E-commerce in Europe is thriving, with the UK leading the way as the largest market in the region, closely followed by France and Germany. Despite the UK’s current dominance, with a market value of €178.5 billion and accounting for over 30% of Europe’s total e-commerce activity, its growth is expected to decelerate due to market maturity.
According to research by JP Morgan, the UK’s e-commerce market is projected to grow at a compound annual rate of 9% over the next three years, reaching a total value of €231.2 billion by the end of 2021. This slower growth trend is forecasted to also impact other mature markets such as France and Germany, which play a significant role in driving European e-commerce.
Nevertheless, the report highlights the potential for substantial e-commerce growth in ten other European countries. Nations like the Czech Republic, Italy, and Spain are expected to experience annual growth rates of 16%, 14%, and 13.5% respectively. Factors such as the proliferation of online stores, increasing cross-border shopping, and investments from major retail players are set to fuel the expansion of e-commerce in these regions.
The report also emphasizes the importance of mobile commerce (m-commerce) in driving e-tail growth across Europe. With consumers increasingly opting for mobile devices to make purchases, mobile payments are projected to surge by 20% annually over the next three years. Markets like Ireland, the Czech Republic, Norway, and Sweden are predicted to witness the most significant growth in m-commerce.
In summary, while established markets like the UK, France, and Germany may witness slower growth in the near future, other European countries are poised for substantial e-commerce and m-commerce expansion. Evolving market conditions and changing consumer preferences will shape the trajectory of e-tail in Europe, leading to overall growth in the region.
For further information on the European e-commerce landscape, you can visit European Commission – E-commerce and Statista – Online Marketing.
