Online Shopping Global Market Report 2025

Online Shopping Market Overview

• Online Shopping market size has reached to $5630.81 billion in 2024

• Expected to grow to $9393.94 billion in 2029 at a compound annual growth rate (CAGR) of 10.7%

• Growth Driver: Increasing Penetration Of Internet Connectivity Fueling The Growth Of The Market Due To Wider And Affordable Access To Digital Services

• Market Trend: Digital Platform Enhances User Experience With Advanced Features

• North America was the largest region in 2024 and Asia-Pacific is the fastest growing region.

What Is Covered Under Online Shopping Market?

Online shopping refers to the process of buying goods or services over the internet using a web browser or mobile app. It allows consumers to browse, select, and purchase items from online retailers or marketplaces without visiting a physical store. The primary purpose of online shopping is to provide convenience, broader product access, and time-saving solutions for consumers.

The main product types of online shopping are electronics, fashion, home and kitchen, health and beauty, groceries, and others. Electronics are consumer products that use electrical circuits and components to perform functions such as communication, entertainment, computing, and control. Common payment methods for online purchases include credit and debit cards, digital wallets, bank transfers, cash on delivery, and others. These services cater to a wide range of end users, including both individuals and businesses.

What Is The Online Shopping Market Size 2025 And Growth Rate?

The online shopping market size has grown rapidly in recent years. It will grow from $5,630.81 billion in 2024 to $6,251.28 billion in 2025 at a compound annual growth rate (CAGR) of 11.0%. The growth in the historic period can be attributed to the rise of internet accessibility, rising smartphone adoption, growing consumer trust, growth of e-commerce platforms, and increasing urbanization.

What’s The Trade War Impact On Services Industry?

The rapid escalation of U.S. tariffs and the resulting trade tensions in spring 2025 are significantly impacting the services sector, particularly in business services, IT, and professional consulting operations. Higher costs for imported technology, office equipment, and essential digital infrastructure have raised operating expenses for service providers, forcing them to either pass on costs to clients or absorb margin pressures. Outsourcing firms and IT service companies are also facing challenges due to increased costs of hardware components and delayed global supply chains, affecting project delivery timelines and profitability. Additionally, retaliatory tariffs have dampened demand for U.S.-based professional services in key international markets, leading to a slowdown in export-driven revenue streams. The sector must now prioritize digital transformation, cost optimization, and expanding domestic client bases to sustain growth and maintain competitiveness amid ongoing trade uncertainty.

How is the Online Shopping Market Segmented?

1) By Product: Electronics, Fashion, Home And Kitchen, Health And Beauty, Groceries, Other Products

2) By Payment Method: Credit Or Debit Cards, Digital Wallets, Bank Transfers, Cash On Delivery, Other Payment Methods

3) By End-User: Individual, Business

Subsegments:

1) By Electronics: Mobile Phones And Accessories, Laptops And Tablets, Consumer Electronics, Wearable Devices, Computer Components And Peripherals

2) By Fashion: Men’s Clothing, Women’s Clothing, Footwear, Bags And Accessories, Jewelry And Watches

3) By Home And Kitchen: furniture, Kitchen Appliances, Cookware And Bakeware, Home Décor, Bedding And Bath

4) By Health And Beauty: Skincare Products, Haircare Products, Cosmetics And Makeup, personal care appliances, Vitamins And Supplements

5) By Groceries: Fresh Produce, Packaged Foods, Beverages, Dairy And Bakery Items, Household Essentials

6) By Other Products: Books And Stationery, Toys And Baby Products, Sports And Outdoor Equipment, Automotive Accessories, Pet Supplies

What Is Driving The Online Shopping Market? Increasing Penetration Of Internet Connectivity Fueling The Growth Of The Market Due To Wider And Affordable Access To Digital Services

The increasing penetration of internet connectivity is expected to propel the growth of the online shopping market going forward. Internet connectivity refers to the ability of devices to access and communicate over the internet through various networks and technologies. The increasing penetration of internet connectivity is primarily due to the expansion of mobile networks, which enable wider and more affordable access to online services, especially in remote and underserved areas. Internet connectivity enhances online shopping by enabling fast and seamless access to e-commerce platforms, making it convenient for users to browse and purchase products anytime, anywhere. It supports real-time updates, secure transactions, and smooth communication, improving the overall shopping experience. For instance, in October 2023, according to the International Telecommunication Union, a Switzerland-based specialized agency of the United Nations, the number of internet users rose from 5.1 billion (64% penetration) in 2022 to 5.4 billion (67% penetration) in 2023. Therefore, the increasing penetration of internet connectivity is driving the growth of the online shopping market.

What Is Driving The Online Shopping Market? Increasing Penetration Of Internet Connectivity Fueling The Growth Of The Market Due To Wider And Affordable Access To Digital Services

The increasing penetration of internet connectivity is expected to propel the growth of the online shopping market going forward. Internet connectivity refers to the ability of devices to access and communicate over the internet through various networks and technologies. The increasing penetration of internet connectivity is primarily due to the expansion of mobile networks, which enable wider and more affordable access to online services, especially in remote and underserved areas. Internet connectivity enhances online shopping by enabling fast and seamless access to e-commerce platforms, making it convenient for users to browse and purchase products anytime, anywhere. It supports real-time updates, secure transactions, and smooth communication, improving the overall shopping experience. For instance, in October 2023, according to the International Telecommunication Union, a Switzerland-based specialized agency of the United Nations, the number of internet users rose from 5.1 billion (64% penetration) in 2022 to 5.4 billion (67% penetration) in 2023. Therefore, the increasing penetration of internet connectivity is driving the growth of the online shopping industry.

Who Are The Major Players In The Global Online Shopping Market?

Major Companies operating in the online shopping market are Walmart Inc., Amazon.com Inc., Alibaba Group Holding Limited, Target Corporation, Best Buy Co. Inc., Macy’s Inc., Nordstrom Inc., Rakuten Group Inc., Wayfair Inc., Zalando SE, eBay Inc., Sea Limited, Shopify Inc., ASOS plc, Flipkart Private Limited, Etsy Inc., Overstock.com Inc., Newegg Commerce Inc., Myntra Designs Private Limited, Meesho Private Limited

Who Are The Major Players In The Global Online Shopping Market?

Major Companies operating in the online shopping market are Walmart Inc., Amazon.com Inc., Alibaba Group Holding Limited, Target Corporation, Best Buy Co. Inc., Macy’s Inc., Nordstrom Inc., Rakuten Group Inc., Wayfair Inc., Zalando SE, eBay Inc., Sea Limited, Shopify Inc., ASOS plc, Flipkart Private Limited, Etsy Inc., Overstock.com Inc., Newegg Commerce Inc., Myntra Designs Private Limited, Meesho Private Limited

What Are The Key Trends Of The Global Online Shopping Market? Digital Platform Enhances User Experience With Advanced Features

Major companies operating in the online shopping market are focusing on developing technologically advanced solutions, such as e-commerce platforms, to enhance user experience and streamline purchasing processes. E-commerce platforms are digital systems that enable businesses and consumers to buy and sell products or services online. For instance, in May 2024, Amazon.com Inc., a US-based e-commerce company, launched an online marketplace, Amazon.co.za, in South Africa. The platform offers South African consumers a wide range of international and local brands across more than 20 product categories, including newly added items such as non-perishable groceries, pet food, and health supplements. This platform also offers 24/7 customer support and access to over 3,000 pickup points nationwide for added convenience.

What Are The Key Trends Of The Global Online Shopping Market? Digital Platform Enhances User Experience With Advanced Features

Major companies operating in the online shopping market are focusing on developing technologically advanced solutions, such as e-commerce platforms, to enhance user experience and streamline purchasing processes. E-commerce platforms are digital systems that enable businesses and consumers to buy and sell products or services online. For instance, in May 2024, Amazon.com Inc., a US-based e-commerce company, launched an online marketplace, Amazon.co.za, in South Africa. The platform offers South African consumers a wide range of international and local brands across more than 20 product categories, including newly added items such as non-perishable groceries, pet food, and health supplements. This platform also offers 24/7 customer support and access to over 3,000 pickup points nationwide for added convenience.

What Are Latest Mergers And Acquisitions In The Online Shopping Market? Flipkart Acquires ANS Commerce To Boost D2C Capabilities And Support Brand Digitization

In April 2022, Flipkart Inc., an India-based e-commerce company, acquired ANS Commerce for an undisclosed amount. With this acquisition, Flipkart aims to enhance its support for D2C brands by leveraging ANS Commerce’s end-to-end e-commerce solutions, including store tech, marketing, and fulfillment services. ANS Commerce is an India-based e-commerce company that provides end-to-end solutions for online shopping.

What Are Latest Mergers And Acquisitions In The Online Shopping Market? Flipkart Acquires ANS Commerce To Boost D2C Capabilities And Support Brand Digitization

In April 2022, Flipkart Inc., an India-based e-commerce company, acquired ANS Commerce for an undisclosed amount. With this acquisition, Flipkart aims to enhance its support for D2C brands by leveraging ANS Commerce’s end-to-end e-commerce solutions, including store tech, marketing, and fulfillment services. ANS Commerce is an India-based e-commerce company that provides end-to-end solutions for online shopping.

What Is The Regional Outlook For The Global Online Shopping Market?

North America was the largest region in the online shopping market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the online shopping market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

The countries covered in the online shopping market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

What Is The Regional Outlook For The Global Online Shopping Market?

North America was the largest region in the online shopping market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in this market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

The countries covered in this market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

What Defines the Online Shopping Market?

The online shopping market includes revenues earned by entities through e-commerce sales, logistics and delivery services, marketplace services, subscription services, and advertising and promotions. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

What Defines the Online Shopping Market?

The online shopping market includes revenues earned by entities through e-commerce sales, logistics and delivery services, marketplace services, subscription services, and advertising and promotions. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

How is Market Value Defined and Measured?

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

How is Market Value Defined and Measured?

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

What is the Market Assessment and Strategic Outlook for the Online Shopping Industry?

The online shopping market research report is one of a series of new reports from The Business Research Company that cover online shopping market statistics, including the online shopping industry's global market size, regional shares, competitors with the online shopping market share, detailed online shopping market segments, market trends and opportunities, and any further data you may need to thrive in the online shopping market. This online shopping market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

What is the Market Assessment and Strategic Outlook for the Online Shopping Industry?

The online shopping market research report is one of a series of new reports from The Business Research Company that cover market statistics, including the online shopping industry's global market size, regional shares, competitors with the market share, detailed market segments, market trends and opportunities, and any further data you may need to thrive in the online shopping market. This online shopping market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.