European E-Commerce Grows 13%, But Challenges Lie Ahead

The European e-commerce market grew by 13% final yr, to €718 billion, however is more likely to face related challenges to the broader retail sector, a brand new report by Ecommerce Europe and EuroCommerce has discovered.

The 2022 European E-commerce Report discovered that the expansion charge for e-commerce has remained steady, with a marginal rise in comparison with 2020, even regardless of the loosening of COVID restrictions.

The report identifies two key traits – firstly, that e-commerce gross sales are beginning to normalise following the heightened gross sales patterns of the pandemic interval, with progress slowly stabilising.

Secondly, it notes that customers are being extra cautious of their spending, because of the inflation, the results of the conflict in Ukraine, provide chain disruption and a common feeling of uncertainty.

Buying Energy

“Although nonetheless troublesome to guage, the conflict in Ukraine could have main penalties on the European financial system, in addition to on e-commerce markets,” commented Luca Cassetti, secretary common of Ecommerce Europe.

“A lot of our members have already reported declines in client buying energy and confidence, largely resulting from excessive power costs, inflation and uncertainty in regards to the future.”

Nonetheless, the report notes that the truth that e-commerce gross sales are solely experiencing a small decline to this point reveals that the digital commerce sector has develop into indispensable and really resilient.

Moreover, the web companies trade, corresponding to e-tourism, occasions and ticketing, skilled a gradual restoration throughout this previous yr.

Sector Transformation

“The retail and wholesale sector is reworking considerably to develop into extra digital, extra sustainable and to draw new expertise,” added Christel Delberghe, director common of EuroCommerce. “We estimate that companies should double their funding as much as 2030 efficiently obtain that transformation.”

Delberghe added that each EuroCommerce and Ecommerce Europe might be monitoring the implementation and enforcement of the EU’s Digital Agenda carefully, “to make sure that Europe offers an atmosphere conducive to innovation whereas making certain honest competitors”.

In accordance with the report, Western Europe is, by far, the strongest area when it comes to B2C e-commerce turnover, holding 63% of the whole turnover for 2021. Southern Europe follows in second place with simply 16% of whole turnover, whereas Central Europe and Northern Europe are available in third and fourth (10% and 9% respectively), and Jap Europe (2%) in final place.

Learn Extra: Europe Calling – ESM Meets EuroCommerce Director General Christel Delberghe

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