Compass LexeconThe economic intelligence specialist was commissioned by Amazon to study French people's perceptions of the contribution of e-commerce to their overall shopping experience, as well as its effectiveness in terms of fighting inflation and protecting purchasing power. To our knowledge, it is the first study of this kind to be carried out in France.
Antoine Victoria, Vice President of Compass Lexécon “Our study, based on a questionnaire survey and econometric modelling, is unprecedented in its objectives and methodology and shows that e-commerce has a positive impact on the overall shopping experience of the French, who particularly value the wide choice, time savings and attractive prices it offers. We are also able to quantify the 'anti-inflation' power of e-commerce: the growth of e-commerce has allowed the French to save 17 billion euros between 2010 and 2019, the equivalent of one year's inflation,” said lead researcher.
E-commerce puts the French on a level buying footing
This unprecedented study also analyzes the perception of e-commerce among people living in rural France, which notes that “rural consumers use e-commerce as much as their urban counterparts and perceive the same benefits in the overall shopping experience.” However, the study highlights that e-commerce customers “most highly value e-commerce's ability to increase savings on transport costs,” with nine in ten rural respondents using their car to make purchases.
The Internet guarantees effective price equality through a uniform offer across the country, allowing many French people to overcome regional inequalities and access a wide range of goods at the same price.
E-commerce acts as an anti-inflation shield
The study used an econometric model to separate the impact of e-commerce growth on online and offline prices, allowing it to quantify its impact in terms of curbing inflation and supporting purchasing power. Over a period spanning 10 years, the study, based on public data from INSEE and OECD, concludes that “the growth of e-commerce has contributed to lowering the prices of all goods and services consumed by the French, regardless of whether they are purchased online or not. Between 2010 and 2019, the growth of e-commerce, through its impact on inflation, allowed all French households to achieve savings totaling 17 billion euros for all categories of products and services combined.”
Benefits of e-commerce in controlling inflation:
- The best price is just a few clicks away. Consumers can easily compare offers. 84% of online shoppers say that e-commerce helps them save money by buying at the best price. [1].
- A wider range of products on offer allows consumers to choose cheaper alternatives: 89% of consumers who shop online say that e-commerce gives them a wider range of products to choose from, and 77% say that in the current climate of rising prices, e-commerce allows them to find better value for money alternatives to items they would normally buy.
- Free shipping ensures that everyone, urban and rural, gets the product at the same price.
Committed to working closely with the everyday lives of French people
Since we entered France in 2000, our goal has been to make life easier for French people by offering a wide range of products at low prices and reliable delivery services, wherever they live. Since then, we have innovated and invested in France to reduce geographic inequalities and ensure French people have equal access to the products and services they need. For example, 94% of Amazon customers believe the brand is useful in their daily lives, and 85% of customers living in rural areas believe the brand is in a position to provide them with products they cannot find in their local stores. [2].
“Purchasing power is a primary concern for French people and we know that in these difficult times, every euro counts. For more than 20 years, Amazon's goal has been to offer all French people low prices, a wide product choice and a great shopping experience, and this remains our top priority every day.” My name is Frédéric Duval, Country Manager at Amazon.fr.
We offer programs throughout the year that allow our customers to save big on everyday purchases. Amazon Warehouse, Amazon Outletand Subscribe and save.
This has caught the attention of French people, who see Amazon as one of the first non-food retailers that can retain their purchasing power.Bonial's Opinion Way), which supports the findings of a recent ifop survey, which claimed that 74% of Amazon regular shoppers found cheaper products elsewhere (Ifop2022).
Read a detailed summary of the findings from a survey conducted by Compass Lexecon. here.
[1] OpinionWay for Compass Lexecon, 2023
[2] Ifop, 2022
