eCommerce In Good Health In European Markets

Recent research conducted by GfK Market Research Institute, for Ecommerce Europe, in 11 European countries (Europe11) shows that e-commerce has grown extremely fast over the past six years, especially in consumer electronics. According to the actual turnover of online shops, the 6.7% share of the total turnover of online sales back in 2006 has reached 15.5% in 2012. GfK and Ecommerce Europe estimate that the total turnover of web-based sales of goods and services in 2012 will reach €310 billion.

Despite a high overall increase in online sales, there are discrepancies between countries. The three largest markets in Europe – Germany, the UK and France – account for 78.5% of Europe11’s eCommerce turnover. This can be explained, in part, by differing Internet penetration rates in the continent.

The report also found that online sales hike at certain periods of the year like holidays. Online sales are concentrated on just a couple of weeks, as more than 40% of the turnover has been generated during week 49 and week 50. Nonetheless these can also vary across countries: in the Netherlands, peaks of activity are perceived in week 48 (the week before Saint Nicolas’ Day, when Dutch people exchange gifts) and week 51. Delivery time is less than 24 hours; therefore consumers have no apprehension when ordering a few days before Christmas. In France, Italy and the UK, online sales are progressively concentrating until week 50; then we note a small contraction in week 51; most probably related to consumers’ fear about potential delays in delivery time.

To conclude, Christmas 2012 demonstrated the excellent health of eCommerce in Europe; in countries where e-commerce is emerging, such as Belgium, Italy or Spain and also in countries where e-commerce is more mature, such as the UK, the Netherlands, France or Germany. The past holiday period confirms new consumption habits, more and more through smartphones or tablets, thanks to the increasing uptake of European consumers of these two products. Diversification, mobility, logistics and business model optimisation are the focus of consumer electronics’ websites for the next years.