• Revenue in the eCommerce market is projected to reach US$10.37bn in 2023.
• Revenue is expected to show an annual growth rate (CAGR 2023-2027) of 7.66%, resulting in a projected market volume of US$13.93bn by 2027.
• With a projected market volume of US$1,308.00bn in 2023, most revenue is generated in China.
• In the eCommerce market, the number of users is expected to amount to 7.32m users by 2027.
• User penetration will be 0.0% in 2023 and is expected to hit 74.6% by 2027.
• The average revenue per user (ARPU) is expected to amount to US$0.00.

In the last decade, the eCommerce market has evolved from a simple concept of brick-and-mortar retail to a shopping ecosystem that involves multiple devices and store concepts. Many players from both online and offline retail are moving towards multi-channel strategies and are continuously reinventing the way we shop online. Expectations are growing rapidly as customers discover more convenience on all levels – be it product customization, mobile-optimized search, quick checkout processes, or hassle-free delivery.

In 2021, the percentage of consumers who made at least one purchase online in the previous 12 months grew to 74% of population in the U.S., 81% in the UK, and 69% in China. In developed countries, the market is in its maturity phase, and the competition among eCommerce players is extremely high and cost-intensive. Marketplaces such as Amazon and AliExpress are flourishing, while many stand-alone retailers struggle to find their USP, as brand and store loyalty are decreasing and the cart abandonment rate in the industry is high. Increasing brand engagement can be achieved through community building (e.g., ASOS Marketplace), loyalty programs, and a seamless mobile and desktop user experience.

Chinese key market players such as Alibaba Group, JD, and Pinduoduo jointly contribute to the comprehensive eCommerce ecosystem in China – and are increasingly penetrating other promising Asian markets, such as Indonesia and India. The Chinese population is tech-savvy and mobile-first, and Chinese eCommerce giants are therefore constantly pushing technology forward. They have diversified into literally every sphere that comes in touch with online retail, from payments to logistics. Current developments in China will – to a large extent – define the next decade’s global eCommerce.

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