France: The Evolution of E-Commerce

Even though the French are known for their traditional and sceptical attitude, research shows that the new ICT technologies in France are occupying a bigger space in the market by the minute.

According to the Fevad  (e-commerce and long-distance sales federation), France is ranked 6th country in the world in terms of billions of euros spent online, and 3rd in Europe, with 72 billion euros. From 2015 to 2016 online spending increased 14.6%, with an average of 33 purchases per second. The evolution of e-commerce is widely positive, especially in the tourism sector, as 77% of the sales are made through the internet.

L’Echo Touristique, a French newspaper specialized within Tourism, published an article regarding the evolution of digital strategy in the sector. In a research by Next Content, it shows that out of the 202 deciders asked, both from the public and private sector, 61% of them have registered online sales inferior or equal to 9 M€, and 10% of them 200 M€. The wide gap is clearly due to the difference of function within the Tourism sector – it considers everything from the tour operators to transporters and hosts.

The article also grabs our attention on the question of M-commerce, the greater use of mobile phones and tablets. Within the following years, there are four obstacles and concerns that will affect the deciders:
–          adaptation to new technologies
–          brutal increase of mobile use
–          the power of Google
–          the emergence of competitive new economic models.

Furthermore, M-commerce keeps growing at a fast rate. 39% of all online purchases and 20% of tourism related online reservations are made using smartphone or tablet. The arrival of AirBnB, Blablacar, GoEuro and other innovative travel solutions could be seen as threats to current deciders, even though it has been noticed that these do not affect the same segment in today’s market. These are to be considered a supplement rather than a competitor, in order to catch the opportunity and maximize the outcome of these fresh ideas.

Please contact us by email at paris@innovationnorway.no for more details about the article.

Photo by: Thomas Lefebvre, Unsplash.com

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