Retail E-Commerce Market worth $15.62 Trillion by 2032 - Exclusive Report by Coherent Market Insights
Burlingame, CA, June 12, 2025 (GLOBE NEWSWIRE) -- The Global Retail E-Commerce Market is estimated to be valued at USD 7.29 trillion in 2025 and is expected to reach USD 15.62 trillion by 2032, exhibiting a compound annual growth rate (CAGR) of 11.5% from 2025 to 2032. According to a new report by Coherent Market Insights. The retail e-commerce market has experienced strong growth in recent years, driven by the global rise in internet and smartphone usage. Increasingly, consumers are opting for online shopping over traditional in-store experiences. This shift was further accelerated by the COVID-19 pandemic, as lockdowns and movement restrictions made online retail the preferred and often only option for many shoppers.
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Global Retail E-Commerce Market Key Takeaways
According to Coherent Market Insights (CMI), the global retail e-commerce market size is anticipated to expand at a CAGR of 11.5% during the forecast period, reaching USD 7.29 Tn in 2025 to USD 15.62 Tn by 2032.
Global demand for retail e-commerce is projected to increase at a strong pace throughout the assessment period as consumer convenience takes center stage.
Based on product category, fashion (apparel and accessories) segment is expected to account for nearly one-third of the global retail e-commerce market share in 2025.
By sales channel, online marketplaces segment is projected to hold a market share of over 3/5 in 2025.
As per Coherent Market Insights' latest retail e-commerce market analysis, Asia Pacific is set to dominate the global industry, holding a market share of more than 2/5 in 2025.
The Middle East retail e-commerce market is expected to experience fastest growth during the projection period.
Rising Consumer Demand for Convenience Fueling Market Growth
Coherent Market Insights' latest retail e-commerce market report highlights major factors spurring the industry's growth. One such prominent growth driver is the growing consumer preference for convenient shopping experiences.
Modern consumers often favor the ease of online shopping over visiting brick-and-mortar stores. This trend is expected to propel demand for retail e-commerce throughout the assessment period.
Convenience remains a top reason consumers choose online shopping instead of going to physical stores. E-commerce platforms offer unparalleled convenience to customers by allowing them to shop 24/7 from the comfort of their homes.
Growing popularity of this on-the-go-shopping culture is expected to play a key role in boosting the e-commerce market growth. Similarly, broad accessibility to a wide range of products through online shopping platforms further encourages the adoption of retail e-commerce.
Data Privacy Concerns and Logistics Challenges Limiting Growth
The prospective retail e-commerce market outlook looks optimistic. However, concerns around data security and logistics challenges are expected to somewhat hinder market growth to some extent during the assessment period.
Many consumers are reluctant to shop online due to fear of identity theft, fraud, and rising incidence of data breaches. These concerns may lead to a reduced retail e-commerce market demand in the coming years. Increasing shipping costs and frequent delivery delays are also negatively impacting the target industry.
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Impact of AI on the Retail E-Commerce Market
Artificial intelligence (AI) has thrown a new life into the retail e-commerce industry by enabling smarter decision-making, boosting sales, and creating more seamless shopping experiences. It drives advancements in personalization, customer experience, and operational efficiency.
AI algorithms analyze huge consumer data to offer personalized product recommendations. They also optimize pricing as well as improve inventory management.
Chatbots and virtual assistants enhance customer support by providing instant responses. Meanwhile, AI-driven analytics help retailers to accurately predict trends and understand consumer behavior.
A notable recent example of AI transforming the retail e-commerce market is Amazon's integration of AI-driven robotics and automation across its fulfillment centers. Amazon has deployed over 750,000 to automate tasks like sorting, packing, and transporting goods.
The widespread adoption of robotics has significantly improved Amazon's operational efficiency and customer experience. It has also contributed to an increase in the company's retail operating profit margin.
Increasing Penetration of Smartphones and Internet Creating Growth Opportunities
Global access to high-speed internet and smartphones has been rising significantly, creating growth opportunities for retail e-commerce platforms. More consumers are coming online, especially in emerging markets, which is expanding the potential customer base for digital commerce.
According to the GSM Association (GSMA), over half of the global population (4.3 billion people) owned a smartphone in 2023. This number is projected to increase further in the coming years, enabling e-commerce adoption and opening revenue-generation streams for retail e-commerce companies.
Emerging Retail E-Commerce Market Trends
Growing popularity of mobile commerce (m-commerce), driven by widespread adoption of mobile devices and internet connectivity, is a key growth-shaping trend. Consumers are increasingly opting for m-commerce due to its advantages, such as convenience, accessibility, and a variety of digital payment options.
The ongoing personalization trend is having a profound impact on the retail e-commerce market value. Retailers are constantly using customer data to provide tailored product recommendations, customized offers, and individualized shopping journeys across all touchpoints.
Technological integration is also supporting expansion of the retail e-commerce industry. Leading e-commerce retailers are incorporating advanced analytics, artificial intelligence, and machine learning to understand consumer behaviors as well as deliver personalized experiences. Usage of AI chatbots to enhance customer service is gaining traction.
The rise of generative AI in online shopping is leading to more conversational search tools and AI-powered shopping agents. This makes e-commerce more interactive and intuitive. Growing adoption of these advanced technologies is expected to foster market growth.
Sustainability is also making waves in the retail e-commerce industry. It is prompting companies to use eco-friendly packaging, implement sustainable shipping, and ensure ethical and transparent supply channels.
Rental and subscription-based models are gradually reshaping the retail e-commerce industry by driving consumer engagement, sustainability, and recurring revenue. Growing popularity of these models will likely boost overall retail e-commerce sales growth during the assessment period.
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Analyst's View
said a senior analyst at CMI.
Current Events and Their Impact on the Retail E-Commerce Market
Event
Description and Impact
TikTok Shop Ban in the U.S. (2024)
Description: In April 2024, U.S. lawmakers passed a bill that could ban TikTok nationwide if ByteDance doesn't divest, putting the popular TikTok Shop at risk.
Impact: E-commerce businesses that rely on TikTok for DTC sales as well as influencer marketing are shifting focus to Instagram and YouTube Shopping.
AI Integration in Product Discovery (2024–2025)
Description: Top platforms like Amazon and Shopify have introduced AI-driven shopping assistants and search enhancements powered by large language models (LLMs).
Impact: These innovations are reducing friction in the buyer journey, thereby boosting conversion rates.
EU's Digital Markets Act (DMA) Enforcement (March 2024)
Description: The EU began enforcing the DMA to increase data sharing and transparency among big tech gatekeepers like Amazon and Google.
Impact: E-commerce sellers gain better customer data access and visibility, while stricter anti-competitive rules help smaller European brands.
Competitor Insights
Key companies listed in retail e-commerce market research report:
Alibaba Group Holding Limited
Amazon.com Inc.
eBay Inc.
Walmart Inc.
JD.com Inc.
Rakuten Group Inc.
Shopify Inc.
Zalando SE
Otto Group
Flipkart Pvt. Ltd.
ASOS plc
The Home Depot Inc.
MercadoLibre Inc.
Best Buy Co. Inc.
Target Corporation
Key Developments
In February 2025, Otto Group unveiled several new use cases for generative artificial intelligence (AI) in e-commerce. These initiatives aim to enhance customer experiences, streamline processes, and bolster long-term competitiveness across various Otto Group subsidiaries.
In February 2024, Seagate Technology plc launched a new E-commerce website in the United States. The new website is intended to provide consumers with a seamless and personalized shopping experience.
In November 2024, Amazon.com launched Amazon Haul, a new low-cost ecommerce service for some customers in the U.S. The new service will give customers a selection of products at US$ 20 or less.
Related Reports:
Online Fashion Retail Market Size, Share & Trend Analysis Report (2025-2032)
Online Retail Market Analysis and Forecast (2025-2032)
Artificial Intelligence In Retail Market Size, Share & Trend Analysis Report (2025-2032)
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