With Australia's online retail sales worth more than $22 billion last year, it's a fast-growing sector.
But the top-selling names may surprise you.
What's more – the changes over the past three years reflect the technological advances many companies have made. As online wine retailer, Vinomofo's joint CEO Andre Eikmeier says, the secret to its rocketing rise is the technology it uses and not that it sells wine better than anyone else.
Mobile first and multi-platform strategies are just as important as selling quality goods, according to male fashion retailer Jackthreads.
And that's how Australia's number one online retailer has succeeded – although many won't know the company's name.
Here's the list of top 10 online retailers, courtesy of SmartCompany.
- Temple & Webster, which provides subscription-based homewares and was only founded in 2011. The company had revenues of $28 million in 2014 and expects to see $50 million this calendar year.
- Kogan – founded in 2006 by Ruslan Kogan and best known for its consumer electronics. Kogan has recently expanded into pantry goods including products such as Nutella and Pringles, razors and toothpaste.
- The Iconic – A fashion retailer founded in 2011, the company had turnover of $31 million in 2013. Late last year, The Iconic said it expected sales to accelerate, after it became the first domestic fashion e-tailer to deliver orders to customers on weekends. The Iconic even has a three-hour delivery policy in Sydney and Melbourne.
- Catch of the Day – once an eBay business, Catch of the Day is now eight-years-old and boasts 3.5 million members. No surprise then that the company averages one item sold every second, and 7% of orders come through social media platforms.
- Booktopia – Australia's answer to Amazon? Perhaps, with the company founded 11 years ago now generating $40 million each year. That's double what the company earned just three years ago in 2012.
- JB Hi-Fi Limited (ASX: JBH) – Another consumer electronics retailer – but with a substantial bricks-and-mortar presence. JB Hi-Fi generated $75 million in online sales last financial year and is still growing strongly.
- Red Balloon – is estimated to turn over $60 million each year, offering 3,000 different experiences across Australia and New Zealand. If you don't already know, Red Balloon offers gifts and vouchers for things like cooking classes, driving a V8 supercar, skydiving and helicopter flights.
- Dan Murphy's – owned by Woolworths Limited (ASX: WOW), the online alcohol retailer is estimated to have 46% of the online liquor market, and delivered $7.4 billion in sales for the Woolworths Group in 2014 financial year.
- Lorna Jane – the active wear retail brand reaps 14% of total sales from its online store, and the company, as a whole, is on track to generate $200 million in sales this year.
- Shoes of Prey – Once an online-only retailer of fashion shoes, is now expanding into bricks-and-mortar stores, including in the US. The company allows customers to design their own shoes.
Interestingly, just Catch of the Day and Booktopia featured in the top 10 of SmartCompany's Top 20 online retailers in 2012 – perfectly illustrating the technological advances the companies above have made.
