Global Retail & B2C E-Commerce Market: Growth and Projections

‍

Despite economic uncertainties, global retail sales are expected to grow between 4% and 5% in 2025 compared to 2024. E-Commerce continues to outpace traditional retail, with an anticipated growth rate exceeding 8%, indicating steady recovery and expansion, according to eMarketer. By 2027, E-Commerce’s share of total global retail sales is expected to surpass 22%, up from over 20% in 2024, while total global retail E-Commerce sales are forecasted to surpass EUR 7 trillion, as per eMarketer.

‍

Forrester Research’s projections reinforce this momentum, estimating that global online retail sales will rise from over USD 4 trillion in 2023 to over USD 6 trillion by 2028, reflecting a robust compound annual growth rate (CAGR) of nearly 9%. Nevertheless, traditional retail will remain dominant, with 76% of global retail sales still taking place offline by 2028, emphasizing the importance of an integrated omnichannel approach.

‍

Consumer Behavior & Online Shopping Trends

‍

The rapid digitalization of commerce is accompanied by shifting consumer expectations. In 2024, high delivery costs remained the primary frustration for online shoppers worldwide, leading to over 40% cart abandonment rate, according to DHL. Cost-conscious consumers are increasingly motivated by discounts and incentives, with over 80% citing price reductions as a key purchasing factor and over 70% favoring discount codes, as per DHL. The demand for convenient, affordable shipping options continues to rise, with free delivery and free returns ranking among the most desired improvements.

‍

Social commerce is playing an increasingly significant role in global retail, particularly among younger demographics. Platforms like TikTok and Douyin are transforming digital shopping experiences, leveraging short-form videos and influencer-driven marketing to drive sales. In early 2023, Douyin recorded an over 80% surge in beauty and personal care product sales, while TikTok Shop expanded into the U.S. and U.K. following its success in Southeast Asia, according to Euromonitor International. As of 2024, over 25% of social media users globally have made purchases through social commerce platforms, reinforcing the sector’s rising influence.

‍

Additionally, the cross-border shopping trend continues to gain traction, with over half of global online shoppers purchasing from international retailers, as per DHL. Younger consumers, particularly those under 45, are leading this trend, with social media playing a crucial role in driving international purchases. However, security concerns remain a barrier, with nearly half of shoppers avoiding cross-border transactions due to fraud-related apprehensions.

‍

B2B E-Commerce: Digital Transformation & Market Expansion

‍

AI is playing a transformative role in B2B digital commerce, improving automation, personalization, and operational efficiency. Businesses are increasingly adopting AI-powered tools such as chatbots, self-service portals, and virtual assistants to enhance buyer interactions. Additionally, AI-driven inventory management, demand forecasting, and logistics optimization are revolutionizing supply chain operations, improving cost efficiency and delivery accuracy.

‍

B2B marketplaces are emerging as central hubs for procurement, with 50% of global buyers preferring manufacturer-operated platforms over general-purpose marketplaces, according to Forrester Research. These platforms streamline procurement processes, integrate structured price agreements, and automate invoicing, catering to businesses’ demand for efficiency and transparency.

‍

However, challenges persist. In 2023, over 90% of global B2B buyers faced obstacles preventing them from ordering online, with inaccurate delivery time information and order errors being major deterrents, according to SAPIO. Companies must address these pain points by investing in seamless digital experiences, real-time inventory tracking, and AI-driven customer support solutions.

‍

AI & Automation: The Future of Digital Commerce

‍

AI adoption is revolutionizing both B2C and B2B E-Commerce landscapes. Nearly half of industry professionals plan to invest in generative AI by 2028, according to Euromonitor International, with key applications spanning customer service automation, supply chain efficiency, and personalized product recommendations. Companies such as Zalando are leveraging AI to enhance customer experiences, illustrating the growing role of intelligent automation in digital commerce.

‍

AI is also reshaping payment methods, security, and fraud prevention. Traditional credit and debit cards remain dominant, accounting for over 40% of online transactions in 2024, followed by digital wallets at over 20%, according to DHL. However, AI-powered fraud detection and payment security solutions are gaining traction, helping retailers and businesses build trust among global consumers.

‍

Conclusion: Navigating the Future of E-Commerce

‍

The global E-Commerce landscape is undergoing significant transformation, with omnichannel strategies, AI-driven automation, and social commerce playing pivotal roles. While traditional retail remains a dominant force, digital commerce is rapidly evolving, necessitating strategic investments in seamless shopping experiences, secure payment solutions, and AI-driven operational efficiencies.

‍

For businesses looking to stay competitive, leveraging these trends will be key to navigating the future of digital commerce. To explore more insights and data-driven analysis, access the full yStats.com report today.

‍