EMOTA represents 3,500 multi-channel retailers in 16 European countries with €250 billion in annual turnover. E-commerce contributes significantly to economic growth and job creation across Europe, though penetration and spending varies greatly between countries and sectors. While the largest online retailers in Europe are mostly multi-channel, cross-border sales remain low due to legal, tax, and payment barriers. The EU has launched initiatives to remove these barriers and further facilitate e-commerce growth across Europe.

2. EMOTA represents 3,500 multi-channel/online retailers in 16 countries
• 16 European countries
• 17 member associations
• 3,500 companies
• € 250 billion turnover
• 83% of European
e-commerce
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3. E-Commerce contributes significantly to growth and job creation
Contribution to GDP growth
Average: 21% • 2.6 jobs created for each lost
• internet-intensive companies create
Sweden 33%
2x jobs
Germany 24%
UK 23%
France 18%
USA 15%
Italy 12%
0% 10% 20% 30% 40%
Source: McKinsey, 2011
Note: Internet % contribution to GDP growth 2004-2009 – mature countries
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4. In addition, E-Commerce enables consumers to save money and time
Reasons for shopping online
lower prices 66%
save time 50%
price comparison 33%
open anytime 33%
wide selection 22%
Consumer gains from e-commerce
home delivery 11% (wider choice + lower prices):
currently € 12 Bn.
more product information 10% potentially € 200 Bn.
0% 20% 40% 60% 80%
Source: Civic Consulting/TNS, 2011
Note: consumer survey – 3 most important reasons for shopping online (sample of 13,872 online shoppers)
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5. E-Commerce in Europe will reach € 300 Bn. in 2012, with 20% growth
E-commerce turnover by region Growth
€ Billion
300 Europe +20%
300
250
250 270 N. America +14%
215
237
200 185 210 215 Asia Pacific +36%
171
170
150
154 158
100 122
84 48 ROW +44%
50 66 33
19 26
13
-
2008 2009 2010 2011 2012
Source: EMOTA/IMRG, 2012
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6. UK, France and Germany account for 60% of European E-Commerce
European E-commerce turnover by country 2012 (€ billion)
Other
Eastern Europe
Italy 12
15
Russia 10
UK
Spain 10
11 90
Benelux
15
Austria/ 17
Switzerland
29 46
Scandinavia 45
France
Source: EMOTA, 2012
Note: B2C e-commerce turnover estimate Germany
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7. E-Commerce is growing very fast throughout Europe
E-commerce growth by country in 2012
+30% +27% +27%
+25% +22%
+18% +20% average
+19%
+20% European
growth
+14% +14%
+15% +12%
+10%
+5%
+0%
Source: EMOTA, 2012
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8. Online share of retail high in UK/Scandinavia, low in South/East Europe
Online share of retail by country 2012
25%
20%
15%
European
10%
average
5%
0%
Source: EMOTA, 2012
Note: % of e-commerce turnover on total retail trade
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9. There are significant differences in E-Commerce penetration and spend
80%
70% UK
Germany Scandinavia
60%
Benelux Digital Agenda
France target 2015
50%
E-Commerce 43% EU average
40%
penetration Austria/Switzerl. 2011
30%
Spain
20%
Eastern
Italy
10% Europe
0%
- 500 1.000 1.500 2.000 2.500 3.000 3.500
Source: EMOTA, Eurostat, 2011
Average annual expenditure (€)
Note: E-commerce penetration: % of population aged 14-74 years buying online
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10. In addition, very few consumers shop online across borders
Proportion of consumers buying online from another country
25%
Digital Agenda
20% target 2015
GAP
15%
EU average
10% 2011
5%
0%
Source: Eurostat, 2011
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11. In fact, consumers are more worried about international delivery
Concerns about cross-border vs. domestic online purchases
Long delivery times
Returns
Guarantee
No delivery
Payment security
Data privacy
Uncertainty on rights
0% 5% 10% 15% 20% 25% 30% 35%
% domestic % increase cross-border
Source: Civic Consulting/TNS, 2011
Note: % of consumers reporting concerns about buying products online in their own country vs. in another EU country (sample: 29.010 individuals)
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12. Online penetration high in media/travel, low in apparel/grocery
Online share of retail by sector
40%
Music
Travel
30%
Online 20%
share of Books
retail sales Apparel
Cosmetics Electronics
10%
Appliances
Grocery
0%
Furnishing
-10%
5% 10% 15% 20%
Annual growth of online share
Source: Booz & Co., 2012 Bubble size proportional to market size
Note: online share of retail sales in western Europe 2011 – CAGR of online share of sales 2006-2011
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13. Top E-Commerce players in Europe are mostly multi-channel
# Company Online sales Growth Country Channels Category
1 12.0 38% Books/Electron.
2 4.5 25% Apparel
3 3.9 11% Grocery
4 2.6 2% Office supplies
5 2.6 21% Apparel
6 2.4 18% Apparel/Home
7 1.5 9% Apparel/Home
8 1.3 28% Electronics
9 1.3 14% Electronics
10 1.2 10% Apparel
Source: Internet Retailer, 2012 catalogues retail internet
Note: Online sales in Europe in 2011 in € billion; growth % 2011 vs. 2010
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14. However, most companies have still to embrace E-Commerce
Proportion of companies selling online Digital Agenda
35
target 2015
33%
30
25
GAP
20
% of
SMEs
15
European
average 2011
10
5
-
-
Source: Eurostat, 2011 5 10 15 20 25 30
Note: companies with 10-249 employees and at least 1% of online sales % of turnover
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15. In addition, only 27% of retailers sell across borders
Proportion of retailers selling in at least one other EU country
50%
40%
30% EU
27%
average
20%
10%
0%
Source: TNS, Flash Eurobarometer 331, 2012
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16. In fact, many retailers are deterred by legal/tax and payment issues
Barriers to cross-border sales for retailers
Different consumer laws
Risk of fraud/non-payments
Different tax regulations
Delivery costs
Complaints resolution
Own restrictions
Customer service
Language differences
0% 5% 10% 15% 20% 25% 30% 35%
Source: TNS, Flash Eurobarometer 331, 2012
Note: % of retailers reporting obstacles to cross-border sales to other EU countries
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17. EU institutions launched several initiatives to remove these barriers
Regulation on
Consumer Data Protection
Rights
Directive
E-Commerce
Action Plan Directive on
ADR/
Common Green Paper Regulation
European on Payments on ODR
Sales Law
(CESL)
Online
Trustmarks
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18. EMOTA supports all EU initiatives aimed at facilitating E-Commerce
• Harmonize consumer legislation across Europe
• Improve consumer trust through a pan-European trustmark
• Liberalize postal delivery services
• Ensure security and efficiency of online payment platforms
• Accelerate broadband networks development
Avoid
Balance
unnecessary
consumer/
extra
business
costs/burden
interests
for businesses
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