The Romanian e-commerce market registered an upward trend in the first quarter of 2023, with the total value of orders being over 180 million euros, despite high inflation, according to an analysis by Limitless Agency, one of the largest digital marketing agencies in Romania. In Q1, the largest order placed online was a TV worth more than 148,000 euros.
According to the analysis based on data from approximately 400 online stores, the average value of the order was 1,060 lei (214.6 euros) in the period January-March 2023. At the same time, 1,701,397 transactions were registered, over 80 million users, and more than 99 million sessions in the online stores of the agency’s portfolio.
The most ordered products are from the following categories: phones/tablets, TV / audio-video, household appliances, laptops/desktops, sports shoes, women’s shoes, boots, ankle boots, watches, jewellery, and sunglasses or eyeglasses and contact lenses. The most expensive product ordered online is a TV, from the smart TV category, worth 729,999.90 lei (over 148,000 euros), purchased in January 2023.
“The beginning of the year indicates that the e-commerce market continues to grow organically, with more and more Romanians preferring to purchase products or services online. Moreover, consumer confidence in e-commerce platforms is increasing, with large purchases of thousands or hundreds of thousands of lei taking place. We will also see an increase in the number of online stores, given the growing preference of Romanians to order products online to benefit from the advantages offered by this channel”, declares Daniel Slăvenie, CEO & Partner of Limitless Agency.
In the context of increased competition in e-commerce, an increase in demand for digital marketing services is felt, with the online marketing market making a spectacular comeback at the beginning of 2023. In addition, Limitless Agency recorded an almost 100% increase in demand for promotion services PPC and SEO at the beginning of 2023 compared to the first quarter of last year and estimates a 30% increase in turnover to 4.2 million euros by the end of the year.
Online retailers allocate monthly budgets between 1,000 euros and 200,000 euros for promotion services through PPC campaigns (Google Shopping Ads, Facebook Ads) and SEO campaigns, aiming to increase the number of customers, increase sales and average order value, but also increase the visibility of the brand.
For 2023, the representatives of Limitless Agency estimate a growth of around 15% for the e-commerce market, pointing out that there is room for double growth in the field.
“Given that currently only 45% of Romanians with Internet access order online, the potential of Romanian e-commerce is infinite, the market growing organically from year to year. In fact, every year we see an increasing number of Romanians ordering online, with peaks recorded during the holidays. For example, on Easter, Romanian consumers spent almost 40% more online compared to a normal day, the average value of the order being 370 lei, an increase of 27% compared to last year. More precisely, it has already become a habit for Romanians to order more and more often online, especially during the holidays, to avoid the crowds in the stores and to benefit from free returns. And this trend is more and more present day by day, including for food, not only for products that are not needed immediately”, explains Daniel Slăvenie, CEO&Partner Limitless Agency.
Marketing costs will also increase given the growing online competition, with Limitless Agency representatives recommending online stores to retain existing customers to optimize costs and increase sales.