E-commerce in the United Kingdom (UK) - statistics & facts
With the most advanced and undeniably the most lucrative e-commerce market across Europe, online shopping has undeniably become the norm for people everywhere in the United Kingdom (UK). In 2024, the country is expected to have about 50 million e-commerce users — leaving non-digital buyers as a minority of the total population.
Online retailing is particularly strong in the fashion sphere, which consistently amasses the most revenue among the measured segments each year. The most recent government figures also show that over one-fourth of retail sales from textile, clothing, and footwear stores come from online channels. Food and consumer electronics were the next highest grossing categories in terms of revenue, with leading brands like Tesco, Just Eat, Amazon, and Apple at the forefront of their respective industries.
With predictions for e-commerce segments to continue growing, however, even the most deterring barriers against shopping online will not be enough to significantly change the number of e-commerce users in the UK. Countless numbers of online businesses will continue to adapt to new technologies and consumer interests, keeping the UK e-commerce market buoyant for years to come.
Europe’s most profitable e-commerce market
Following the coronavirus pandemic, in 2020, internet retail sales in the UK grew by 47 percent, the fastest rate recorded in the previous ten years. In contrast to this steep growth resultant from the pandemic, the UK’s e-commerce retail sales growth hit a negative in 2022, likely a direct impact of inflation and other global current events. In 2023, however, the figure has begun to find its foothold once again, and the revenue of e-commerce in the UK is still expected to grow steadily in the coming years across all segments.Online retailing is particularly strong in the fashion sphere, which consistently amasses the most revenue among the measured segments each year. The most recent government figures also show that over one-fourth of retail sales from textile, clothing, and footwear stores come from online channels. Food and consumer electronics were the next highest grossing categories in terms of revenue, with leading brands like Tesco, Just Eat, Amazon, and Apple at the forefront of their respective industries.
Shopping behavior in the UK
In spite of the high penetration rate of e-commerce in the country, there are still specific aspects of online shoppers that attract and dissuade purchases alike. The top barriers that discouraged online shoppers in the UK were having to pay delivery fees, delivery time taking too long, and items desired for purchase no longer being in stock. In comparison, primary reasons for shoppers to make purchases online included free delivery, no hidden fees, and free returns.With predictions for e-commerce segments to continue growing, however, even the most deterring barriers against shopping online will not be enough to significantly change the number of e-commerce users in the UK. Countless numbers of online businesses will continue to adapt to new technologies and consumer interests, keeping the UK e-commerce market buoyant for years to come.
