The Turkish e-commerce market witnessed a surge in 2023, with online transactions surpassing those of the previous year by more than a factor of two. This positive trend is anticipated to carry over into 2024.
While rising inflation, currently at 75%, is a contributing factor, there’s also a substantial underlying organic growth. In 2023, the total value of e-commerce transactions reached 1.85 trillion Turkish lira, which translates to roughly 53 billion euros based on current exchange rates.
Product sales and service purchases on online platforms contributed equally to the overall market value. The massive increase in e-commerce spending, measured in Turkish lira, is impressive. However, due to inflation, this metric doesn’t fully capture the sector’s true impact on the Turkish economy.
Online Spending Doubles in Four Years
Transaction volume paints a vivid picture of Turkey’s thriving e-commerce sector. According to E-commerce News (2024), the number of online transactions in Turkey surged by an impressive 22.3% in the past year, reaching a staggering 5.87 billion units. This growth significantly outpaces the stagnant or minimal increases observed in online spending across the five largest Western European countries during 2023 according to Forester.
Turkey’s online market flourishes. The share of online spending in total consumer spending has doubled in just four years. E-commerce news reports that the online turnover share climbed from 10.1% of consumer spending in 2019 to a significant 20.3% by the end of last year. While the COVID-19 pandemic undoubtedly played a role in accelerating e-commerce adoption in Turkey, it’s noteworthy that this growth has continued even after the pandemic subsided, highlighting the ongoing resilience and strength of Turkey’s digital retail sector.
Continued Growth
Turkish e-commerce is forecasted to have a strong growth in online spending by 2024. The Ministry of Commerce anticipates an impressive 84% increase, fueled by a projected 6.67 billion transactions, representing a 13% year-over-year rise. Notably, this optimistic forecast even surpasses the average growth predictions for Europe from industry leaders like Forrester and GlobalData.
This anticipated surge reflects the undeniable vitality of Turkey’s e-commerce ecosystem. Over 559,412 companies are currently registered to sell online, demonstrating a robust and expanding pool of online retailers. The most popular product categories among Turkish consumers continue to be household appliances. Closely followed by electronics and clothing, footwear, and accessories.
To Sum Up
Despite Turkey’s e-commerce sector flourishing with impressive growth and a vast array of products, a key area for improvement remains delivery speed. Turkish customers currently face an average waiting time of 46.2 hours for their orders. This delay could potentially discourage some shoppers who are accustomed to the swifter delivery options available in other markets. Optimizing logistics and fulfillment processes could be a crucial strategy for Turkish e-commerce. Companies need to elevate customer satisfaction which will propel industry growth even more.
Vaiva Zdanoviciute
Vaiva contributes significantly to Icecat Commerce's marketing department, focusing on creating and executing innovative strategies to boost brand visibility and engage customers effectively.
