02
03 |Introduction
The acceleration of e-commerce and the
new retail
04 |State of play
The global picture
Where to play
How to play
12 |The new retail revolution
Amazon vs. Alibaba: the race to the top
Five minutes with Alibaba
Models for success
Mobile and social commerce
Technology as a major accelerator
20 | 2025 forecast
22 | Conclusion
23 | Credits
CONTENTS
In previous years, we have measured and
described the expansion of e-commerce
in FMCG. We have seen the share in value
of this channel growing to 4.6%. Last
year, online experienced a 30% growth
in sales, twice that of 2015 growth and
much higher than the mere 1.3% increase
generated by all FMCG channels in 2017.
Retailers and brands are now convinced
that investment in growing their online
business is crucial, if not mandatory. The
myths surrounding e-commerce only fve
years ago – a ‘small opportunity’, ‘a poor
shopper experience’, ‘unproftable’ – have
all been swiftly discredited.
Now, and more fundamentally, there is
the question of whether e-commerce
will continue to thrive as a standalone
channel or whether, instead, it will serve
as a catalyst for greater integration and
retail revolution.
E-commerce is still a force set to
cannibalise all ofine purchases, but
online is much less frequently cited as
the insurgent, or ofine as the place
from where e-commerce needs to steal
share. Instead, it’s about how online and
ofine together can create both a better
customer experience and better efciency
for the entire supply chain.
2017 has seen the multiplication of
models which bridge the gap between
the online and ofine worlds, from both
bricks-and-mortar and pure players.
Alliances have emerged between
THE ACCELERATION
OF E-COMMERCE AND
THE NEW RETAIL
Stéphane Roger, Global Director of Shopper
and Retail
Walmart and Jet, Alibaba and
Bailian Group, Amazon and Whole
Foods, and now Walmart and Google.
Brands too have become e-tailers with
the rise of subscription models from top
manufacturers.
It is now clear that the solution to grow this
channel is to bring together best practice
from these diferent worlds. These are the
frst signs of a new retail that allows a
complete reconfguration of trade and the
acceleration of online.
In this report, we have paid signifcant
attention to what accelerates
e-commerce and how to jump to the
next stage:
Hotspots of growth: the countries,
megacities, categories and shoppers
where e-commerce is expanding quickly
A deep dive into Alibaba and Amazon,
the e-commerce monarchs of the East
and the West
How technology disrupts the market
with the emergence of virtual reality,
augmented reality and artifcial
intelligence, as well as the proliferation
of mobile and social commerce
With these advances comes a steady
growth in value share for the channel.
We aren’t shopping online exactly as we
thought we would be a decade ago but the
alternative is smarter, more popular, more
easily difusible and no less exciting.
INTRODUCTION
03
CROATIA
0.6
POLAND
0.9
AUSTRIA
2.3
PORTUGAL
0.9SPAIN
1.8
DENMARK
2.2
NETHERLANDS
2.6
UK
7.5
FRANCE
5.6
ITALY
0.5
CZ
3.2
GERMANY
1.7
ARGENTINA
0.8
BRAZIL
0.1
MEXICO
0.1
US
1.5
HUNGARY
1.1
SLOVAKIA
1.7
ROMANIA
0.3
04
Today, the e-commerce channel accounts for nearly fve cents of every dollar spent on FMCG worldwide. As a percentage of
total FMCG spend, this remains steady progress rather than an outright revolution.
Yet, the wide spectrum of e-commerce adoption – especially in less developed regions – represents an important shift in the
way people purchase groceries around the world.
When it comes to online adoption, there is a clear divide between the digital East and a more cautious West. Despite
the diferences, brands and retailers have found ways to build successful e-commerce strategies, playing to the natural
preferences of consumers in diferent regions. In a climate of stagnant global FMCG growth, e-commerce is becoming
increasingly important everywhere.
E-commerce now contributes to a record 36% of global FMCG growth, making it crucial for retailers and brand owners to
understand and unlock the channel as it becomes more prevalent.
STATE OF PLAY: THE
GLOBAL PICTURE
COLOMBIA
0.1
CHILE
0.1
% ONLINE
VALUE SHARE
OF MARKET
STATE OF PLAY
Source: Kantar Worldpanel,
Europanel, Intage—52 weeks ending
March 2017
Eric Batty, Global E-commerce Business Development Director。。。