Global Perspective: The online shopping sector is set to keep growing in emerging economies, despite certain cultural and logistical challenges

E-commerce is now well established in developed markets, where the majority of adults make at least occasional purchases online. However, levels of activity on the whole remain relatively low in emerging countries, as these markets are restrained by a wide range of challenges, among them less-developed financial and logistical infrastructure.

Nevertheless, online sales are growing rapidly in many developing economies, with local governments deploying different measures aimed at boosting activity. Several notable regional players are emerging in these largely untapped markets, in some cases backed by partnerships with major international e-commerce firms, which are constantly on the lookout for new acquisition opportunities in growth markets.

Widening Gap

E-commerce is most developed in advanced economies. For instance, annual sales revenues at leading international online retailer Amazon have grown from $34.2bn at the start of the decade to $177.9bn in 2017. Over the same period, online sales in the US have grown from 6.4% of all retail sales to 13%, or a total of $453.5bn, according to Department of Commerce data. In addition, online sales growth in the US stood at 16% in 2017, compared to 3.6% for overall retail sales growth. Figures from the World Global Findex show that 61.2% of adults living in OECD states made an online purchase in 2017, including 70.4% of residents in the US and 74.7% of residents in the UK.

Read the full Global Perspective in The Report: Cote d'Ivoire 2019