GVR Report cover Retail E-Commerce Market Size, Share & Trends Report

Retail E-Commerce Market Size, Share & Trends Analysis Report By Application (Groceries, Apparels and Accessories, Footwear, Personal and Beauty Care, Furniture and Home Décor, Electronic Goods), By Region, And Segment Forecasts, 2023 - 2030

  • Report ID: GVR-4-68038-668-4
  • Number of Pages: 140
  • Format: Electronic (PDF)
  • Historical Range: 2017 - 2021
  • Industry: Technology

Retail E-Commerce Market Size & Trends

The global retail e-commerce market size was valued at USD 5,384.72 billion in 2022 and is expected to grow at a compound annual growth rate (CAGR) of 11.2% from 2023 to 2030. Increasing usage of smartphones and the convenience of purchasing daily essentials and luxury products from the comfort of home is primarily driving growth. Moreover, the availability of a plethora of options, lower prices compared to physical stores, and technology-enabled online trials of apparel and accessories are some of the other factors contributing to the burgeoning demand for retail e-commerce across the world. Additionally, the internet has revolutionized the retail industry by increasing the reach of retailers from the local area to overseas, allowing businesses to reach the expediency of customers and increasing cross-broader success.

U.S. Retail E-commerce market size and growth rate, 2023 - 2030

Rising demand for enhanced customer experience with voice recognition is expected to boost market growth over the projected period. Customers are increasingly using smart speakers to place online orders in the U.S. region as orders placed via voice provide more optimized search results. Moreover, augmented reality has gained popularity among retailers and major brands are incorporating these technologies to stand out in the competitive market. E-retailers are also investing in Augmented Reality (AR) to provide an immersive experience to their customers. AR technology helps customers visualize the selected items and is increasingly becoming user-friendly. Hence, enhancement in technology is expected to bolster the market growth.

The evolution of mobiles and the shift from calling to browsing has driven online retailing along with the rising penetration of internet connections. According to real-time intelligence data, GSMA stated that there are over 9.82 billion mobile connections worldwide, surpassing the world population of 7.77 billion. Rising consumer spending with an increasing number of smartphone users across the world has fueled retail e-commerce demand. As per Newzoo, the U.K. has the highest smartphone penetration, followed by the Netherlands, Sweden, Germany, and the U.S. Retailers indulging in online sales of products not only provide a desktop browsing version of the website but are also the mobile view-friendly websites to attract more customers and increase the traffic on its website. Further, the penetration of smartphones in small countries and towns is expected to increase the reach of retailers over the e-commerce platform.

The rapid growth of the market for retail e-commerce is also contributed by the advent of technology such as Artificial Intelligence (AI), Chatbot, and Machine Learning. AI and Machine Learning (ML)are helping e-retailers to understand customer demand and, thereby, leverage these technologies by making smart product recommendations and personalized guidelines. Chatbots and AI voice assistants are integrated with apps to provide ease of shopping with real-time interaction. AI technology has further aided in facilitating virtual trials of frames, clothes, and accessories to mimic the look of the product purchased online, which has helped the vendor in improving their customer conversation rate.

The concern over the collection and usage of personal data on shopping websites is restraining market growth. While the use of technology is beneficial for the growth of retail e-commerce, the misuse of the same can result in financial and personal loss for the consumer. Moreover, the ongoing COVID-19 pandemic has led to declining market share for footwear, apparel and accessories, electronic goods, craft supplies, and other product segments owing to lockdown and changes in consumer buying behavior across the globe. The temporary shutdown of production and distribution centers is expected to affect market growth. However, the grocery segment has observed an upsurge in demand with the heavy purchase of essential products by consumers during the pandemic period.

Application Insights

The apparel and accessories segment held the largest market and accounted for a 30.1% revenue share in 2022. The demand for apparel and accessories gained maximum traction over the e-commerce platform due to the availability of designer and latest fashion clothes at factory prices. E-commerce retailers increased their customer base by targeting the price-sensitive consumer along with an easy return policy for building trust and cash on delivery facility. Moreover, C2C shopping is further gaining traction with social media, wherein the Facebook “Buy” button and Instagram checkout allow purchases from other individuals. Also, platforms such as Shopify link their online stores with social media to reach a large number of customers.

However, the apparel and accessories market was impacted during the pandemic over both B2C and C2C platforms as the consumers were purchasing only essential products. The impact has been evidently reflected in the U.S., where the apparel industry witnessed declining sales in April 2020 compared to March 2020.

The grocery segment in the market is expected to expand at the fastest CAGR of 14.8% over the forecast period. The demand for online grocery is rising in the current COVID-19 pandemic owing to ease of shopping from home and contactless purchases which is expected to have a lasting effect leading to a permanent behavioral shift towards digital purchases. The market growth is evident from the increase in the sale of groceries which strained the supply and workforce capacity leading to the addition of more workers by vendors such as Walmart, Amazon, Dollar General, and CVS, and Albertsons. The changing mindset during the pandemic is bound to bring structural change in consumer shopping for groceries online which would add to the burgeoning grocery segment growth over the e-commerce platform. Furthermore, affordable pricing, timesaving, and a plethora of choices in shopping have led to a staggering trajectory across the world and are expected to augment over the forecast period.

Regional Insights

Asia Pacific dominated the market and accounted for 42.0% revenue share in 2022. The region is expected to witness rapid growth over the forecast period of the pandemic on account of increasing mobile internet usage and changing lifestyles. People are shifting towards urban lifestyles, engaging in a more work-oriented culture. Leading to the scarcity of personal time, which is further shortened by the need to shop for necessities. Moreover, consumers from Asia are gradually shifting toward purchasing electronic goods over the e-commerce platform. Hence, Asian manufacturers, including Lenovo, Motorola, Xiaomi, and OnePlus, have been selling their products exclusively over the internet. As China has started to recover from the pandemic, the country will be focusing on reviving its business and overcoming the economic crisis. Additionally, China is also one of the largest markets for C2C vendor-driven by auction and second-hand or handmade product selling.

Global Retail E-commerce market share and size, 2022

Latin America is expected to grow at a significant CAGR of 11.5% over the forecast period. The retail e-commerce market in Latin America is growing rapidly due to various factors, such as the increasing internet penetration, smartphone adoption, the growing middle class, and the rise of online marketplaces. According to United Nations Development Programme (UNDP) estimates from 2022, on average, 95% of the region’s households in urban areas have at least one member who has access to a smartphone. In contrast, in rural regions, this same percentage is slightly lower, at 93%.

North America is expected to grow significantly over the forecast period. This growth is on account of purchase pattern change, secured internet transactions, and increasing consumer awareness. In 2020, the region has gained prominence owing to the increased online sales between the end of January and the beginning of March 2020. By the end of the first quarter, retailers with an online presence may also benefit from consumer stockpiling. Regional demand was followed by Europe owing to high-speed internet facilities coupled with the well-established supply chain for goods delivery. However, e-commerce is expected to grow with the increased purchase of hand sanitizer, toilet paper, disinfectants, bottled/packaged water, tissue, hand soap, and toilet paper.

Key Companies & Market Share Insights

The companies are offering affordable products to cater to the demand for various goods such as groceries, office supplies, art supplies, footwear, and apparel and accessories, among others. Moreover, the vendors have opted for organic and inorganic growth strategies to strengthen their market position. For instance, in March 2020, IKEA partnered with Alibaba to open IKEA's virtual store on Alibaba's e-commerce platform called Tmall, which will help in reaching customers in China.

Companies are engaging in partnerships, mergers, and acquisitions, aiming to strengthen their product portfolio and improve their reach with a better chain across the countries and regions. For instance, in June 2023, Google, a subsidiary of Alphabet Inc., introduced a virtual try-on feature that allows users to visualize how the clothes fit on various types of body types, ranging from 4XL to XXS sizes. The feature aims to provide a better understanding of how clothes fit and look on different body types.

Key Retail E-Commerce Companies:

  • Albertsons Companies, Inc.
  • Alibaba Group Holding Ltd
  • Amazon.com, Inc.
  • Coupang Corp.
  • Ebates Inc. dba Rakuten
  • eBay Inc
  • Inter IKEA Systems B.V.
  • Otto (GmbH & Co KG)
  • Taobao
  • The Kroger Co.
  • Walmart Inc.

Recent Developments

  • In May 2023, eBay acquired Certilogo S.p.A, Italy-based company that provides AI-powered digital IDs and authentication for apparel and fashion goods. The acquisition solidifies eBay as a trusted destination to shop for pre-owned fashion and apparel. Certilogo's platform permits consumers to confirm the authenticity of products and access reliable information about them.

  • In February 2023, Albertsons Companies introduced Sincerely Health, a digital health and well-being platform. The platform offers personalized pharmacy and health services that allow the customer to achieve their wellness goals with reward points, which can be used for grocery discounts.

  • In January 2023, Walmart Inc. launched Walmart Business as an eCommerce site and customer experience to assist small & medium businesses and nonprofit customers. The company aims to simplify purchasing, reduce expenses, and provide customers with additional chances to assist consumers and communities.

Retail E-Commerce Market Report Scope

Report Attribute


Market size value in 2023

USD 5,858.04 billion

Revenue forecast in 2030

USD 12,349.94 billion

Growth rate

CAGR of 11.2% from 2023 to 2030

Base year for estimation


Historical data

2017 - 2021

Forecast period

2023 - 2030

Quantitative units

Revenue in USD billion and CAGR from 2023 to 2030

Report coverage

Revenue forecast, company ranking, competitive landscape, growth factors, and trends

Segments covered

Application, region

Regional scope

North America; Europe; Asia Pacific; Latin America; MEA

Country scope

U.S.; Canada; UK; Germany; France; China; Japan; India; Australia; South Korea; Brazil; Mexico; Saudi Arabia; South Africa; UAE

Key companies profiled

Albertsons Companies, Inc.; Alibaba Group Holding Ltd; Amazon.com, Inc.; Coupang Corp.; Ebates Inc. dba Rakuten; eBay Inc.; Inter IKEA Systems B.V.; Otto (GmbH & Co KG); Taobao; The Kroger Co.; Walmart Inc.

Customization scope

Free report customization (equivalent up to 8 analyst’s working days) with purchase. Addition or alteration to country, regional & segment scope

Pricing and purchase options

Avail customized purchase options to meet your exact research needs. Explore purchase options


Global Retail E-Commerce Market Report Segmentation

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2017 to 2030. For this study, Grand View Research has segmented the global retail e-commerce market based on application and region:

Global Retail E-Commerce Market Report Segmentation

  • Application Outlook (Revenue, USD Billion, 2017 - 2030)

    • Groceries

    • Apparels and Accessories

    • Footwear

    • Personal and Beauty Care

    • Furniture and Home Decor

    • Electronic Goods

    • Others

  • Regional Outlook (Revenue, USD Billion, 2017 - 2030)

    • North America

      • U.S.

      • Canada

    • Europe

      • UK

      • Germany

      • France

    • Asia Pacific

      • China

      • Japan

      • India

      • Australia

      • South Korea

    • Latin America

      • Brazil

      • Mexico

    • Middle East and Africa

      • Saudi Arabia

      • South Africa

      • UAE

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