Digital Bosphorus - The State of Turkish eCommerce 2013 - Sina Afra

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The Turkish internet is one of the fastest growing and most competitive eCommerce markets of the world. There are four driving forces behind the growth. This is an update of all relevant statistics about the Turkish eCommerce market with an outlook for 2016.

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Digital Bosphorus - The State of Turkish eCommerce 2013 - Sina Afra

  1. 1. «Digital Bosphorus»The State of Turkish eCommerce 2013 Sina Afra
  2. 2. Turkey continues to be an attractive market for eCommerce Market Size 36 M Internet Penetration Internet Users Quality Ranked #9 47% - Ranked #11 Market Attractiveness 10 M Online Shoppers (I) (II) (III) (IV)Driving Credit Card Excellent High Mobile Viral ParadiseForces El Dorado Logistics Internet Usage #2 in Europe Next day 62% YOY Growth Ave age 28, in credit card delivery is in 3G Subs Top-10 in Social penetration standard Networks Turkey is more Turkey is more Turkey is more Turkey is more US than EU EU than US Korea than EU Japan than EU CAGR: 35.5% since 2008 & Forecasted to be 16.8% until 2016 Source: Euromonitor, http://internetworldstats.com, Internation Telecommunication Union, Planet Retail, World Bank, World Economic Forum; A.T. Kearney analysis, Euromonitor, http://www.bkm.com.tr, http://www.slideshare.net/kleinerperkins/kpcb-internet-trends-2012 2
  3. 3. Internet Penetration:With 36M, Turkey is in the Top 20 for Number of Internet Users... ... and ranks #11 in Internet Penetration Source: http://internetworldstats.com/ 3
  4. 4. Market Attractiveness:Turkey is ranked #9 in A.T. Kearney’s 2012 E-Commerce Index 0 = low 0 = poor 0 = no digital 0 = undeveloped attractiveness infrastructure laws retail market 100 = high 100 = developed 100 = strong 100 = developed attractiveness infrastructure digital laws retail market Source: Euromonitor, Internation Telecommunication Union, Planet Retail, World Bank, World Economic Forum; A.T. Kearney analysis 4
  5. 5. Driving Forces I:Credit Cards and POS Terminals are Everywhere Source ECB, BKM Online Strategy & Economic Analysis Unit - (Turkey), Finarket.ru – (Russia), IFC Mobile Money Scobing - Country Report 2011: Brazil, Reserve Bank of India, http://www.gaoresearch.com/POS/pos.php, http://www.census.gov/compendia/statab/2012/tables/12s1187.pdf 5
  6. 6. Driving Forces II:Turkey has an Excellent B2C Logistics Infrastructure Source: http://www.utikad.org.tr/haberler/?id=8473 6
  7. 7. Driving Forces III:Turkey is ready for the Mobile Revolution in 2013 * Represents ten European countries ***88% mobile penetration – 66M users **37 M useres own 3G capable devices Steve Wozniak: Turkcell 3G is faster than 4G networks in US Source : Turkcell; http://www.gencbusiness.com/gbp-haberleri/2046_cepten-internete-girenlerin-say%C4%B1s%C4%B1-artarken.html;Sureyya Ciliv --- http://www.dld-conference.com/news/dld-events-related/dld-bosporus-one-night-in-istanbul_aid_3380.html;http://en.teknoblog.com/communication/steve- 7 wozniak-turkcell-3g-is-faster than-4g-networks-in-us.html;http://www.slideshare.net/kleinerperkins/kpcb-internet-trends-2012
  8. 8. In Turkey, banks are leading the way, and there is much potential for the rest… Source: Evolution of M-Commerce – Fatih Isbecer, http://mobilike.com/wp-content/uploads/downloads/2012/11/madreport_Q3_2012.pdf 8
  9. 9. Driving Forces IV:Turkish Internet Users Love Social Media Turkey ranks 7th for Facebook users Turkey ranks 11th for Twitter users Source: http://semiocast.com/publications/2012_01_31_Brazil_becomes_2nd_country_on_Twitter_superseds_Japan, Socialbakers, http://www.appappeal.com/maps/facebook 9
  10. 10. Driving Forces IV:Turkish Internet Users Love Social Media Turkey ranks 14th for YouTube users Turkey ranks 20th for Pinterest users Source: Pinterest http://www.appappeal.com/maps/pinterest, http://www.appappeal.com/maps/youtube 10
  11. 11. Growth:Turkish eCommerce has Enormous Potential If TR were to reach Turkey Now Turkey F2016 EU averages Internet 36 M 48 M 42 M Penetration 47 % 63.5 % 53 % E-commerce 10 M 31 M 16 M Users 28 % 87 % 36 % Online Spending 182 EUR 567 EUR 209 EUR per Internet User Source: http://www.itu.int/ITU-D/ict/newslog/CategoryView,category,e-shopping.aspx, http://mashable.com/2011/02/28/forrester-online-sales-europe, http://www.tuik.gov.tr, http://www.iabeurope.eu/news/4269m-europeans-online-across-28-markets-%E2%80%A6-from-belgium-to-bulgaria-uk-to-ukraine--- 11 europeans-are-more-connected-than-ever before.aspx; http://internetworldstats.com,
  12. 12. Turkey’s Online Retail Growth is 2x the Global Average with 35.5% CAGR Turkey’s Online Retailing is forecasted to grow by 16.8% annually until 2016. Source: BKM; http://blog.euromonitor.com/2012/08/turkeys-e-commerce-sector-boosted-by-economic-growth-and-young-populace.html 12
  13. 13. B2C Online Spending was 15 Bn TL in 2012 Soucre: BKM 13
  14. 14. Share of Online Retail to Total Retail by Country 1,200Source(s)Turkey http://www.deloitte.com/assets/Dcom-Turkey/Local%20Assets/Documents/turkey_tr_cb_retailsectorupdate_040612.pdf, http://blog.euromonitor.com/2012/08/turkeys-e-commerce-sector-boosted-by-economic-growth-and-young-populace.htmlUSA http://mashable.com/2012/02/27/ecommerce-327-billion-2016-study/UK http://www.ons.gov.uk/ons/datasets-and tables/index.html?pageSize=50&sortBy=none&sortDirection=none&newquery=retail&content-type=Reference+table&content-type=Dataset; http://www.bis.gov.uk/policies/business-sectors/retail,http://www.sas.com/offices/europe/uk/downloads/press/sas-verdict-retail2012.pdf, 1 http://www.retailresearch.org/onlineretailing.phpRussia http://www.slideshare.net/YandexBusDev/ecommerce-jan2013Brazil http://www.thomaswhite.com/explore-the-world/bric-spotlight/brazil-retail.aspx,http://blog.shop.org/2012/01/16/brazil-and-china-emerging-online-retail-powerhouses/India http://www.business-standard.com/india/news/indian-retail-sector-outlook-in-2012-stable-fitch/155599/on, http://gain.fas.usda.gov/Recent%20GAIN%20Publications/Indias%20Food%20Retail%20Sector%20Growing_New%20Delhi_India_4-24-2012.pdf,Forrester ResearchOnline Retail Forecast, 2011 to 2016 (Asia Pacific) 14
  15. 15. Most Visited Websites in Turkey – Domains & eCommerce Source: comScore 09/01/2013 – Avg. Unique Visitors Sep’12 – Nov’12 15
  16. 16. Interesting Facts about Turkey’s Shopper Profile - I 40% 50% of shoppers prefer of shoppers aggressively luxury items bargain when they shop This ratio decreases with 42% of shoppers like social status to try new brands and shop for new items 40% 44% 30% of shoppers are willing to pay a premium for of shoppers look for items of shoppers go for the 31% of shoppers consider their favorite on sale. cheapest item fashionability of an item brands. as a major criterion in their purchase decision. Source: 2012, İpsos KMG-Türkiye’yi Anlama Kılavuzu 16
  17. 17. Interesting Facts about Turkey’s Shopper Profile - II10% of 14-35 17% of 14-35year old women are year old men aretaller than 1.70 taller than 1.80 m 1.70 m 1.80 m 35% of men 31% 47% of women of women consult others while shoppingwear shoe size 38 wear shoe size 42 Source: 2012, İpsos KMG-Türkiye’yi Anlama Kılavuzu 17
  18. 18. AT Kearney Top-10 E-Commerce Index Markets 18
  19. 19. Disclaimer• This analysis was prepared by markafoni – the leading flash sales and online fashion group in Turkey. Please do not hesitate to share your comments or feedback sina@markafoni.com• Please use the content of this presentation but disclose your source as «The State of the Turkish eCommerce 2013, by Markafoni » 19

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