Reveal the Turkish e-commerce market

Turkey, a country spanning Eurasia, has a unique geographical environment that makes it a “crossroads” connecting Europe and Asia.

Turkey is not only a symbol of romance, with the “One Belt, One Road” initiative, in recent years Turkey has also become a cross-border e-commerce practitioners in the eyes of the “fragrant potato”, e-commerce scale is on the rise.

Internet penetration in Turkey is growing faster and smartphone penetration is higher than the global average.

Previously, e-commerce giant Amazon Turkey station has been officially launched on September 19, 2018, becoming the 14th global market of Amazon and the first non-eu market of Amazon in Europe.

In recent years, Turkey’s e-commerce industry has been showing an upward trend. After 2018 years of success, the industry is now making every effort to meet this year’s new achievements.

Turkey emerging e-commerce market observation

  1. Population base

According to the population data of the United Nations WPP, there are currently more than 82.96 million people in Turkey, of whom the male population accounts for about 49.1% per cent of the population and the female population as 50.9% per cent; The population continues to grow at a steady rate of nearly 3,600 newborns per day, compared with the very low mortality rate, Only 1224 people die every day; This means that Turkey’s net population is relatively stable, with a population growth rate of around 1.29% per cent a year, ranking 17th in the world.

Turkey’s population is quite young: nearly 27% of the age is between 0-14 and 67%, compared with 15-64 years of age, and only about 6% are over 64 years old; The median age of the population is 30.9 years, and life expectancy in 2018 is 75 years.

Development scale of e-commerce market

Turkey is one of the world’s most important e-commerce centers, with more than 46 million Internet users and an internet penetration rate of about 60%.

According to Statista data, the Turkish e-commerce market will reach $5.9 billion in 2018 and is expected to grow at an annual rate of 3.1% over the next 5 years, with the Turkish e-commerce market reaching $6.726 billion by 2022.

It is understood that in the Turkish e-commerce market, the current demand for greater market segments are electronic and media products. According to relevant data, the market size of the above categories alone is expected to reach $2.26 billion in 2018. The market for furniture and home furnishings is expected to top $1.18 billion.

In recent years, the outbreak of e-commerce users in Turkey, the current number of e-commerce users is about 1/3 of the number of Internet users, Turkey e-business users about 18 million, accounting for more than 20% of Turkey’s total population.

Such a high degree of network growth, to cross-border e-commerce to open up the Turkish market provides a very good online user base.

  1. Mobile Social favorite Facebook

Turks from Turkey’s four leading social platforms, YouTube, Facebook, Instagram and twitter,52%, are monthly mobile social networking users. Among them, the most popular social platform is Facebook.

  1. Mobile payment

According to the 2019 US Business Information Report, the compound annual 19.6% growth rate of retail shopping through mobile phones in Turkey is expected to reach $93.4 billion by 2025, with mobile wallet payments in retail growing at a compound annual growth rate of 19.1% per cent over 2018-2025 years.

With regard to online payments, Turkish credit card payments account for up to 90% per cent and are the most commonly used payment method for Turkish e-commerce users, while cash on delivery and E-vouchers are also one of the more common ways for Internet users in Turkey, with about 5% users using cash on delivery and E-vouchers for online shopping.

These figures suggest that turks are far from conservative when it comes to spending, and are not constrained when it comes to spending.

Third-party payments, such as e-wallets, began to rise in Turkey in 2013, but are not currently in the mainstream. In 2015, Turkey required third parties to pay a locally registered company in Turkey and obtain a corresponding payment licence, and Paypal withdrew from the Turkish market in the same year.