Exorigo Upos analysis: Western Europe leads the e-commerce market with 80%, followed by Eastern Europe with 55%.
- Western European shoppers spend an average of 85 euros per transaction, while Eastern European consumers spend 55 euros.
- In Western Europe, a significant proportion of older people shop online, while in Eastern Europe most online shoppers are young people.
- Eastern European shoppers are more price sensitive than their Western European counterparts
According to Exorigo Upos, a Polish company that provides IT technology solutions to the retail industry, Western Europe has a significantly higher penetration rate of e-commerce than Eastern Europe.
According to the company's analysis, e-commerce penetration in Western Europe will be around 80% in 2023, far ahead of Eastern Europe, which will have an e-commerce penetration rate of around 55%.
“This gap highlights that the online retail market is more mature in Western European countries such as the UK, Germany and France, where digital shopping has become an integral part of consumer behavior. However, Eastern Europe is catching up and gradually growing, thanks to increasing smartphone usage, wider internet access and the emergence of local e-commerce platforms. Also, more and more retailers are turning to innovative solutions that offer great development opportunities, like the Exorigo Upos portfolio, which offers companies IT services, e-commerce platform development and support in implementing an omnichannel strategy,” it said. Marek Nowakowski, General Manager of Exoligo Upos Romania.
Over the past five years, Western Europe has seen a significant change in online shopping habits. Consumers in the region are increasingly preferring online shopping due to convenience, wide product range, and competitive pricing. The COVID-19 pandemic has accelerated this trend, with online sales expected to grow by more than 25% annually from 2020 to 2022. In contrast, Eastern Europe has seen a more gradual change, with online shopping growing at around 15% annually in the region, driven by rising internet penetration and improving digital literacy.
According to data analyzed by Exorigo Upos, by product category, Western European consumers primarily purchase fashion items, electronics, and home goods online, with fashion alone accounting for around 35% of the region's total e-commerce sales. Meanwhile, Eastern European shoppers are more likely to purchase electronics, followed by fashion and beauty products. Electronics make up around 40% of online purchases in Eastern Europe, indicating different consumer priorities.
The Polish company said several factors are driving the growth of e-commerce in Western Europe, including high internet penetration, a robust logistics infrastructure and consumer trust in online payment systems.
However, barriers such as intense competition and stringent regulatory requirements can pose challenges. Meanwhile, in Eastern Europe, growth is driven primarily by increasing smartphone usage, expanding internet access and the rise of local e-commerce platforms. Barriers in the region include underdeveloped logistics networks and low consumer trust in online transactions.
In terms of average order value, Exorigo Upos found that shoppers in Western Europe spend more per transaction, with an average order value of around €85. Eastern European consumers, while increasingly using online shopping, spend an average of €55 per order. This difference can be attributed to differences in economic conditions and disposable income between the regions.
When it comes to payments, Western European consumers primarily use credit cards, digital wallets such as PayPal, and buy now, pay later (BNPL) options for online payments. In Eastern Europe, credit cards are also popular, but there is also a high usage of cash on delivery (COD) and local electronic payment systems. For example, in Poland, systems such as BLIK are widely used due to their convenience and security.
Mobile shopping is on the rise in both regions, but Western Europe has the highest adoption rate, where roughly 60% of online transactions are made via mobile devices. In Eastern Europe, the figure is closer to 40%, but is growing rapidly as more consumers adopt smartphones and mobile internet.
Demographically, online shoppers in Western Europe are more diverse, with a significant percentage of the older population participating in online shopping. In Eastern Europe, the majority of online shoppers are younger, primarily in the 18-35 age group, reflecting a younger, more tech-savvy consumer demographic.
Delivery expectations also differ significantly: Western European consumers prioritize fast, reliable delivery service and many expect next-day delivery options. In contrast, Eastern European shoppers are price-sensitive and are willing to wait longer for delivery if it means lower delivery costs.
Exorigo Upos remains committed to providing advanced technology solutions and expert consulting to drive e-commerce growth in Eastern and Western Europe. With extensive e-commerce and retail expertise, Exorigo Upos is a trusted partner for businesses looking to expand and optimize their online presence and connect offline and online channels, providing merchants with reliable omnichannel solutions.
About Exorigo Upos
Exorigo-Upos SA is an internationally operating Polish technology company specialized in strategic IT consulting and digital transformation. The company provides applications, software development, and maintenance and support services. Exorigo-Upos selects the best ecosystem and technology services to execute complex projects that support business growth.
The company has a team of around 1,000 professionals and has been providing IT solutions for over 30 years. As an omnichannel partner for major players in the retail industry, it contributes to the harmonious integration of offline and online environments. At the same time, the company stands out as the largest payment terminal service center in Poland with an estimated market share of 40%.
Exorigo-Upos has expanded through its own subsidiaries in countries such as Romania, the UK, the Czech Republic, Slovakia, Ukraine and Australia, offering a wide range of services in three key areas: omnichannel devices, software and technology ecosystems, and IT services. The company offers advanced e-commerce solutions that support businesses in their digital transformation and the implementation of an omnichannel strategy.
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*This is a press release.