Home IT News Amazon Is Not The E-commerce Giant That Many Consider In France

Amazon Is Not The E-commerce Giant That Many Consider In France

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Description of Amazon Is Not The E-commerce Giant That Many Consider In France

Last year, sales in France by the e-commerce giant increased. But in comparison with the growth of e-commerce in France in 2020, Amazon's figures should be put into perspective.
Sales on the French site of the e-commerce giant increased by 7% in 2020with a turnover of 8.3 billion euros, according to Kantar. But in detail, this growth is low compared with the total growth of the e-commerce market in France.
"The growth in French spending at Amazon was very positive in 2020 but slower however than the growth in total online spending," says Kantar.
According to Kantar, and this is very logical, it is the health crisis that has jumped online sales by 24% last year, with a turnover of 43 billion euros.

The rise of e-commerce

However, it should be noted that, unlike the federation of e-commerce (Fevad), which includes in the e-commerce market all service activity, such as travel, transport or hotels, Kantar thus records “all physical goods purchased on the internet ”from France.
French e-commerce turnover reached 112 billion euros in 2020, up 8.5% compared to 2019, according to Fevad. An increase however much lower than that of 2019, which exceeded the 10% mark.
For Kantar, Amazon's market share fell from 22% in 2019 to 19% last year. And the rise of e-commerce for food reinforces this trend. Including supermarkets, Amazon's market share is 16%, compared to 19% in 2019, a trend that is strengthening. Auchan is therefore banking on the pedestrian drive in 2021, to conquer city centers.

Amazon prevented in France

Still, Amazon is still the undisputed leader in e-commerce in France. Discount, the second, is far behind. It should also be noted that Amazon was somewhat prevented in 2020. The closure of Amazon's French warehouses during the first confinement, following a court decision, may have played a role. Amazon was able to deliver to the French from neighboring countries, but its ability to meet demand was limited.
The anti-Amazon rhetoric, which intensified in November when “non-essential” stores were closed, contributed one point to this decline in Amazon's market share, Kantar also believes.
In the end, Amazon's decline is mainly due to the rise of other sales players in the digital world. Many physical stores switched their activity to the internet during the second confinement, under the "click & collect" mode.