Luxembourg E-commerce Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2019 - 2022 |
| CAGR | 8.90 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Luxembourg E-commerce Market Analysis
During the time frame of the forecast, it is expected that the Luxembourg E-Commerce Market will register a CAGR of 8.9%.
- Because of where Luxembourg is located, its e-commerce market can take advantage of its closeness to important e-commerce markets in Europe, such as Germany. Because of its location, it is easier for new international merchants to enter the e-commerce market in Luxembourg through cross-border e-commerce.
- The e-commerce market in Luxembourg is expected to grow because banking is easy and there are a lot of people with internet access and smartphones. This makes it easy for people to look for what they want and buy it online. According to the European Economic Forecast, the GDP in Luxembourg will slow down to 1.7% in 2023 before returning to 2.4% in 2024.
- According to a report by Datareportal, the internet penetration reached 98.7%, with 642.8 thousand internet users in Luxembourg at the start of 2023. About 868.8 thousand mobile connections were active in Luxembourg in early 2023. These online shoppers will boost the e-commerce market.
- The European E-commerce Report 2022 confirms 80% of Luxembourgers' shops are online.
- To lessen the effects of rising inflation, the government of Luxembourg decided to temporarily lower VAT rates through 2023.These changes will allow buyers to shop more and increase revenues for e-commerce players.
- During the COVID-19 pandemic, there was a sudden rise in e-commerce in the country because businesses had to use online retail to serve their customers. The scope of e-commerce expanded with new firms and consumer segments.
Luxembourg E-commerce Market Trends
This section covers the major market trends shaping the Luxembourg Ecommerce Market according to our research experts:
Increased adoption of Digital Solutions
- As Luxembourg moves towards digitalization, e-commerce will see a broader scope of expansion in the coming years. According to Eurostat, internet access was at 97.64 percent in December 2022. In a study covering 220 countries for the world's fastest internet, Luxembourg was found at 8th place, leaving France behind at 10th and Germany at 33rd.
- Launching new programs like the GovTech Lab, an initiative of the government, or the research project at the Luxembourg Institute of Science and Technology aimed at building a digital twin of the entire nation depends on Luxembourg's desire to be at the forefront of innovation. MeluXine, a business-focused high performance computer (HPC) from Luxembourg, is ranked 36th globally and 10th in Europe in terms of overall power. Its distinctive modular architecture was created to accommodate the different processing needs of businesses.
- The Luxembourg government wants to be one of the leaders in 5G so that its people can get the most out of the latest technology to improve their quality of life and help the economy.The country's new national broadband strategy emphasizes securing private investments for gigabit objectives for 2025 in the country.
- The Luxembourg government assisted in the establishment of the Luxembourg House of Financial Technology (LHoFT), a not-for-profit partnership between the public and private sectors, as part of a larger effort to increase the country's share of the worldwide fintech industry. The LHoFT offers a method for individuals in the financial sector to identify emerging technology, businesses, and solutions.
Fashion Segment Accounts for Significant Share
- With digitalization, the Luxembourg fashion and footwear industry is catching up with demand. The Ministry for Consumer Protection has most recently supported the development of a study by Caritas on textile flows in Luxembourg.The study revealed that 12,26 kg of clothing and textiles are thrown away per person per year in the country, and this is because people are becoming more aware of the quality of the products they buy.
- Fairtrade, an NGO in Luxembourg, organized a fast-fashion escape game to reach new target audiences. It promotes the sustainable development of the textile industry. FairFashion Lab sells clothes made from Fairtrade organic cotton. Fairtrade cotton is more than 70% organic and uses between 50% and 90% less water.
- In July 2022, OCSiAl and CoatYarn will have created smart textile technology using graphene nanotubes. Electroconductive textile gloves that can be utilized by loading machine operators on touch screens are one of the end uses for this technology. Several electrostatically delicate industries, including healthcare, mining, and oil and gas, can significantly benefit from this approach.
Luxembourg E-commerce Industry Overview
The level of skill on Luxembourg's e-commerce market is about average because there are only a few big players.There are more and more local and international brands in the e-commerce market, which will soon make the market more competitive.The fashion industry is driving the e-commerce market. According to a report released by ecommerceDB, the fashion industry accounts for 38.3% of Luxembourg's eCommerce revenue.
In February 2022, the Luxembourgian government will take steps to modernize business models and digitize the financial industry. The Ministry of Finance and SnT inked the Finnovation Hub agreement to define the issues and execute digital techniques for the transformation of financial institutions.
In June 2022, DCC and Implico bought 19 retail forecourts in Luxembourg and upgraded them with new software. Besides Luxembourg, Implico supports more than 1,000 retail forecourts across Central and Northern Europe with efficient and sustainable management.
Luxembourg E-commerce Market Leaders
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Wehkamp BV
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Luxcaddy
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Next Germany GmbH
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Auchan Retail
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Zalando SE
*Disclaimer: Major Players sorted in no particular order
Luxembourg E-commerce Market News
- June 2022: To promote its online sales, Orange, the telecommunications retailer, introduced a click-to-call service on its website. Through this service, the brand's telesales team will arrange a callback to answer customer queries and manage orders.
- November 2022: EY and Shopify announced a partnership to promote the online business and increase the sale of potential products. EY will assist Shopify in resource planning, CRM (customer relationship management), and inventory management.
Luxembourg E-commerce Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Study Assumptions and Market Definitions
- 1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
- 4.1 Market Overview
-
4.2 Industry Attractiveness-Porter's Five Forces Analysis
- 4.2.1 Bargaining Power of Suppliers
- 4.2.2 Bargaining Power of Buyers
- 4.2.3 Threat of New Entrants
- 4.2.4 Threat of Substitute Products
- 4.2.5 Intensity of Competitive Rivalry
- 4.3 Key market trends and share of e-commerce of total Retail sector
- 4.4 Impact of COVID-19 on the e-commerce sales
5. MARKET DYNAMICS
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5.1 Market Drivers
- 5.1.1 Increased adoption of Digital Solutions
- 5.1.2 Range of payments to serve diverse and underbanked shoppers
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5.2 Market Challenges
- 5.2.1 Legal barriers for adoption of e-commerce
- 5.3 Analysis of key demographic trends and patterns related to ecommerce industry in Country XX (Coverage to include Population, Internet Penetration, ecommerce Penetration, Age & Income etc.)
- 5.4 Analysis of the key modes of transaction in the ecommerce industry in the country (coverage to include prevalent modes of payment such as cash, card, bank transfer, wallets, etc.)
- 5.5 Analysis of cross-border ecommerce industry in the country (Current market value of cross-border & key trends)
6. MARKET SEGMENTATION
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6.1 By B2C ecommerce
- 6.1.1 Market size (GMV) for the period of 2017-2027
- 6.1.2 Market Segmentation - by Application
- 6.1.2.1 Beauty & Personal Care
- 6.1.2.2 Consumer Electronics
- 6.1.2.3 Fashion & Apparel
- 6.1.2.4 Food & Beverage
- 6.1.2.5 Furniture & Home
- 6.1.2.6 Others (Toys, DIY, Media, etc.)
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6.2 By B2B ecommerce
- 6.2.1 Market size for the period of 2017-2027
7. COMPETITIVE LANDSCAPE
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7.1 Company Profiles
- 7.1.1 Wehkamp BV
- 7.1.2 Zalando SE
- 7.1.3 Auchan Retail
- 7.1.4 Luxcaddy
- 7.1.5 Next Germany GMBH
- 7.1.6 Amazon.com, Inc.
- 7.1.7 Alibaba Group
- 7.1.8 Hornbach Baumarkt AG
- 7.1.9 FNAC GROUP
- 7.1.10 Veepee
- *List Not Exhaustive
8. Investment Analysis
9. Future Outlook of the Market
** Subject To AvailablityLuxembourg E-commerce Industry Segmentation
E-commerce is the buying and selling of goods using a digital environment like the internet. E-commerce consists of B2B and B2C transactions and internal organizational transactions that support these activities. E-commerce has helped businesses expand into broader markets by providing cheaper and more efficient distribution channels for their products or services.
The Luxembourg e-commerce market is segmented into B2C eCommerce (Beauty and Personal Care, Consumer Electronics, Fashion and Apparel, Food and Beverage, Furniture, and Home) and B2B eCommerce.
The market sizes and forecasts are provided in terms of value (USD million) for all the above segments.
| By B2C ecommerce | Market size (GMV) for the period of 2017-2027 | |
| Market Segmentation - by Application | Beauty & Personal Care | |
| Consumer Electronics | ||
| Fashion & Apparel | ||
| Food & Beverage | ||
| Furniture & Home | ||
| Others (Toys, DIY, Media, etc.) | ||
| By B2B ecommerce | Market size for the period of 2017-2027 |
Luxembourg E-commerce Market Research FAQs
What is the current Luxembourg E-Commerce Market size?
The Luxembourg E-Commerce Market is projected to register a CAGR of 8.90% during the forecast period (2024-2029)
Who are the key players in Luxembourg E-Commerce Market?
Wehkamp BV, Luxcaddy, Next Germany GmbH, Auchan Retail and Zalando SE are the major companies operating in the Luxembourg E-Commerce Market.
What years does this Luxembourg E-Commerce Market cover?
The report covers the Luxembourg E-Commerce Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Luxembourg E-Commerce Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
E-commerce Software in Luxembourg Industry Report
Statistics for the 2024 E-commerce Software in Luxembourg market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. E-commerce Software in Luxembourg analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
