The eCommerce market is always changing – and Ireland is no exception. Whether you sell products like phones and computers or fast-moving consumer goods like beauty products, it helps to be up to date with your particular market and how online shopping is changing as a whole. In this article, we’ll run through some important trends and statistics about online sales in Ireland in 2024.
Projected market volume
First things first, the eCommerce market is growing in Ireland – reflecting the trend for global eCommerce sales. Revenue is expected to exceed €5 billion in 2024.
Beyond that, Ireland has an expected annual growth rate of around 10%, making the projected market volume over €8 billion by 2029. This volume will come from around 3.3 million users.
Already, user penetration has exceeded 50%, meaning just over half of customers in Ireland have begun shopping online. On average, just under €2,000 is generated from each consumer. However, 81% of purchases online are under €100 in value.
Online sales are growing for Irish businesses
It’s not just the overall market that’s on the up due to inflation. The proportion of overall sales taking place online is increasing. The current online share is 17.2%, which is expected to increase to 23.8% by 2028. That’s almost one in five sales already being made online in 2024.
With that in mind, it’s no surprise to see lots of businesses going online. More than a third (36%) of Irish businesses had eCommerce sales in 2023. More specifically, that breaks down as:
- 51% for large businesses
- 47% for medium businesses
- 33% for small businesses
As you can see, the figures are significantly lower for small businesses, skewing the overall average. This may be due to the perceived challenges of moving online for smaller brands.
While large businesses have the capital to invest in warehouse space and additional staff to cope with the additional demand of online stores, smaller companies could be put off by those requirements. However, fulfillment partners like Autofulfil can level the playing field, giving ambitious brands the resources they need without the commitment and up-front investment.
How Ireland compares to global eCommerce sales
To put things in context, it’s worth comparing Ireland to other players in the global economy. For example, eCommerce Europe provides figures for internet penetration and turnover growth in their 2023 European eCommerce Report.
They report that 96% of people in Ireland are internet users and 89% of that proportion shop online. That’s higher than the average for the rest of Europe, where 76% of internet users are ‘e-shoppers’.
Within the report, DBI founder Lorraine Higgins also explains that the Digital Connectivity Strategy came into place in 2022. This legislates that all households and businesses must be covered by a Gigabit network by 2028 – which could further increase the number of internet users and e-shoppers.
Online shopping trends
Digging a little deeper, there are some specific trends to look out for in the Irish eCommerce market. For example, the top categories for online retailers are:
- Clothing and footwear
- Beauty
- Books and media
Products aside, another area of growth is online subscriptions. According to recent figures, one in four Irish consumers has an ongoing subscription. That increases to almost half of consumers amongst the younger demographic. Take a look at our subscription box checklist if this is a market you want to penetrate.
That’s not all. The online platforms people use are changing, too. Long gone are the days when it was just websites on browsers. Today, 41% of sales come through an app, and 38% are through apps or social media. This reflects the growing popularity of smartphone usage, demonstrating the importance of businesses catering to the mobile commerce market.
What drives sales through digital channels?
It’s also worth noting why people use online marketplaces when shopping for physical goods. According to a recent survey, convenience is the most important factor. This was listed by almost three-quarters (72%) of respondents, alongside saving time (64%) and saving money with more competitive pricing (52%).
Companies can still improve their digital services, though. 58% said they would make more purchases online if delivery dates were guaranteed. Fast delivery was also cited as the main reason for shopping on Irish websites by almost half of consumers.
Peak shopping periods
No summary of the eCommerce market would be complete without mentioning peak shopping periods. The most recent data shows that October to December is the busiest period for eCommerce brands.
It’s not hard to see why. More than eight in 10 customers shop for Christmas gifts from Irish websites. The most popular categories at this time of the year are gift vouchers and toys, bought by 93% and 90% of customers, respectively. In fact, during Black Friday and Christmas, the sale of toys increased by 38% compared to the rest of the year. Similar spikes were seen for jewellery (24%) and consumer electronics (36%).
What drove Irish customers to make a purchase? Over half (56%) placed an order during Black Friday or the festive period due to an online offer or discount code. But that’s not all. 52% said they prefer to support Irish businesses, specifically during the Black Friday and Christmas sales period.
How a fulfillment partner can help in Ireland
The market for eCommerce in Ireland provides an opportunity for significant growth. Online retailers must get their products out there with a competitive service that meets customers’ expectations.
An Irish fulfillment centre like Autofulfil can make that happen in a number of ways:
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Integration with multiple shopping channels
Whether you’re selling through social media or your eCommerce website, orders will come straight through to us, so you don’t need to lift a finger.
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Faster domestic delivery
Meet customer demand for quick delivery, with orders fulfilled on the same day and sent out by experienced, reliable couriers.
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Experience in different sectors
We have experience in the most popular sectors like beauty, fashion, media, toys, and electronics.
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Subscription services
Let us fulfill subscription boxes to expand your services, target even more customers, and enjoy easy, ongoing revenue.
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Circumnavigating Brexit
Based in the UK? We can help you get around Brexit customs issues when selling to Irish customers.
Let’s talk about your Irish eCommerce strategy
If all of the benefits above sound good, simply get in touch with us to request a quote.