Press release provided by FEVAD
As we prepare for promotional activities in November and the Christmas period, Fevad recently presented the results of its Q3 Internet sales survey conducted on nearly 200,000 active merchant sites. This study is based on data gather from the ‘leading’ sites participating in the ECI 100 panel and information provided by the main secure payment platforms.
Overall growth of 15% in Q3
In the third quarter of 2018, overall e-commerce sales are up to 15.4% compared to Q3, 2017. This growth is reinforced by the good performance of tourism sales. In total, Internet sales for the quarter reached 22.3 billion euro (compared to 19.3 billion euro in Q3, 2017).
The volume of transactions exceeded 370 million, or 24.5% more than last year. This is driven by larger increases in the number of buyers and the number of merchant sites that offset the decrease in the average transaction amount. This decrease is particularly significant in Q3 with a 7.3% drop over one year. The 60-euro bar has now been reached. In only 3 years, the average transaction amount has dropped by 10 euro, but this drop is more than offset by a 20% increase in purchase frequency: this quarter, buyers made on average 11.8 transactions on the Internet (or 1 purchase every 8 days) for a total of 707 euro.
The number of active merchant sites has increased significantly, up to 14% or 24,000 additional sites in one year. There are now 194,000.
6% increase for Panel ECI 100 product sales
The growth of leading sites (on a like-for-like basis), measured by the ECI 100, remains steady at 6.1% despite a context of decline in household spending which is again down in Q3 (-3.4% for products excluding food and cars – Source: Banque de France).
Internet sales of leading store brands are the sales posting the best performances, up 10.3% in Q3. B to B sales are well up, with 16% year-on-year.
E-tourism regained its growth level at the beginning of the year, up 11% after the decline in Q2 linked to strikes (up 5%). The progression was held for all travel agencies for all on- and off-line travel agencies (volume of business for bookings up 7% over 9 months 2018/2017, after a 6.5% increase in the first half of 2018/2017, according to the ‘Business Travel Barometer/Gestour/Orchestra’).
Marketplace and mobile sales: still rising sharply
Smartphone and tablet sales continue to develop, growing by 20%. iCM Panel sites achieve 35% of their sales on mobile devices compared with only 10% in 2013.
Growth in business volume in the marketplaces is gaining strength, up 20% in Q3. These sales now represent 31% of the overall Internet business volume of the sites that host these marketplaces, which is twice as much as 5 years ago.
Christmas, Black Friday and Cyber Monday should represent a turnover of 19 billion euro
Christmas sales and promotional campaigns in November could represent nearly 19 billion euro (20% of annual sales on the Internet), an increase of 13.8% compared to last year. In 2017,16.5 billion euro were spent over this period. This year, the turnover for the 4 days corresponding to Black Friday and Cyber Monday should reach 1.3 billion euro (product sales, Fevad estimate).
The e-commerce market is therefore expected to break the 90-billion-euro mark for all of 2018.
Data collected by Fevad from merchant sites correspond to the following definitions:
E-Commerce Index (ECI 100): Turnover made directly by Panel ECI 100 companies on the fixed line and mobile Internet. Sites with a marketplace do not count volume of business carried out on the marketplace, or the commissions generated. Only orders delivered in France. All delivery locations are retained (including in-store collections). These are sales that have been ordered (we take into consideration the order date, not the delivery date). Cancellations, exchanges and returns are deducted, shipping is included, inclusive of all tax for sales to individuals and exclusive of tax for sales to professionals.
Mobile Commerce Index (MCI): Sales made directly by the company on Smartphones and digital tablets in the context of mobile sites and apps (excluding downloads of apps).
Composition of the ECI 100 Panel: More than 100 sites: consumer products (100 sites), e-tourism (15 sites) and sales to professionals (20 sites).
Composition of the PSP Panel: 9 secure payment platforms: Adyen, Dalenys, Ingenico Payment Services, Monetico Paiement, Monext, Paypal, PayZen, Verifone, Worldline.
Estimate of the total market: Calculation of the global market estimate is based on data collected from ECI 100 panel sites, from the value of electronic payments (excluding ECI 100 panel members) provided by service providers participating in the PSP panel and an estimate of off-line payments (Fevad survey with ECI 100 merchants).
The Federation of E-commerce and distance selling brings together 600 companies and 800 websites. It is the representative organization for the E-commerce and distance selling sector. Fevad’s mission is to collect and distribute information to improve knowledge of the sector and to act in favor of the sustainable and ethical development of distance selling and electronic commerce in France.
To find out more: www.fevad.com / follow us on Twitter: @FevadActu
FEVAD Communication Manager
T +33 (0) 1 42 56 38 86