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Mobile Internet Subscriptions Grew Sixfold in Emerging Markets in the Last Five Years
SANTIAGO – Global market research company Euromonitor International released today a new white paper: “Strategies for Expanding into Emerging Markets with E-commerce,” highlighting key strategic considerations for assessing and expanding into emerging countries through internet retailing.
According to the white paper, the number of mobile internet subscriptions grew in emerging countries over the last years, increasing from 299 million in 2010 to two billion in 2015. China represents the biggest market with 660 million subscribers, while Brazil, Indonesia and Russia collectively represent a total market of over 397 million in 2015.
Euromonitor International projects the percentage of the population with internet access in emerging and developing countries will increase from 34 percent in 2015 to 50 percent in 2025. “Understanding how consumers access the internet is crucial for developing an e-commerce strategy. Retailers must address the preferences of consumers in their target market, including optimizing for the devices most used by consumers and offering appropriate payment options,” states senior research analyst Amanda Bourlier.
Despite accelerated mobile internet subscriptions, internet penetration rates vary significantly across emerging markets. In 2015, the United Arab Emirates had the highest number of people using the internet at 92 percent of the population, while the internet usage rate remained below 50 percent in Mexico, Ukraine, Peru, the Philippines and Vietnam. Chile, Russia and Argentina saw the fastest increase from 2010 to 2015, from an average of 40 percent of the population using the internet to 70 percent in 2015.
“In places where this growth has taken place rapidly, the idea of shopping online is not yet intuitive for consumers and may present different perceived ‘risks’,” states senior international business development executive Gustavo Gomez. “Retailers in these markets need to build trust with consumers to make them feel comfortable shopping online.”
Other strategic considerations highlighted in the white paper include: understanding payment preferences, adapting to the logistics environment and assessing the strategic status quo. To download your free copy, visit: http://go.euromonitor.com/white-paper-retailing-2016-Ecommerce-Emerging-Markets-EN.html.
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