Do you run an e-commerce store? Are you successfully selling products or services online and considering expanding your business beyond Poland's borders? Where in Europe is it worth developing an e-commerce business? Below is an analysis of directions for e-businesses prepared by PromoTraffic.
Czech Republic
The market of our southern neighbors is attractive primarily due to its geographic proximity, which significantly facilitates logistics. 54 percent of residents shop online here, and by 2025 this figure is expected to reach 65.1 percent. The largest e-commerce market segments are electronics and media.
Czechs prefer to pay for online purchases in cash (55 percent), slightly more than one-third choose bank transfer, while only 7 percent use a card. For comparison – in Poland, the most frequently chosen form of payment for purchases is instant payments (80 percent). In the Czech Republic, as many as 63 percent of users have their first contact with a product online, and the customer's purchasing path often begins on social media – the most popular platforms are Facebook and YouTube.
Let's remember that in addition to Google, Czechs also use the local search engine Seznam – its market share is as high as 16.81 percent. It's also worth noting the popularity of price comparison sites, used by more than half of Czech consumers – advises Robert Stolarczyk, CEO of PromoTraffic, a digital agency running campaigns for e-commerce.
Slovakia
In the case of Slovakia, close distance is also important. It's also worth considering the low cost of running advertising campaigns (Google Ads).
Slovakia – a growing market
The Slovak market may not be large, but it is growing dynamically – since 2019 it has grown by 17 percent. This year its value is expected to grow to 1.4 billion euros. 56.8 percent of internet users shop online. There are currently over 12,000 online stores operating in the country. The most frequently purchased items online are clothing (67.4 percent), and cosmetics are also popular. Consumers pay close attention to prices – they use comparison sites, check ratings and reviews of products. For 75 percent of Slovak internet users, ease of use is the most important feature of a website, so it's worth focusing on good UX.
As for payment methods, Slovaks most often choose cash on delivery (72 percent of all transactions). They prefer delivery to a specified address, with pickup points being their second choice.
When planning e-commerce activities on the Slovak market, you need to take into account that in addition to their native language, Czech is also popular – nearly half the population uses it daily. For e-commerce store owners, this means ensuring additional language versions – says Robert Stolarczyk.
Germany
Germany – e-commerce leaders
According to Statista data, the number of internet users in Germany last year exceeded 66 million. This means that 79.5 percent of residents use the internet here. Germany is undoubtedly one of the e-commerce leaders in Europe. The Chamber of Economic Commerce reports that the German market ranks fifth in the world. To this, one can add the high average earnings of Germans, which allows them to spend relatively large amounts online. It is estimated that the average German e-consumer spends 1,200 GBP per year on online shopping. The largest turnover is generated by electronics and fashion.
About 57 percent of e-consumers have their first contact with a product through an online search. Nearly 38 percent seek inspiration and information, and almost half compare offers. Regarding payment, Germans prefer e-wallets, with as many as 41 percent of them doing so.
The German market is saturated, but the huge number of internet users still offers a chance to find customers. Planning an entry into that market is made easier by the close distance and the fact that many Poles know German. However, in marketing activities, you must take into account the high competition and the fact that Germans are known for frequent product returns. Amazon.de is extremely popular in Germany, and you might consider having an offer on that platform – advises Stolarczyk.
France
France – a large market in the west
Where to develop your business? Discover foreign e-commerce markets in Europe
The French market is one of the largest in Europe. According to Internet World Stats, over 60 million people use the internet there, and the Chamber of Electronic Commerce reports that about 40 million French people shop online.
Amazon is extremely popular here, so it's worth considering listing your offer there. The most frequently purchased products are in the fashion category – clothing and shoes.
As many as 49 percent of French people compare offers, and 36 percent seek advice. 60 percent learn about a product by searching for information. Most e-consumers pay by card (80 percent of transactions), and as many as 85 percent prefer home delivery.
If we want to enter the French market, we must overcome the language barrier – says Robert Stolarczyk. – Consumers expect service in French. Another difficulty is the considerable distance from Poland, which means higher transport costs. Nevertheless, the affluence of potential customers and their openness to new technologies promise successful transactions. All the more so since about one-third of French people regularly shop online from abroad.
Austria
The Austrian e-commerce market is saturated and stabilized. By 2025 it should reach a value of 8 billion euros. As many as 88 percent of residents regularly use the internet.
More than half of Austrians choosing to shop online select bank transfer as payment. Only 3 percent pay cash on delivery. Almost half compare offers before making a purchase, and 41 percent use a search engine. Marketplaces such as Amazon are very popular.
The Austrian market is strongly linked to the German one, both in terms of language and capital. So if we operate with our offer in Germany, a good idea would be to develop it in Austria as well – says Robert Stolarczyk.
Spain
Statistics on active internet users in Spain vary – ranging between 70 and 90 percent of residents. Regardless, the number of potential e-consumers is very high. According to IAB Spain, before the pandemic, in 2019, 44 percent of people aged 16-55 shopped online regularly. At that time, stores in the fashion, tourism and electronics sectors were the most popular.
Spaniards quite often use price comparison sites (53 percent), eagerly seek practical advice before a transaction (39 percent) and use search engines when considering a purchase (47 percent). The most frequently chosen payment method is card, followed by e-wallet, and then bank transfer.
The e-commerce market in Spain is sizable and still growing. The number of e-consumers is increasing, and moreover, they are open to buying goods from abroad – says Robert Stolarczyk. – It's worth taking advantage of, for example, Amazon's popularity and listing your offer there. However, you must take into account the distance from Poland and plan an appropriate transport chain well.
Summary
The article discusses the e-commerce potential in six European markets: the Czech Republic, Slovakia, Germany, France, Austria and Spain. For each of them, it indicates key data, such as the number of internet users, popular payment methods and local shopping habits. Expert Robert Stolarczyk emphasizes the importance of local search engines (e.g. Seznam in the Czech Republic), appropriate UX in Slovakia and the growing role of marketplace platforms in Germany and France.
Importantly, in several countries – e.g. in Slovakia and the Czech Republic – consumers prefer cash on delivery, which requires adjusting the logistics process. The authors suggest that Polish stores can successfully expand especially into geographically close markets, taking advantage of the high popularity of cross-border shopping (this applies to France, among others).
