remain central procurement challenges. Carnival linked the move to the breadth of products available and the need for reliability across front-of-house and back-of-house operations.

"One of the biggest challenges we face is the sheer scale of what we do, the volumes that we buy in the market, and trying to have consistency in terms of spec, and reliability of supply and price," said Jeremy Goodman, Regional Director - Strategic Sourcing & Supply Chain at Carnival Cruises.

"Amazon Business really gives us the option to access millions of products, with such a diverse range of items that can support both front-of-house and back-of-house supplies. Having a streamlined, simple solution to support our business ultimately helps us drive guest and crew satisfaction," said Goodman.

Lena Zak, Country Manager at Amazon Business Australia, said the company was benefiting from a broader shift in how companies view purchasing operations.

"Procurement has traditionally been viewed as a back-office function, but businesses are increasingly recognising the impact it has on productivity and profitability," said Zak.

"We're seeing strong momentum because Australian businesses want simpler, more consolidated ways to purchase what they need while gaining better visibility and control over spending. As cost pressures rise, they're looking for smarter ways to streamline operations and help employees spend more time on higher-value work-and that's exactly what we've built Amazon Business to do," she said.