This article has been provided by Ecommerce Europe’s national association in Bulgaria: Bulgarian E-commerce Association
Bulgarian E-commerce Association (BEA) announces its 6th consecutive edition “PASSPORT 2023 of the e-commerce industry in Bulgaria” with figures, trends, volume of the B2C market and ranking of online stores in Bulgaria, on base of studies and research conducted by BEA and results of the European Ecommerce Report 2023. This year’s edition is supported by SEO agency Serpact.
“In 2023, B2C sales on the Internet will see a 19% growth and exceed 1.95 billion euros in Bulgaria. For comparison, in 2019, the market volume was 0.9 billion euros. In a period of 4 years, the volume of the market has doubled. E-commerce and the digitization of retail and wholesale trade are fundamentally changing the sector, creating new business opportunities and models, new jobs, new forms of interaction with consumers and attracting investment,” commented Janet Naydenova, Chairperson of BEA, who cited data from “PASSPORT 2023 of the e-commerce industry in Bulgaria”.
“Serpact is honored to be a partner in this important project for the e-commerce industry, “PASSPORT 2023 of the e-commerce industry in Bulgaria”, providing relevant market data, trends and ranking. The e-commerce industry changes rapidly every year. Businesses need to keep a close eye on trends and developments. This will allow them to adopt new technologies and practices to attract the attention of potential customers and quickly increase sales,” says Nikola Minkov, Serpact’s SEO.
B2C online sales of goods & services /in billion euro/
Source: PASSPORT 2023 of e-commerce industry in Bulgaria
The leading reason for the increase in e-commerce purchases among consumers is the convenience of e-commerce. Consumers, many of whom were not online shoppers before the pandemic, are seeing the utility and convenience of online shopping. Already over 53% of online users in Bulgaria shop online and this percentage will continue to grow. E-commerce convenience is the new loyalty.
The largest percentage 94.4% of online buyers in 2022 purchased goods and/or services from Bulgarian online stores, 32% from online stores in European Union countries, 18% – outside the European Union.
The data from a study by the Bulgarian E-commerce Association, conducted in the period September – October 2023 with a scope of more than 4.5 million online orders, shows a tendency towards an increase in contactless deliveries to a courier’s locker, click & collect (order online with pickup from a physical store), increase in bank and mobile payments and the “Buy Now Pay Later” payment model for online orders.
According to data accumulated by BEA members, the satisfaction of online users in Bulgaria is extremely high. Only 0.0015% of online orders were complained to by the Consumer Protection Commission (CPPC) in 2022, 90% of which were dropped. In this regard, the Bulgarian online buyer ranks among the most satisfied in terms of security and communication in online shopping processes.
Many more people are buying online and more retailers are selling online. The easy combination of online and offline shopping makes the whole process even more transparent and secure for consumers. Online shopping has a high level of security and gives more rights to consumers, such as returning the order within 14 days of receiving it without giving a reason, and being refunded in the way they were paid in 14 daily period, without questions from the merchant in case of exercising the right of refusal. A study by the Bulgarian E-commerce Association with a scope of 4,547,840 online orders for 2022 showed that in 8.65% of all online orders, buyers exercised their right of refusal within 14 days.
In 2024, BEA will introduce TRUSTMARK on the Bulgarian market, which provides even better protection for consumers and traders by establishing a single European set of rules and criteria for independent third-party audit / 152 criteria for Bulgaria in 13 categories / and ensuring clear communication of these rules. The TRUSTMARK placed on the website of an online store that users visit means that the company has made a commitment to work in accordance with the E-Commerce Code of Conduct, ensuring ethical standards in the online market.
Development trends and potential
BEA observes a trend for the growth of “Direct-to-Consumer” e-commerce, as well as “subscription” models in Bulgaria, mainly in the FMCG sector. Online sales are done in many ways, opening up bigger niches for brands to sell directly to consumers online. However, companies must master e-commerce, logistics and fast and contactless delivery. A challenge for businesses is the dynamic change in the business environment in terms of industry legislation and regulations.
When it comes to online business, sustainability is something that most potential customers are looking for. When people realize the impact of their behavior on the environment and society, they tend to adopt ways to reduce it. The trend driving green consumerism is the emergence of Millennials as a stable group of shoppers interested in environmentally friendly products. This demand for green products is driving e-commerce companies to adopt green practices and ensure an increase in e-commerce purchases among Millennials.
With policies promoting the development of the sector, Bulgarian retailers can make the most of the potential of the European market with over 500 million online shoppers with an established shopping culture. Bulgaria is fully competitive for cross-border e-commerce to European consumers, and the industry must achieve a supportive environment for development and a fruitful dialogue with the institutions. The European consumer has long adopted online consumption in his life and uses it in an informed manner, regularly receiving all the advantages of distance shopping. Among the first preferred markets by Bulgarian online merchants for cross-border trade are Romania and Greece, followed by Poland, the Czech Republic, Slovakia and Hungary.
The expectations of the Bulgarian E-commerce Association for 2024 are for smooth double-digit growth compared to 2023, as the B2C e-commerce market will continue to grow, innovate and develop. Currently, the ratio of the volume of B2C e-commerce in Bulgaria to the gross domestic product /e-GDP/ of the country is 2.11%. In Europe, the e-GDP parameter averages between 4% – 5%, in Greece 7.90%, in Romania 3.11%. Forecasts indicate that the Bulgarian online market in the next 3-5 years will have a huge potential for development.
The “PASSPORT 2023 of the e-commerce industry in Bulgaria” can be downloaded for free at: https://bit.ly/46Xjzyu
Bulgarian E-commerce Association (BEA) is a non-profit association, carrying out activities for the public benefit, which unites companies from the entire ecosystem, developing e-commerce in Bulgaria – electronic stores, platforms, e-commerce services, electronic payments, logistics, etc. . services related to e-commerce.
BEA aims to support the creation of a good environment for the development of e-commerce business in the country, to create and support good practices among online merchants in the direction of greater consumer satisfaction, and to promote better communication with institutions and the media.
The main priority of BEA is to cooperate with the institutions in the creation of normative documents related to the implementation of e-commerce, as well as in the control of their implementation.
BEA is a member of Ecommerce Europe: https://ecommerce-europe.eu/
For more information: https://beabg.com
About SEO agency Serpact
Serpact is an SEO agency providing comprehensive service in the area of site optimization for search engines. It also offers consulting services and analysis, as well as the creation and distribution of relevant content for any business to attract target audiences and generate conversions in various forms.
To date, the agency’s team is proud of over 3000 successfully implemented SEO projects for clients from all over the world. Thanks to its good work, Serpact has won 15+ international awards from prestigious competitions such as Global Search Awards, European Search Awards, Clutch, Web Excellence Awards, Vega Awards and more.
Serpact is a full member of the Bulgarian E-commerce Association and a member of the Management Board of the association.
Learn more about Serpact: https://serpact.com