E-Commerce – Recent Upcoming Trend Of Global Retail Market
In the current retail industry, e-commerce is occupying a huge share of the market. In cases, it is observed that more percentage of customers are becoming user-friendly with eCommerce shopping rather than retail stores. The number of eCommerce customers is increasing day by day worldwide. There are 2 different ways of eCommerce business- B2B (Business to Business, where a seller website is selling to another seller, usually in bulk) and B2C (Business to Customer, where the seller website sells to individual customers like counter selling). In both sectors, eCommerce selling is considerably increasing. This trend, off course, varies upon demography but has a steady growth rate globally. The interesting fact is that the increment trend is not always depended on highly economically developed countries or high lifestyle index countries always. It is occupying the market in developing or lower index countries as well.
Market occupancy per year (data are taken from 2014)
Looking into the growth of the market we can say that it is expanding in a vast way in both developed and developing countries. In developed countries, the United States, UK, China, South Korea and more go under the topmost E-commerce established area. Apart from this e-commerce is expanding in developing countries like India, Indonesia and many more and able to be a part of the top list. It is very much surprising that India and the US are occupying the same rank however they have a lot of differences in economic growth, GDP, consumer index, life-style index, etc. Worldwide E-commerce sales increased to 2.3 trillion USD in 2017 and it is expected e-retail earning will grow almost 4.88 trillion USD in 2021. The US and the Asia-Pacific region had growth by 15% and 30% in 2017. They are clearly becoming the leader in global e-commerce development. In the Asia Pacific region blowing up the recent digital development, from this ratio, it is no surprise that the fastest growing online retail markets are Indonesia and India, followed by Mexico and China. The other countries are growing as well as we can see the percentage in the chart-
In this era, online shopping has become the most popular online activities in all over the world which was reaching 2.3 trillion U.S. dollars in 2017. E-commerce business gets success depending on the base of the area and atmosphere. Developed but small-sized like South Korea gets growth because of many reasons. Due to the area parameter, they developed their country and make the e-commerce part of their life with daily needs shopping online. The country like The United States or the United Kingdom successfully established its online marketing industry. It seems that they are part of the maximum number of customers who buy pin to diamond everything from online. On the other hand developing countries like India, expanding its business eventually in many categories. However, it seems that Indian people still like to buy a few things from the shops than online, like, jewelry, etc. E-retail sales accounted for 10.2% of all retail sales in overall the world (2017). This figure is expected to reach 17.5% in 2021.
Growth of e-commerce worldwide per year and expectations (data are taken from 2017)
Almost all countries from all over the world with a standard purchase or consumer index is experiencing significant growth in eCommerce sales over the last year. Here are the top 10 countries who have the largest eCommerce market share in the world:
From the present share graph and growth rate graph, we can come to the conclusion that there is no fixed reason or fixed strategy why the trend is growing in different countries of different socio-economic characters. In addition, one thing is clear that in developed countries people are purchasing almost everything online, even daily needs and fast-moving consumer goods (FMCG), however, in developing countries most of the sales are depended on fashion products, export quality products or the products which are not easily available at doorstep or nearby local market. In developing or underdeveloped countries most people are still going to market for purchasing daily needed utility products rather than ordering from online stores.
After researching the market value of e-commerce websites we can surely say that this individual business is going to take a vast place in the business world. Yet we can always say that revolution is always important and as of now we are upgrading everything from time to time. eCommerce websites are now helping most of the people who are enough busy to go to the market for shopping. It has been helpful for those people who are unable to go to the market as well due to lack of time for their busy schedule or congested traffic or who want to get the branded products without reaching the showroom far off. With everything, this trend has consumed more market share in the retail business industry. Well, maybe it has begun with the way of online shopping. However, we all know, whatever up-gradation is waiting for us, it will be for the good.
Bonne journée (Have a nice day)!!
HR Manager (Night)
Shawn is a BTech and had been working in E-commerce Management for the last 5 years. Comprising his experience, he has been working in CyberToss Pvt. Ltd. for the last 2 years leading the ECommerce support team for the USA and Canada. Shawn, being an expert and good writer, always writes blogs on ECommerce and related issues.
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