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Global Online Retailing, 2013-2018 Market Dynamics, Online Trends and Competitive Landscape
Report Code: RT0177IS
Published: July 2014
Report Price: US$4,950 (Single Copy) for full report and US$1950 for individual regions and global summary
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The electrical and electronics category group is the most popular category group sold online. It is largely driven by the
deals and discounts offered by online retailers, and the “showrooming” trend
M-commerce is gaining popularity, with a rise in smartphone and tablet penetration. By 2018, M-commerce will account
for a nearly half of B2C E-commerce spending.
Online retailers are adopting an omni-channel strategy to provide the essential seamless shopping experience to the
customer
Social commerce is growing, driven by the greater integration of social media and e-commerce platforms.
After cards, E-wallets is the fastest growing mode of payments across the world.
The “Global Online Retailing, 2013-2018” report, published by Conlumino, provides an analysis of current and forecast
market data of retail sales in different category groups in online retail channel across the globe. In addition, it covers
information on key technology trends, online trends in major countries and payment preferences of consumers. Also
focuses major retailers across the regions, with an emphasis on innovative retailers in the online retail space.
Summary
July 2014 RT0177IS
Key findings
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Reasons to buy
The report provides an essential overview of the global online retail market, highlighting the largest and fastest growing
online markets across the globe.
Provides analysis of the latest trends, market dynamics (covering 9 category groups) and key innovations in the online
retail space in major countries across the four regions, Americas, Europe, Asia-Pacific and Middle East and Africa.
Identify the largest and fastest growing categories in major countries across the four regions.
Benefit from a detailed analysis of key global technology trends influencing the online retail market.
Monitor the competitive landscape with the analysis of key international players across the four regions.
Analyze the growth of Amazon and Alibaba in the online retail industry, through the specific case analysis.
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CONTENTS
Asia-Pacific Highlights online retail
market size in 2013 and its
forecast till 2018
Biggest and fastest growing
online retail markets
Fastest growing online retail
markets for major category
groups
Online retail trends
Major online retailers in the
region
Innovative online retailers
Americas
Highlights online retail
market size in 2013 and its
forecast till 2018
Biggest and fastest growing
online retail markets
Fastest growing online retail
markets for major category
groups
Online retail trends
Major online retailers in the
region
Innovative online retailers
Europe Highlights online retail
market size in 2013 and its
forecast till 2018
Biggest and fastest growing
online retail markets
Fastest growing online retail
markets for major category
groups
Online retail trends
Major online retailers in the
region
Innovative online retailers
Middle East and
Africa Highlights online retail
market size in 2013 and its
forecast till 2018
Biggest and fastest growing
online retail markets
Fastest growing online retail
markets for major category
groups
Online retail trends
Major online retailers in the
region
Innovative online retailers
Global analysis of Online
retailing
Introduces global online retail landscape, includes current market size and
forecast, highlights world’s fastest growing markets and category groups. Also
provides key technology trends, payment preferences, delivery services and
major hurdles in growth of online retailing
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E-commerce
Online pure-play
Includes online retail
sales of products
through inventory
based or market place
business model
Examples:
Amazon.com
Ebay.com
Online –
traditional
retailers
Includes online retail
sales of products by the
traditional retailers
Examples:
Walmart.com
Target.com
Costco.com
Online ticketing
Includes ticketing for
air, rail, bus, cruise
travel, hotels, movies
and events
Examples:
Orbitz.com,
Fandango.com
Gotobus.com
Online Deals
Includes online deals
such as restaurants
and beauty services
coupons
Examples:
Groupon.com,
Retailmenot.com,
wow-coupons.com
Online Portals
Includes online sites for
second hand sales of
products , property
portals and many more
Examples:
Cars.com,
Realtor.com
Online retail
(included in this report)
Online commerce
(not included in this report)
Overview of Conlumino Coverage Conlumino Global Online Retailing, 2013-2018
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America's
Europe
Asia-Pacific
Middle East and Africa
Global
Regional Online % Share of Total Retail Sales vs. Global* Average
2018 2013 2008* “Global Average” refers to an average of 50 leading international
retail markets covered by Conlumino Source: Conlumino
• Americas’ and Europe will continue
to have higher penetrations of online
compared with other regions.
However, no region will have more
than an average of 10% share of
total online retail
• Physical retail will still dominate and
be integral in 2018 and beyond
• Online penetration is highest in more
mature markets wherein the
consumers are tech-savvy and are
more comfortable in making a
purchase online
• In developing markets, penetration
of online channel is low as
consumers are still skeptical about
the safety of online transactions.
However, huge growth is expected
from these developing markets with
the rising popularity of cash on
delivery options and E-wallet
Asia-Pacific and MEA lag behind in share of online sales Conlumino Global Online Retailing, 2013-2018
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Alibaba – Global Leader in E-commerce Conlumino Global Online Retailing, 2013-2018
Alibaba - Services
Alibaba group aims to provide a better platform to the merchants. The company does so by offering a range of
services which includes:
Alibaba has two marketplaces :
• Global marketplace for global buyers and sellers
• Chinese marketplace for buyers and sellers in China
B2B E-commerce for international sellers and buyers
C2C E-commerce B2C E-commerce
B2C E-commerce platform for global consumers
Online payment platform
Cloud Computing and data management
Product search and price comparison site
B2B E-commerce for domestic sellers and buyers
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US
CANADA
MEXICO
COLOMBIA
VENEZUELA
BRAZIL PERU
CUBA
ARGENTINA
CHILE
Source: Conlumino
Online retail sales online 2013 (US$ bn) and CAGR% growth 2013-2018
Top 3 online markets by value 2013
Fastest growing markets, CAGR 2013-2018
The US is the biggest online market in the Americas Conlumino Global Online Retailing, 2013-2018
US
Bra
zil
Can
ada
Bra
zil
Mex
ico
Ch
ile
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Apparel, accessories,
luggage and leather
goods-46.48%
Electrical and
electronics-42.51%
Furniture and floor
coverings-41.41%
Books, news and
stationery-40.91%
Electrical and electronics-40.9%
Apparel, accessories, luggage and leather goods-32.6%
Books, news and stationery-15.7%
Furniture and floor coverings-1.1%
Sports and leisure equipment-0.9%
Music, video and entertainment software-0.7%
Top 3
Cate
gory
gro
up
Botto
m 3
cate
gory g
roup
Fastest growing category group
Category group-CAGR 2013-2018
China
Category group-% of total online retail
Cosmetics and
toiletries-16.68%
Food and grocery-
13.59%
Apparel, accessories,
luggage and leather
goods-12.83%
Home and garden
products-12%
Electrical and electronics-29.3%
Apparel, accessories, luggage and leather goods-24.5%
Food and grocery-14.7%
Cosmetics and toiletries-5.2%
Sports and leisure equipment-5%
Home and garden products-1.7%
Top 3
Cate
gory
gro
up
Botto
m 3
cate
gory g
roup
Fastest growing category group
Category group-CAGR 2013-2018
Japan
Category group-% of total online retail
Music, video and
entertainment
software-14.52%
Apparel, accessories,
luggage and leather
goods-12.4%
Home and garden
products-10.55%
Food and grocery-
8.92%
Electrical and electronics-29.7%
Apparel, accessories, luggage and leather goods-29.4%
Food and grocery-12%
Sports and leisure equipment-5.3%
Music, video and entertainment software-3.9%
Home and garden products-1.6%
Top 3
Cate
gory
gro
up
Botto
m 3
cate
gory g
roup
Fastest growing category group
Category group-CAGR 2013-2018
South Korea
Category group-% of total online retail
Source: Conlumino
Top 3 Biggest and Fastest Growing Category Group Conlumino Global Online Retailing, 2013-2018
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Adidas has deployed an interactive window shop at the Neo store in
Nuremburg, which allows shoppers to browse and purchase Adidas products
using their smartphones.
To make purchases, the shoppers have to select an URL and enter a onetime
pin code. After completing this process, the shoppers mobile will be linked
with the shopping cart of the interactive window store.
The window has a large touch screen which enables shoppers to browse,
select and drag the product to the shopping cart. The products in the
shopping cart will automatically reflect in the smartphone linked to the
interactive window.
The shopper can then complete the transaction on the Adidas Neo mobile
website. The shopper can also change product details, share products on
social media, and save the product for a later purchase. The concept was
developed in collaboration by Adidas and TBWA/Helsinki.
Adidas, Germany
Deployed an Interactive Window Shop
In 2012, the shoe retailer installed several virtual pop-up stores, the purpose
of which was to minimize the gap between the physical and digital worlds,
and to attract street consumers.
These virtual stores are installed in crowded places, such as stations and
shopping malls, across Germany. The store uses 3X Microsoft Kinect and a
large screen, which allows consumer to see how the shoe will look in a 3D
view.
This augmented reality shoe store also allowed customers to try on a range of
collections and different sizes, which are available in the online store.
Shoppers can try different brands, colors and styles, and can also upload the
pictures to their Facebook accounts. Once selected, they are able to
purchase the shoes through their mobile devices by scanning the QR codes.
Goertz, Germany
Installed a Virtual “Pop Up” Shoe Store
Innovative Retailers in Europe Conlumino Global Online Retailing, 2013-2018
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Online retail sales in Middle East and Africa is growing. The penetration of internet users in Middle East and Africa increased from, 21.7% in
2008 to 60.5% in 2013. Men are more likely than women to shop online in the Middle East, with 46% of males compared to 32% of females
shopping online.
South Africa’s logistical infrastructure is very poor, and currently lacks the capacity for high volume online retailing. The country’s weak logistical infrastructure has a greater impact upon small retailers, compared to larger retailers; for example, free shipping eats into profit margins, incurring additional costs. Online retailers, who already work on paper thin margins, are amongst the most affected. Logistical constraints have stopped Shoprite, one of the largest retailers in South Africa, from growing its online grocery business. However, the situation will change in the future as a number of international 3PL (Third Party Logistics) companies are now investing aggressively in the South African market. The South African government has attempted to quicken the pace of investment in this sector, with a planned investment of ZAR260 billion for a national transport and logistics project. The leading retailer, Woolworths, has also invested in improving its supply chain, through strengthening pick, pack, and distribution services. Pick n Pay is also working on expanding its domestic distribution system, and has invested ZAR500 million in an SAP ERP system. This has helped the company in tackling the supply chain issues it has faced in the past, with regards to category management and stock shortages.
A weak Logistical Infrastructure remains a challenge for online retailing
in South Africa
The South African
Government plans
to invest R260
billion in improving
transport and
logistics
Retailers investing in improving their supply chain capabilities
Online Retail Trends in Middle East and Africa Conlumino Global Online Retailing, 2013-2018
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Table of contents
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Executive summary Global* online sales set to reach US$1,161 billion by 2018
The UK has the highest share of online sales in total retail
Regional Online % Share of Total Retail Sales vs. Global Average
Top 10 largest online retail markets, 2018
Top 10 fastest growing online retail markets, 2013-2018
Biggest category groups, global, 2018
Fastest growing category groups, global, 2013-2018
Covers the 50 largest retail markets . All data is in US$
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Table of contents contd 1…..
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Global analysis Overview of Conlumino Coverage
Top 10 largest online retail markets, 2013 & 2018
Online share of retail sales for top 10 countries, 2013 &
2018
Online retail sales of category groups in top 10 biggest
countries, 2013 & 2018
Online retail sales of categories in each category group in
top 10 countries, 2013 & 2018
Online share of retail sales by category group in top 10
countries, 2013 & 2018
Top 10 fastest growing online retail markets, 2013-2018
Top 5 fastest growing countries in each category group,
2013-2018
Global Online retail trends Rise in smartphone penetration augments M-Commerce
Social media meets e-retailing
Retailers adopting omni-channel strategies
Free and faster delivery services are now key differentiator
Cards continue to be most preferred payment mode
Key Hurdles in Online Retailing
Amazon – Case study
Alibaba – Case study
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Americas - Online Retail Market Online retail sales 2013 (US$ bn) and CAGR% growth
2013-2018
Top 3 Biggest and Fastest Growing Category Groups in
each country
Top 5 Fastest Growing countries in each Category Group
Snippets of online retail trends in Americas
Unmanned aerial vehicles to replace the delivery trucks in
the US
Brazilian Social Commerce boom
Young, digital savvy consumers drive online retail markets
in Mexico
Payment preferences in Americas
Major online retailers in Americas
Innovative Retailers in Americas
Europe - Online Retail Market Online retail sales 2013 (US$ bn) and CAGR% growth
2013-2018
Top 3 Biggest and Fastest Growing Category Groups in
each country
Top 5 Fastest Growing countries in each Category Group
Snippets of online retail trends in Europe
Growth of online food and grocery sales surpasses offline
channels in the UK
Russian consumers’ prefer international retailers
Online shopping entices value conscious Spaniards
Payment preferences in Europe
Major online retailers in Europe
Innovative Retailers in Europe
Table of contents contd 2…..
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Asia-Pacific - Online Retail Market Online retail sales 2013 (US$ bn) and CAGR% growth
2013-2018
Top 3 Biggest and Fastest Growing Category Groups in
each country
Top 5 Fastest Growing countries in each Category Group
Snippets of online retail trends in Asia-Pacific
Online shoppers prefer overseas retailers over domestic
retailers in Australia
Online singles day sales in China overtakes Cyber Monday
and Black Friday sales
Payment preferences in Asia-Pacific
Major online retailers in Asia-Pacific
Innovative Retailers in the Asia-Pacific
Middle East and Africa (MEA) –
Online Retail Market Online retail sales 2013 (US$ bn) and CAGR% growth
2013-2018
Top 3 Biggest and Fastest Growing Category Groups in
each country
Top 5 Fastest Growing countries in each Category Group
Snippets of online retail trends in MEA
Cash on delivery most preferred mode of payment in
Middle East
A weak Logistical Infrastructure remains a challenge for
online retailing in South Africa
Payment preferences in MEA
Major online retailers in MEA
Innovative Retailers in the MEA
Table of contents contd 3…..
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Asia-Pacific Europe Europe Americas
Australia Belgium Austria Argentina
China Denmark Bulgaria Brazil
Hong Kong Finland Czech Republic Chile
India France Hungary Colombia
Indonesia Germany Poland Mexico
Japan Greece Romania Peru
Malaysia Ireland Russia Venezuela
New Zealand Italy Slovakia Middle East and Africa
Philippines Netherlands Turkey Egypt
Singapore Norway Ukraine Israel
South Korea Portugal Americas Saudi Arabia
Thailand Spain Canada South Africa
Sweden United States UAE
UK
Countries covered
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About Conlumino
July 2014 RT0177IS
Conlumino Global Retail offers a comprehensive 360° view of the retail landscape. A team of analysts, with more than 200
years of combined experience, help you identify and understand the most current retail trends.
Hundreds of retail businesses across the globe used our research to make critical business decisions.
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No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form by any means,
electronic, mechanical, photocopying, recording or otherwise, without the prior permission of the publisher, Conlumino.
The facts of this report are believed to be correct at the time of publication but cannot be guaranteed. Please note that the
findings, conclusions, and recommendations that Conlumino delivers will be based on information gathered in good faith
from both primary and secondary sources, whose accuracy we are not always in a position to guarantee. As such,
Conlumino can accept no liability whatsoever for actions taken based on any information that may subsequently prove to
be incorrect.
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