The European e-commerce market is on the rise, projected to reach approximately $900 billion by 2028. Among the various players in this thriving market, Italy stands out as a noteworthy contender, showcasing a unique blend of tradition and modernization. Although often overshadowed by e-commerce giants like Germany and the UK, Italy is steadily carving out its own niche in this competitive landscape.
Italy’s journey toward a robust e-commerce market has not always been straightforward. The country faced significant challenges, particularly during the COVID-19 pandemic when it became the first European nation to experience its full force. This crisis served as a catalyst for change, prompting a swift reevaluation of the existing retail environment and leading to a transformative shift in consumer behavior. Today, Italy is poised for a rebound, with key indicators suggesting a bright future for its digital marketplace.
By 2023, online retail composed merely 12% of Italy’s total retail market. However, projections foresee a rise to around 17% by 2028. Despite traditional shopping habits remaining deeply ingrained in Italian culture—26% still prefer in-person shopping—Italy’s e-commerce sector holds a significant position as the fifth-largest market in Europe and the 13th-largest globally. According to Statista, the Italian e-commerce market is expected to reach approximately $64.18 billion by 2024, with an annual growth rate of 9.94% anticipated in the following five years. By 2029, this figure could climb to $103.10 billion, propelled by growing internet access, smartphone penetration, and a cultural shift towards online shopping.
Certain sectors are leading this growth. The Hobby & Leisure category is thriving, followed closely by Electronics and Fashion. Interestingly, Italy ranks third in Europe for cross-border shopping, following Germany and France, reinforcing its growing position in the wider European e-commerce arena.
Central to this development are the industry heavyweights shaping the market. Companies like Amazon and Shein have made a substantial impact. Amazon leads the scene with a staggering 49.5 million visitors per month as of March 2024, while Subito.it, a classifieds platform, attracts approximately 17 million. eBay also remains relevant with nearly 14 million monthly visits. This mix of global giants and local players creates a dynamic environment, catering to diverse consumer demands—from cutting-edge technology to secondhand treasures.
Moreover, technological advancements are poised to enhance Italy’s retail landscape further. The integration of artificial intelligence and other digital tools is anticipated to optimize internal processes and create new business models. Additionally, the Italian government’s National Recovery and Resilience Plan promotes digitalization and innovation, ensuring that Italy not only keeps pace with European trends but leads in several areas.
The evolving preferences of Italian consumers offer another layer of complexity to the e-commerce landscape. While online shopping is gaining traction—recent figures show that 39.7% of Italians shopped online in 2024—traditional retail habits persist, particularly among older consumers and those in rural areas. By 2029, online sales are expected to account for approximately 21.2% of total retail sales. Fashion continues to dominate average revenue per user, while other categories such as Beauty & Personal Care are growing in prominence.
Income distribution plays a vital role in shaping Italy’s e-commerce environment. High-income earners account for 36.4% of online shoppers, closely followed by low-income earners at 33.1%. This indicates a broad appeal for e-commerce across financial backgrounds, although high-end products tend to cater to wealthier demographics.
A notable trend in e-commerce is the rise of recommerce, especially in Fashion and Electronics sectors. This movement aligns with the increasing emphasis on sustainability among consumers, where approximately 80% prefer brands with strong sustainability policies. However, a gap exists; less than 50% of Italian businesses have committed to sustainable practices, signaling an area for potential growth.
Payment methods also reflect evolving consumer habits. Italians increasingly favor secure and convenient online payment solutions over traditional credit or debit cards. In 2024, online payment services gained popularity among users, with digital wallets and alternative payment methods on the rise. Security remains a pressing concern, and e-commerce platforms must adopt robust measures to instill trust among consumers.
Italy’s logistics market, valued at around $221.12 billion in 2023, is expected to grow alongside e-commerce, projected to reach about $335.59 billion by 2032. This growth, driven by e-commerce expansion, highlights Italy’s strategic position within Europe.
The online landscape in Italy is dynamic; on average, Italians spend about 5 hours and 49 minutes online each day, with 50.8% of this time on mobile devices. This extensive digital engagement translates into an expanding pool of online shoppers, presently at around 38 million, an increase from previous years. As social commerce gains popularity, more consumers are capitalizing on shopping opportunities through social media platforms.
For international e-commerce retailers, entering the Italian market presents significant opportunities. With growing internet penetration, the rise of mobile shopping, and consumer readiness to purchase online, Italy’s market is ripe for exploration. However, adapting to local preferences, investing in innovative technologies, and prioritizing security will be essential components for success.
As Italy navigates its digital transformation, the combination of evolving consumer behavior, technological advancements, and supportive government initiatives positions the country for sustainable growth in e-commerce. The interplay of tradition and innovation forms a compelling narrative that will further solidify Italy’s role in the European e-commerce landscape.