Amazon's Australian marketplace covers 23 categories including books, computers, music, clothing, accessories, home improvement, consumer electronics, kitchen goods and baby products.
Amazon has launched with both its own retail offer, in which it sells and ships items direct to customers, and its "third-party" marketplace with allows other businesses to sell through Amazon's website
The Australian launch is broader than in some other markets it has launched in, which include Spain, Canada, the United Kingdom and Ireland, Italy Brazil and Japan.
In a carefully planned announcement, Amazon Australia's country manager, Rocco Braeuniger, said Amazon would be offering "millions" of products from well-known Australian brands as the company enters the $300 billion retail market.
"By concentrating on providing a great shopping experience and by constantly innovating on behalf of customers, we hope to earn the trust and the custom of Australian shoppers in the years to come," Mr Braeuniger said in a statement to the ABC.
Delivery speed has been a decisive factor in Amazon's popularity in the other markets. In Australia, next-day delivery will cost $9.99 in Sydney, Melbourne, Brisbane, Adelaide and Canberra. Customers in Perth and regional cities in Victoria, NSW and SA will pay $11.99 for delivery within two days.
"Expedited delivery" of two to three days will cost $5.99 for eastern capitals and $7.99 for Perth. Free shipping will be available on orders direct from Amazon worth over $49, but will take between three days and a week to arrive.
But customers will have to wait until mid-next year to sign up to its popular Prime subscription service, which gives members free express shipping. Amazon said its two-hour delivery "Prime Now" service would not be available until some time after that.
The entry of Amazon into Australia is likely to pressure local online players like Kogan, JB Hi Fi and Ebay, with other major players forced to lower prices in the face of the toughest trading conditions since the 2007 global financial crisis.
Citi analysts predicted retailers would have to drop the price of electronic goods by about 10 per cent after Amazon's arrival.
UBS analyst Ben Gilbert said last week the Amazon's arrival would be a step-change in Australian e-commerce, and would spark a doubling of the rate at which consumers are moving online to shop.
