Digital Commerce Market

Digital Commerce Market Statistics: 2030

The digital commerce market size was valued at $ 4.21 Trillion in 2020, and is projected to reach $ 17.53 Trillion by 2030, growing at a CAGR of 15.1% from 2021 to 2030.

Digital commerce market share the current estimation of 2021 is projected to be higher than pre-COVID-19 estimates. This is attributed to the rapid growth in demand for digital commerce due to supply chain disruptions triggered by the COVID-19 pandemic. In addition, there is huge demand for online shopping in several areas, which requires food & beverage, manufacturing, and logistics companies to increase their investments in automation, including the automation of supply chains, thus, fueling the growth of the market

Digital commerce is the buying and selling of goods and services, or the transmitting of funds or data, over an electronic network, basically on the internet. Digital-commerce is powered by the internet, where customers can access an online store to browse through, and place orders for products or services via their own devices .These business transactions operate as business-to-consumer (B2C), business-to-business (B2B), consumer-to-business, or consumer-to-consumer. The terms e-commerce and e-business are often used interchangeably. The term e-tail is sometimes used in reference to the transactional processes that make up online retail shopping.

On the basis of business type, the business to business segment dominated the global market in 2020, and is expected to continue this trend during the forecast period, owing to increase in adoption of digital commerce software which is expected to integrate with existing software and inventory management solution to provide valuable insights for digital commerce market growth. However, the business to consumer segment is expected to grow at the highest CAGR during the forecast period, owing to surge in adoption of digital commerce and e commerce solution in consumers, as it provides cost-effective and efficient mode of shopping for retail customer. 

As per digital commerce market trends on the basis of business type, the automotive segment generated highest revenue in 2020, and is projected to maintain its dominance during the forecast period due to rise in adoption of digital commerce solution among automotive manufacturers to gain competitive advantage, which is owing to rise in competition between e-commerce and omni channel players. However, retail and consumer goods segment is expected to witness the highest growing during the forecast period. It is due to adoption of digital technology in the sales and marketing of product. Moreover, increase in use of smart phone fuels the growth of the market.  

The report focuses on the growth prospects, digital commerce market forecast, restraints, and digital commerce market analysis. The study provides Porter’s five forces analysis of the digital commerce industry to understand the impact of various factors such as bargaining power of suppliers, competitive intensity of competitors, threat of new entrants, threat of substitutes, and bargaining power of buyers on the E commerce market trends.

Segment review

The digital commerce industry is segmented on the basis of component, browsing method, payment method, business type, industry vertical, and region. By component, it is bifurcated into solution and service. By browsing method, it is divided into desktop/laptop and mobile/ tablets. By payment method, it is categorized into card payment, bank transfer, wallet payment, cash payment and crypto currency. By business type, it is classified into business-to-business, business-to-consumer. By industry vertical, it is categorized into BFSI, automotive, manufacturing, retail household goods, healthcare and pharmaceuticals, media & entertainment and others.

Impact of COVID-19 on Digital Commerce Service Market

Digital commerce market share the current estimation of 2021 is projected to be higher than pre-COVID-19 estimates. This is attributed to the rapid growth in demand for digital commerce due to supply chain disruptions triggered by the COVID-19 pandemic. In addition, there is huge demand for online shopping in several areas, which requires food & beverage, manufacturing, and logistics companies to increase their investments in automation, including the automation of supply chains, thus, fueling the growth of the market.

With this outbreak, many industries were affected and maintaining the complex trading networks became difficult for them, which helped to drive the demand for digital commerce market. For instance, in October 2021, leading digital commerce company Dialogue, launched app version of its cutting-edge, AI-based e-commerce solution on the Shopify platform. This is expected to help organizations to tackle the effect of the COVID-19 pandemic. With this move, small e-commerce businesses on the Shopify platform are anticipated to be able to leverage the same innovative personalization technology as large corporations and enterprises, to create a better CX experience and boost retention and sales.

Top impacting factors    

Factors such as rise in penetration of the internet and smart phones, growth in usage of social media & social commerce, and advancement of multiple payment modes drive the market of the digital commerce. However, online frauds & cyber security issues and lack of trust of consumer on online shopping restrain the market globally. Furthermore, the expansion of cross-border ecommerce and automation in digital commerce create lucrative opportunities in the market.

Rising Penetration of the Internet and Smart phones

The emergence of affordable smart phones and internet connections is a key factor resulting in the rise in demand for retail digital commerce packaging. Owing to technological advancements, the number of people who can afford electronics such as smart phones has increased considerably over the past few years. Moreover, access to internet has surged in the past few years, which is why a larger number of people are able to shop online. This has further led to the expansion of digital industries, including e-commerce, which, in turn, drives the demand for packaging solutions. The digital commerce market is being driven by the change in consumer preferences, rise in population, and surge in affordability of internet connections &mobile phones across the globe. 

Key Benefits For Stakeholders

• The study provides an in-depth analysis of the digital commerce market along with the current trends and future estimations to elucidate the imminent investment pockets.
• Information about key drivers, restraints, and opportunities and their impact analysis on the digital commerce market size is provided.
• Porter’s five forces analysis illustrates the potency of buyers and suppliers operating in the digital commerce market.
• The quantitative analysis from 2020 to 2030 is provided to determine the digital commerce market potential.

 Digital Commerce Market Report Highlights