Overview of e-commerce in France: €160 billion spent online in 2023

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This article has been provided by Ecommerce Europe’s National Association: FEVAD (France)


Key figures for 2023:

  • The e-commerce sector (products and services combined) was worth €159.9 billion in 2023, rising 10.5% on the previous year
  • Online product sales fell by 1.8% compared to 2022
  • The services sector saw growth of 20% over last year
  • 2.35 billion  transactions were made online in 2023 – a 4.9% rise

Buoyed by sales of services, the e-commerce sector grew by 10.5% in 2023

The e-commerce sector (products and services combined) generated €159.9 billion in revenues in 2023, growing by 10.5% over the previous year (€144.7 billion). The number of transactions continued to rise (+4.9%), along with the average basket value (+5.4%). However, sales of products and services are trending in different directions.

For product sales, the drop in revenues first observed in 2022 (-7% vs 2021) continued in 2023, albeit at a slower pace: -1.8%. The total number of transactions also fell by 3% in 2023, despite a slight rise in the average basket value (+1%, i.e. €59). Overall revenues from product sales amounted to €61.2 billion.

Conversely, sales of services rose sharply by 20%. This growth stems from both a rise in the number of transactions (+12%) as well as the increase in average basket value (+7%), which rose to €75.

Inflation remains significant, despite having slowed since April 2023. Faced with rising prices and the climate emergency, online shoppers have continued to modify their purchasing behaviours by choosing between consumption and de-consumption/reduced spending, whether to buy products or travel/entertainment, and whether to purchase new products or second-hand items. As such, essential goods (foodstuffs) and leisure have remained the best performing segments, while sectors with significant second-hand options or those with more variable replenishment cycles are seeing a drop in volumes.

Pressure on consumer habits continues to slow online consumption

Each quarter, the Fevad publishes data collected from a hundred leading sites via its iCE 100 panel (c.f. methodology).

Product sales on the panel rose by 0.6% in 2023, pointing to a level of stabilisation after 2022 (-9%), which reflects a partial deflation of the Covid effect. The drop in orders of non-food products hit 9% in 2023. Revenues were sustained by a rise in the average basket value: +3%. With orders dropping by 2%, online buyers continued to adapt their purchasing habits.

As such, while the Beauty and Home Furnishings/Decor segments held up best at +5% and -1% compared to 2022 levels, Fashion/Textiles and Tech/Home Appliances continued to decrease (-5% and -9% respectively).

Over the course of 2023, the rise in food prices (+12%) led to a sharp increase of +11% in revenues for the Food/FMCG segment (Source: NielsenIQ).

Travel-Tourism websites saw their revenues increase by 13% in 2023. This growth shows consumer preference remains favourable to this sector, although it has maintained a higher-than-average level of inflation.

Signs of a slowdown in the business sales sector, observed on the iCE 100 panel in mid-2022, stalled in 2023: +4%.

Activity on marketplaces (sales made on behalf of third parties) resisted the downward trend in non-food product sales, with volumes dropping only slightly by 1%.

Methodology

The data collected by the Fevad from retail sites is defined as follows:

E-commerce index (iCE 100): Directly owned revenues recorded by sites listed on the iCE100 Panel from online sales, landline and mobile internet access included. These websites do not provide revenue figures for sales made via other websites such as marketplaces. Sites that host a marketplace do not provide revenue figures for sales made via the marketplace, nor any commissions generated. Finally, white label brand sales are declared by the websites that make the sales. Only orders delivered in France, regardless of the delivery locations (home, pick-up point or in-store), are listed. The revenue figures used are those of the calendar month in question with the date defined by the order date and not the delivery date. Cancellations, exchanges and returns are deducted; shipping fees are included; taxes and VAT are included for consumer sales; taxes and VAT are not included for business sales.

Marketplace index: Volume of revenues generated through sites hosted on marketplaces included in the iCE100 Panel.

Mobile Commercial Index (iCM): Directly owned revenues earned via smartphones and digital tablets via mobile sites and applications (excluding application downloads).

Composition of the iCE 100 Panel: Over 100 sites covering mass-market products (100 sites), e-tourism (15 sites) and B2B sales (20 sites).

Composition of the PSP Panel: 8 secure payment platforms: Adyen, Dalenys, Monetico Paiement, Monext, Paypal, PayZen, Verifone, Worldline.

Estimate of overall market value: The calculation of the estimated overall market value is carried out using data gathered from the iCE 100 Panel websites, along with the value of electronic payments (excluding members of the iCE 100 Panel) communicated by service providers featured in the PSP Panel, and an estimate of offline payments (Fevad survey carried out with retailers in the iCE 100).


About the FEVAD

The Federation of e-Commerce and Remote Retail currently represents over 800 companies. It is the representative organisation for the electronic commerce and mail-order industry. The Fevad’s principle mission is to collect and publish information that will improve industry sector awareness and promote and encourage the sustainable and ethical development of mail-order and electronic commerce in France.

Press Contact:

Nathalie Laîné – Head of Communications

+33 (0)1 42 56 38 86

nlaine@fevad.com

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