The State of E-Commerce in Italy

Oct 28, 2020

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Known as one of the major export countries in the world, Italy is also the eighth largest economy in the world and the fourth largest in Europe. 

Digital buyer penetration (percentage of users that purchased products online) in Italy is forecasted to reach 55.1% in 2020; a 10.7% increase from 2017. Its e-commerce market is expected to reach a revenue of USD$ 20.6 million by the end of 2020. With the pandemic-fuelled e-commerce boom, we believe the actual revenue numbers for 2020 will surpass these projections. In fact, McKinsey found that e-commerce demand for consumer products in Italy increased by 81% in a single week because of the COVID-19 outbreak.

With that in mind, we analyzed data from the first half of 2020 to find out the state of e-commerce in Italy. Here are the highlights of our findings: 

The average domestic transit time to the first delivery attempt was 2.0 business days.

In March, the Italian government enforced strict guidelines to contain the coronavirus outbreak. This significantly reduced the manpower available for logistics operations. Combined with the surge in e-commerce demand from people stuck at home and shopping online, Italy’s postal performance was negatively affected. For example, Poste Italiane was one of the postal service providers affected by the control measures implemented.

Parcel volume surged by 53% during the 2019 peak season.

People in Italy spent approximately €549 during the peak season in 2019, making them one of the biggest spenders in Europe where the estimated average expenditure is €461Italy is among the top 3 countries with the highest estimated holiday spending together with the UK and Spain. With e-commerce growing during the pandemic, this year’s peak season will experience a bigger surge in parcel volume compared with previous years.

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