E-Commerce to Account for Half of Growth in Global Retail

E-Commerce to Account for Half of Growth in Global Retail

E-commerce will expand by an additional USD1.4 trillion, and account for half the growth in the global retail sector, according to global market research company Euromonitor International.

In a new webinar, Retail in Transition: Capitalising on Future E-Commerce Opportunities, Euromonitor delves into how the e-commerce market has transformed due to Covid-19, future tech investment areas and countries with unmet e-commerce potential.

According to the webinar, 16% of goods were bought online last year, double the ratio of 2015, with the growth expected to continue to accelerate in the next five years.

The US, China and Mexico are forecast to achieve the highest absolute value growth between 2020 – 2025 at USD 386 billion, USD 361 billion and USD 77 billion respectively.

“One of the most pronounced impacts from the global pandemic is the expanding influence of tech. Retailers and brands are prioritising tech investments, which range from optimising supply chain operations to improving user experience.

Companies in Latin America, for example, have been making bigger digital investments, and the region is forecast to reach the highest growth of retail value of all regions by 2025″, comments Michelle Evans, senior head of the digital consumer research, at Euromonitor International.

“However, the rapid digital transformation has brought challenges towards traditional business models and physical stores into greater focus, and it is vital to re-evaluate strategy for businesses to stay competitive in the ever-growing digital sphere,” concludes Evans.

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E-Commerce to Account for Half of Growth in Global Retail