Business
Forrester: Global Online Retail Sales To Grow 8.9% Annually, Reaching $6.8 Trillion In 2028
Retailers’ investments in genAI, the rise of online marketplaces, and higher digital literacy will continue to drive global online retail sales growth
About this update from Forrester Research, Inc.
[{"type":"text","content":"\nRetailers’ investments in genAI, the rise of online marketplaces, and higher digital literacy will continue to drive global online retail sales growth\n\n\n CAMBRIDGE, Mass.--(BUSINESS WIRE)--\nForrester (Nasdaq: FORR) forecasts that total global online retail sales will grow from $4.4 trillion in 2023 to $6.8 trillion by 2028 at an 8.9% compound annual growth rate (CAGR). According to the report Global Retail E-Commerce Forecast, 2024 To 2028, which provides a five-year forecast for total, online, and offline retail sales for 40 countries globally, despite the growth in e-commerce, 76% (or $21.9 trillion) of global retail sales will still occur offline in 2028. As a result, retailers must continue to invest in omnichannel strategies that provide a seamless shopping experience, both online and offline.\n\n\nThe report further states that retail e-commerce maturity varies globally. Advanced economies including the US, the UK, and South Korea are more mature due to higher internet penetration and digital literacy. As smartphone adoption and mobile commerce become more widespread, however, emerging markets in Asia Pacific, Eastern Europe, and Latin America are catching up. This rapid adaptation is transforming the global e-commerce landscape, presenting new opportunities for businesses and consumers alike.\n\n\nLooking ahead at 2024 and beyond, Forrester expects continued growth momentum for online retail sales globally. Following are some noteworthy highlights from the report, broken down by global region.\n\n\nThe Americas:\n\n\n\nIn the US, online retail sales are expected to reach $1.6 trillion by 2028, accounting for 28% of total US retail sales.\n\n\n\nE-commerce is more mature in the US compared to Canada, with Canadian online retail sales expected to reach $83 billion by 2028. Canada lags the US in e-commerce penetration due to lower population density, a smaller market size, and slower consumer adoption.\n\n\n\nIn Latin America, online retail sales in the top six countries — Brazil, Mexico, Argentina, Colombia, Peru, and Chile — will grow from $109 billion in 2023 to $192 billion by 2028.\n\n\n\nEurope:\n\n\n\nIn Western European countries — including Austria, Belgium, Denmark, Finland, France, Germany, Greece, Ireland, Italy, the Netherlands, Norway, Portugal, Spain, Sweden, Switzerland, and the UK — online retail sales...