Enjoy complimentary customisation on priority with our Enterprise License!
The Retail E-Commerce Software Market size is forecast to increase by USD 4.17 billion, at a CAGR of 11.22% between 2023 and 2028. The growth rate of the market depends on several factors, including the rise in international retailing, the advent of omnichannel retailing, and the growth of the e-commerce industry. Retail e-commerce software refers to a specialized application or platform designed to facilitate and optimize online transactions for retail businesses. It enables merchants to create and manage digital storefronts, process customer orders, manage inventory, and securely handle payments. This software typically includes features such as product catalog management, online shopping cart functionality, secure payment gateways, order fulfillment and tracking, and customer relationship management tools. With its user-friendly interface and robust functionality, retail e-commerce software allows businesses to establish and grow their online presence, reach a wider customer base, enhance customer experience, and ultimately drive sales in the digital marketplace.
The report offers extensive research analysis on the market, with a categorization based on Application, including apparel and accessories, grocery, footwear, personal and beauty care, and others. It further segments the market by Product, encompassing cloud-based and on-premises. Additionally, the report provides Region segmentation, covering APAC, Europe, North America, the Middle East and Africa, and South America. Market size, historical data (2018-2022), and future projections are presented in terms of value (in USD billion) for all the mentioned segments.
For More Highlights About this Report, Download Free Sample in a Minute
One of the key factors driving the market growth is the rise in international retailing. International retailing comprises the cross-border transfer of retail technology, management skills, and buying functions. In addition, with the availability of new market opportunities and increasing globalization, the global market is witnessing intense competition among international retailers that are setting up new outlets in emerging markets including the developing countries of APAC.
Moreover, the rising penetration of the Internet has increased e-commerce and trade opportunities for international retailers. In addition, global grocery retailers and international fashion brands enable the sales and purchase of their goods and services across international borders to expand their businesses. Furthermore, international retailing also supports countries in improving their economy, as the import and export of goods lead to augmented tax revenue, which, in turn, contributes to the growth of the market. Hence, such factors are driving the market growth during the forecast period.
A key factor shaping the market growth is the evolving role of social media in e-commerce. The number of social shoppers is increasing at a significant rate. In addition, since Facebook and Instagram Checkout included the Buy option, social media has been a major factor in the expansion of the e-commerce sector. Therefore, this is a great opportunity for brands to focus on improving their position on social media, which is a great platform for brands to be discovered.
Moreover, as consumers are spending more time on various social media platforms, e-commerce companies can benefit from the assistance of Instagram influencers to boost their chances of being found by their intended audience. In addition, companies may effortlessly connect their online storefronts with social media websites through retail e-commerce software systems like Shopify, enabling customers to make purchases from them directly through these channels. Hence, such factors are driving the market growth during the forecast period.
Threats from open-source software are one of the key challenges hindering the market growth. The availability of open-source retail e-commerce software can negatively impact the market. In addition, this type of software is becoming popular in developing economies, such as India and China, as it can be downloaded and run on all platforms.
Moreover, cloud-based retail e-commerce software is more affordable than on-premises. In addition, the use of open-source retail e-commerce software involves low upfront costs for enterprises and provides them with high flexibility. Therefore, small-sized and individual retailers prefer using open-source retail e-commerce software to manage and expand their businesses at a low cost. Hence, such factors are hindering the market growth during the forecast period.
The apparel and accessories segment is estimated to witness significant growth during the forecast period. The apparel and accessories segment is witnessing significant growth fuelled by the increasing popularity of online shopping and the changing consumer shopping behavior. In addition, this segment refers to the software solutions specifically designed for apparel and accessories retailers to facilitate their online operations, including inventory management, order processing, customer relationship management, and personalized marketing strategies.
Get a glance at the market contribution of various segments Download the PDF Sample
The apparel and accessories segment was the largest segment and was valued at USD 1.08 billion in 2018. Moreover, as the e-commerce industry continues to expand globally, apparel and accessories retailers are adopting these software solutions to enhance their online presence, streamline operations, and provide a seamless shopping experience to customers. In addition, one key example of a player in this segment is Shopify, a leading e-commerce platform that provides retailers with a comprehensive suite of tools and features to set up and manage their online stores. Furthermore, Shopify offers various templates and customization options, allowing apparel and accessories retailers to create visually appealing and user-friendly websites. Hence, such factors are fuelling the growth of this segment which in turn drives the market growth during the forecast period.
The advantages offered by the cloud-based segment are significant during the forecast period. The cloud-based segment is deployed on the web-based software-as-a-service (SaaS) model, which utilizes enterprises' cloud technology. In addition, the adoption of cloud-based solutions also eliminates the necessity of maintaining IT departments in-house. Therefore, cloud-based solutions are less expensive than on-premises solutions. Furthermore, these solutions are maintained at a remote data center and are accessed remotely by end-users on a subscription basis. Hence, such factors are fuelling the growth of this segment which in turn drives the market growth during the forecast period.
For more insights on the market share of various regions Download PDF Sample now!
APAC is estimated to contribute 39% to the growth of the global market during the forecast period. Technavio's analysts have provided extensive insight into the market forecast, detailing the regional trends and drivers influencing the market's trajectory throughout the forecast period. The market in APAC is still at the early adoption stage with a major contributor as China. In addition, considerable economic growth, Internet penetration in the region, and steady growth in manufacturing companies in the region are increasing the demand for retail e-commerce. Moreover, with the increase in demand for retail e-commerce, there will be a parallel demand for improved systems and processes for the efficient management of online retailers to decrease operational costs and improve functional efficiency. Therefore, end-users across different industries are increasingly deploying retail e-commerce software for improved management of online retail stores and inventory and increased competitiveness. Hence, such factors are driving the market growth in APAC during the forecast period.
The market forecasting report includes the adoption lifecycle of the market research and growth, covering from the innovator’s stage to the laggard’s stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their market growth and trends strategies.
Global Market Customer Landscape
Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.
Adobe Inc: The company offers retail e commerce software such as Adobe commerce a flexible and scalable commerce platform that for personalized B2B and B2C services.
BigCommerce Holdings Inc: The company offers retail e commerce software such as enterprise e commerce simplified with an open SaaS solution that combines the best of SaaS and API-enabled openness and flexibility, giving the enterprise integrations and tools you need to customize faster.
ClearCourse Partnership LLP: The company offers retail e commerce software such as Sellerdeck to scale online business with an integrated ecommerce solution for SRS and FRS.
The Market growth and forecasting report also includes detailed analyses of the competitive landscape of the market and information about 26 market companies, including:
Market analysis and report of qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.
The market research report forecasts market growth by revenue at global, regional & country levels and provides an analysis of the latest trends and growth opportunities from 2018 to 2028.
Retail E-Commerce Software Market Scope |
|
Report Coverage |
Details |
Page number |
150 |
Base year |
2023 |
Historic period |
2018-2022 |
Forecast period |
2024-2028 |
Growth momentum & CAGR |
Accelerate at a CAGR of 11.22% |
Market Growth 2024-2028 |
USD 4.17 billion |
Market structure |
Fragmented |
YoY growth 2023-2024(%) |
10.77 |
Regional analysis |
APAC, North America, Europe, South America, and the Middle East and Africa |
Performing market contribution |
APAC at 39% |
Key countries |
US, China, Japan, Germany, and UK |
Competitive landscape |
Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks |
Key companies profiled |
Adobe Inc., BigCommerce Holdings Inc., ClearCourse Partnership LLP, HCL Technologies Ltd., International Business Machines Corp., IPIX, Maplebear Inc., Optimizely Inc., Oracle Corp., Panasonic Holdings Corp., Pitney Bowes Inc., PrestaShop SA, Salesforce Inc., SAP SE, Shopify Inc., Solution Microsystems Pvt Ltd., Squarespace Inc., Wix.com Inc., Zoho Corp. Pvt. Ltd., cleverbridge AG, CloudCart AD, Mirakl, OpenCart, osCommerce, and Sitecore |
Market dynamics |
Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, Market condition analysis for the forecast period. |
Customization purview |
If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
We can help! Our analysts can customize this market research report to meet your requirements. Get in touch
1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by Application
7 Market Segmentation by Product
8 Customer Landscape
9 Drivers, Challenges, and Trends
10 Vendor Landscape
11 Vendor Analysis
12 Appendix
Get lifetime access to our
Technavio Insights
Cookie Policy
The Site uses cookies to record users' preferences in relation to the functionality of accessibility. We, our Affiliates, and our Vendors may store and access cookies on a device, and process personal data including unique identifiers sent by a device, to personalise content, tailor, and report on advertising and to analyse our traffic. By clicking “I’m fine with this”, you are allowing the use of these cookies. Please refer to the help guide of your browser for further information on cookies, including how to disable them. Review our Privacy & Cookie Notice.