The e-commerce business is in full swing at the moment and grows continuously with each passing day. In 2016, the global online sales reached $22 trillion. The increase will continue and by 2020, the e-commerce sales will reach $27 trillion. As new markets are continuously emerging and established markets are reaching new milestones, we’ve prepared an overview of the top e-commerce markets in 2018.
China remains at the top of the list. Its e-commerce growth has skyrocketed after the massive success of the largest online retailer, Alibaba. The online sales reached $672 billion, which is 35% increased compared to 2013. Currently, China’s e-commerce sales make 15.9% of total retail sales and the market is expected to double the US online sales numbers in 2018. By 2019, China’s e-commerce sales will make 33.9% of all the retail sales in the country.
The US was dethroned after reigning the e-commerce world for a decade and currently is the second largest e-commerce market in the world. However, the US remains the innovation house for e-commerce trends and the sales are continuously rising, thanks to the online giants Amazon and eBay. At the moment, the e-commerce sales are estimated at $305.65 billion. With an annual growth of 15.7%, the total retail sales are predicted to reach 10% in 2018.
The United Kingdom
The UK comes at third place on our list, but there’s a $200 billion difference with the US. On the other hand, this e-commerce market has the highest percentage of e-commerce sales of total retail sales, or to be exact, 14.5%. This happens mainly because of the Amazon’s efficient shipping methods, holding a large market share across the world. The annual online sales were put at $99 billion, but the market is highly expected to grow during the next year.
Japan’s e-commerce sales are led by Rakuten, one of the largest online retailers in the world. Over the years, Rakuten has acquired many websites worldwide, in countries like the US, the UK, Canada, and Spain. The e-commerce giant provides services in other areas like banking, travel, and brokerage. The country’s annual e-commerce sales have reached $79 billion, noting a 14% growth. The e-commerce share of total retail sales is 5.4%.
Germany is the second largest online market in Europe. Amazon is its largest site, but eBay and the local e-commerce retailer Otto also have a share in the $73 billion of annual sales. The e-commerce sales make 8.4% of the total retail sales in the country. The market has noted a 22.1% growth, which is the second largest percentage from 2013.
The French e-commerce market is led by Odigeo, the largest travel company in the country and C-discount. Amazon also holds its share in the French e-commerce industry. The yearly sales have come to $43 billion, showing 12.1% increase. E-commerce holds 5.1% of the total retail sales at the moment.
South Korea has the third highest percentage of retail sales, 9.8%. The e-commerce site Coupang, often referred to as Amazon of South Korea, the company has risen to become one of the fastest growing e-commerce sites in the world. South Korea’s online market racked $37 billion and it’ll continue growing in 2018.
Amazon holds 7% of the total Canadian e-commerce sales. Other important online stores are Costco and WalMart which tend to expand their online presence even more in 2018. Taking into consideration the 17.4% annual market growth, Canada looks like a great opportunity for foreign brands, too. With 5.7% online share of total retail sales, Canada has noted $30 billion annual sales.
Despite the widespread Internet access, Russia’s online sales make only 2% of the total retail sales. Of course, this percentage is bound to grow significantly in the next year. Ulmart, Citilink, and Ozon are the leading online retailers in the country, grossing $20 billion per year.
The Internet usage and delivery services are expanding fast in the only Latin American country that made this list. Continuously, the e-commerce market has a growth of 22%. B2W and MercadoLibre are the biggest online retailers. B2W has acquired many logistics companies to specialize deliveries and increase the e-commerce efficiency. The sales have reached $19 billion in the last year, an amount which will increase in 2018.
I hope you’ll find this list useful if you’re planning on expanding your e-commerce business. Bear in mind that these markets are growing at an impressive speed and the changes are inevitable.