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Digital commerce market will explode by 2020

Digital commerce market is expected to almost double in the next four years, new data from Juniper Research suggests.

According to the Digital Commerce: Key Trends, Sectors & Forecasts 2016 – 2020 report, the market, $4.9 trillion big in 2015, will grow to more than $8 trillion by 2020.

There are three segments fuelling this growth: digital banking, remote digital goods and remote physical goods.

The report also says online events, such as Cyber Monday or Single’s Day represent a major boost to the market. The possibility to make money transfers using mobile devices is also seeing quite an explosion – in China, for example, both AliPay and WeChat saw spikes in peer-to-peer transfers during February 2015.

During the Chinese New Year, WeChat registered more than 3.3 billion P2P ‘red envelope’ transactions, the report said.

Research author Lauren Foye added: “The digital commerce market as a whole is seeing an ever increasing propensity towards an omni-channel approach, and this extends to eCommerce where the mobile and tablet platform is seeing increased use towards the purchasing of physical goods, either for delivery or collection. In addition, global online banking users as a proportion of banked individuals are forecast to cross the 50% mark in 2016.”

The value of mobile NFC POS (point of sale) payments will grow 400 per cent in the four-year period, while the total volume of mobile and online money transfer transactions will surpass those from remote physical goods before this year is through.

The full report can be found on this link.

Image source: Shutterstock/Pretty Vectors