E-commerce has witnessed a significant upswing in Europe, with total sales reaching €718 billion in 2021, representing a 13% growth from the previous year. This growth is expected to continue in 2022 and beyond, with forecasts predicting a turnover of €797 billion by the end of the year.
The eCommerce Landscape in Europe
The Emergence of E-commerce Superstars
Recent research has spotlighted a group of “e-commerce superstars” that consistently outperform in terms of growth and profitability. These frontrunners have a distinct strategy, emphasising specific drivers to harness the full potential of the e-commerce market.
One key driver is a clear digital strategy. E-commerce superstars have a deep understanding of their online channels and target markets. Another key driver is a user-centric design. E-commerce superstars design their websites and apps with the user in mind. They focus on creating a seamless and enjoyable shopping experience, from product discovery to checkout.
Key Strategies for Success
For companies aiming to excel in e-commerce, the following strategies are paramount:
- Prioritise Profitable Growth: Successful entities have clarity regarding their online channels and target markets. Investing money with a clear purpose and vision is crucial for long-term success.
- Invest Ahead of Demand: Leading companies are proactive in their investment approach, focusing on e-commerce innovations that promise future value. This forward-thinking strategy ensures sustained growth and adaptability in a dynamic market.
- Recruit Specialized Digital Talent: In the digital age, literacy in tech tools and analytics is non-negotiable. Companies must prioritise recruiting and training specialised digital talent to stay ahead of the curve. As observed by Elsewhen, a blend of technical expertise and creative design thinking can significantly elevate a brand’s digital footprint.
Examples of Successful E-commerce Businesses in Europe
Some of the most successful e-commerce businesses in Europe include:
- Amazon: The world’s largest online retailer, Amazon has a strong presence in Europe, with operations in over 20 countries.
- Zalando: A leading European online fashion retailer, Zalando offers a wide range of products from over 4,500 brands.
- Asos: Another popular European online fashion retailer, Asos targets a younger demographic and is known for its fast-fashion offerings.
- Booking.com: A leading online travel booking platform, Booking.com offers accommodation, flights, and other travel-related services in over 220 countries.
- Just Eat Takeaway.com: A leading online food delivery platform, Just Eat Takeaway.com operates in over 20 European countries.
These companies have achieved success by implementing a variety of strategies, including:
- Brand Excellence: E-commerce leaders have diligently cultivated robust brands that resonate with quality, convenience, and unparalleled value.
- Diverse Offerings: They cater to a broad spectrum of consumers by presenting an extensive and varied range of products and services.
- Customer-Centric Value Proposition: By ensuring competitive pricing coupled with swift delivery, these e-commerce giants guarantee an exceptional and seamless shopping journey for their customers.
- Pioneering Innovation: Always at the forefront of change, these e-commerce champions consistently channel resources into cutting-edge technologies and innovations, setting new industry benchmarks.