Portugal E-commerce Market Size
| Study Period | 2017-2027 |
| Base Year For Estimation | 2021 |
| Forecast Data Period | 2024 - 2028 |
| Historical Data Period | 2018 - 2020 |
| CAGR | 5.20 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Portugal E-commerce Market Analysis
The Portugal E-commerce market is expected to register a CAGR above 5.2% during the forecast period. The European E-commerce market has been expanding rapidly in recent years, providing exciting potential for online retailers in various industries. Portugal is a developed economy, and internet penetration is significant in the nation, with World Bank indicating that over 78% of the population uses the internet. This suggests that the awareness of online shopping is substantial and contributes to market growth.
- Portugal's market for business-to-consumer e-commerce has been rapidly expanding. Younger generations dominate the market, and fashion and technology are two important market segments. Card payments and open invoicing through Multibanco dominate online payments. As a result, most Portuguese internet customers can be reached by international retailers who take card payments and provide Multibanco as an alternative option.
- Furthermore, E-commerce is also being promoted by the government and the national e-commerce organization ACEPI to people and domestic businesses. The government supports the Digital Trade Programme, which encourages online commerce, and the ACEPI provides tools for small and medium enterprises to construct e-commerce websites.
- In recent years, European consumers, merchants, and governments have been more concerned about sustainability, and internet retail has become more scrutinized. Concerns about the environmental consequences of cross-border purchases have grown, as have supply chain issues regarding human rights, labor conditions, and raw material collecting.
- In addition, one of the latest trends reshaping the retail industry is the usage of social media platforms for buying and selling. Social media platforms such as Facebook, Instagram, YouTube, TikTok, and so on also hold a significant share in the sales medium and contribute to the e-commerce market in the country.
- The COVID-19 outbreak significantly increased online product sales because, due to governmental restrictions, lockdown, and safety purposes, it became the new normal as companies and customers went digital by offering products and services through e-commerce channels during the pandemic in Portugal. E-commerce advanced significantly, even among people over 60, during the pandemic. This transformation of buying behavior has compelled retail shops to go for online sales channels in the country, which has fueled the country's e-commerce market in the post-pandemic scenario.
Portugal E-commerce Market Trends
This section covers the major market trends shaping the Portugal E-commerce Market according to our research experts:
Digital Payment is Expected to Drive the Market
- Mobile commerce is the primary growth driver, outpacing the whole e-commerce market by a wide margin. When it comes to online transactions, cards are still the most popular way of payment for the majority of needs.
- Given the strong brand recognition of significant card payment companies like Visa and Mastercard and advancements in online anti-fraud technology like 3D Secure, it is projected that cards will continue to play an essential role in the payments landscape in the foreseeable future. Consumers will always have at least one card in their wallet; thus, merchants can profit from streamlining their card payment processes.
- Consumers' anxieties about giving card details directly to retailers have been alleviated by digital wallets, which have become a popular payment option for e-commerce transactions. Advanced e-commerce economies have quickly adopted digital wallets.
- Another primary subject is the significance of mastering smartphone-based payment methods. Paying via a mobile device has grown normal throughout European markets as time spent on smartphones increases and app-based payment systems rapidly proliferate. This is especially true in regions where mobile devices have become the primary means of accessing the internet.
- E-commerce growth in Europe as a whole continues to be high. According to Eurostat, European companies generated part of their revenue through e-commerce sales. Portugal's e-commerce revenue in 2021 was recorded by 17%.
Fashion and Apparel Sector is Expected to Drive the Market
- Fashion and apparel are analyzed to hold a significant share of the Portugal e-commerce market. This is majorly attributed to the significant shift caused by the pandemic. Many people opted for an online platform for shopping and so on. Alongside this, online sales promotions through mega sales, festive offers, and social media marketing have also contributed to the market growth rate.
- The growing digitalization and the significant adoption of the country's fashion industry are major factors contributing to the market's growth rate. For instance, in June 2022, With the debut of a new website and online store, Portuguese fashion designer Maria Gambina made a major milestone in the digitalization of the industry. The line contains men's and women's clothing, each with a distinctive design and all the colors, patterns, and graphic elements that define Maria Gambina's aesthetic DNA. The new online shop does more than make it easier to obtain the items that the designer typically includes in Portugal Fashion's official schedule of fashion shows. Opening the Portuguese designer's web store is essential to bringing locally produced, unique designer fashion closer to the general public.
- The growing expansions of foreign brands in the nation are also boosting the fashion and apparel sector. In October 2021, ABOUT YOU debuted its new online store about you. pt, as part of its ongoing successful expansion. In the past, ABOUT YOU demonstrated its strategy of providing a distinctive shopping experience within several European country launches, and it is currently present in 25 European regions. The online fashion shop, which takes a distinctive approach, digitalizes the experience of conventional window shopping. The Portuguese fashion internet store was formally introduced with a significant marketing campaign and a launch celebration in Lisbon.
- Key players in the market offering a large discount would be expected to drive new growth opportunities for the E-commerce market. Amazon.com Inc. is investing in expanding its workforce and logistics network in Europe, strengthening its position in the region, including Portugal. For instance, in September 2022, Amazon announced Amazon's Prime Early Access Sale in many countries, including Portugal, which gives its customers a chance to peruse early deals this holiday season. The new two-day shopping extravaganza will feature hundreds of bargains in all key categories, including electronics, fashion, home, gourmet, pets, toys, and Amazon gadgets.
Portugal E-commerce Industry Overview
Competition in Portugal's e-commerce market is high due to the presence of many market players. Further, the number of local and global brands in the e-commerce market has increased competition. Apart from Amazon and Inditex Group (Zara Portugal), some retail brands, like Worten, already enjoy a considerable presence in physical retail and are gearing up in the e-commerce market, further intensifying the overall rivalry between players. Some key players in the Portugal e-commerce market are Amazon, Inditex Group (Zara Portugal), Zalando, and Apple.
In September 2022, Zalando entered the next stage in its strategic partnership with Nike, Inc.
In January 2022, Zalando, Europe's leading online fashion and lifestyle platform, invested in Ambercycle Inc., a material science firm. Zalando, H&M CO: LAB, KIRKBI, Temasek, and BESTSELLER's Invest FWD participated in the company's Series A fundraising round. Ambercycle hopes to develop infrastructure and materials for circularity in the fashion sector with this additional funding.
Portugal E-commerce Market Leaders
Amazon
Apple
Worten
Zalando
Inditex Group (Zara Portugal)
*Disclaimer: Major Players sorted in no particular order
Portugal E-commerce Market News
- December 2022 - Continente has a total of 77 stores in the Lisbon district and currently planning to open shops in 3 new locations of Continente Modelo Estoril, in Cascais, Continente Bom Dia Av. de Paris, in Lisbon. Continente Bom Dia Vialonga, in Vila Franca de Xira, to strengthen its brand's position in the region and to create 160 new jobs.
- March 2022 - El Corte Ingles, Spain's third-largest retailer, and distributor, is planning to start its cryptocurrency exchange. The goal, according to reports, is to capitalize on the company's current client base, with an investor target already set. El Corte Ingles' clients are little savers who, the company believes, could be interested in investing in cryptocurrencies through a well-known company rather than going to younger brands.
Portugal E-commerce Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
4.1 Market Overview
4.2 Industry Attractiveness - Porter's Five Forces Analysis
4.2.1 Bargaining Power of Suppliers
4.2.2 Bargaining Power of Buyers
4.2.3 Threat of New Entrants
4.2.4 Threat of Substitute Products
4.2.5 Intensity of Competitive Rivalry
4.3 Key Market Trends and Share of E-commerce of Total Retail Sector
4.4 Impact of COVID-19 on the E-commerce Sales
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Increase in the Adoption of Advanced Technology
5.2 Market Challenges
5.2.1 Data Security of Customers Online
5.3 Analysis of Key Demographic Trends and Patterns Related to the E-commerce Industry in Portugal (Coverage to include Population, Internet Penetration, Ecommerce Penetration, Age & Income, etc.)
5.4 Analysis of the Key Modes of Transaction in the E-commerce Industry in Portugal (Coverage to include prevalent modes of payment such as Cash, Card, Bank transfer, Wallets, etc.)
5.5 Analysis of the Cross-border E-commerce industry in Portugal (Current market value of Cross-border & Key trends)
5.6 Current Positioning of Portugal in the E-commerce industry in Europe
6. MARKET SEGMENTATION
6.1 By B2C ecommerce
6.1.1 Market size (GMV) for the period of 2017-2027
6.1.2 Market Segmentation - by Application
6.1.2.1 Beauty & Personal Care
6.1.2.2 Consumer Electronics
6.1.2.3 Fashion & Apparel
6.1.2.4 Food & Beverage
6.1.2.5 Furniture & Home
6.1.2.6 Others (Toys, DIY, Media, etc.)
6.2 By B2B ecommerce
6.2.1 Market size for the period of 2017-2027
7. COMPETITIVE LANDSCAPE
7.1 Company Profiles*
7.1.1 Amazon
7.1.2 Inditex Group (Zara Portugal)
7.1.3 Apple
7.1.4 Worten
7.1.5 Zalando
7.1.6 Euronics
7.1.7 IBS
7.1.8 BonPrix
7.1.9 elcorteingles
7.1.10 continente
8. INVESTMENT ANALYSIS
9. FUTURE OUTLOOK OF THE MARKET
Portugal E-commerce Industry Segmentation
E-commerce involves activities that deal with the transaction of products and services over an internet-based platform. The Portuguese e-commerce market includes the revenue obtained through online transactions of products on e-commerce platforms in Portugal.
The Portugal E-commerce Market is Segmented by Application (Beauty and Personal Care, Consumer Electronics, Fashion & Apparel, Food & Beverage, Furniture & Home), B2B eCommerce. The market sizes and forecasts are provided in terms of value (USD billion) for all the above segments.
| By B2C ecommerce | ||||||||
| Market size (GMV) for the period of 2017-2027 | ||||||||
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| By B2B ecommerce | |
| Market size for the period of 2017-2027 |
Portugal E-commerce Market Research FAQs
What is the current Portugal E-commerce Market size?
The Portugal E-commerce Market is projected to register a CAGR of 5.2% during the forecast period (2023-2027).
Who are the key players in Portugal E-commerce Market?
Amazon, Apple, Worten, Zalando and Inditex Group (Zara Portugal) are the major companies operating in the Portugal E-commerce Market.
Portugal E-commerce Industry Report
Statistics for the 2023 Portugal E-commerce market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Portugal E-commerce analysis includes a market forecast outlook to 2028 and historical overview. Get a sample of this industry analysis as a free report PDF download.
