Thursday, March 12, 2020

UK E-Commerce Market is Driven by Surge in Digital Ad Spent, Rising Smartphone Penetration and Growth Amongst Youth Population: Ken Research

“Growing digital penetration and technological innovation in the country has driven the growth of E-commerce market in UK”

Increasing Digital Ad Spent in UK: Rapid adoption of internet in UK with 63.1 million users in 2018 has shifted the advertising spent of companies from traditional offline Ads to online ads. This leads to the growth of the E-commerce industry in UK. The sectors are focusing on maintaining their digital presence by creating their own website and spending huge amount on online advertisement to cater to a large amount of traffic. Also, the tech industry of UK is has grown 2.6 times faster as compared to other sectors in past five years thus, evaluated at GBP 180 billion in 2018. The growing size of the industry depicts the continuous technological innovation leading to the growth of digital ad spent in UK.


Rising Smartphone Penetration: In accordance with We Are Social Statistical Database, UK was evaluated with total of 45.0 million active social media users therefore, making a social media penetration of 67% and 71.7 million mobile subscription users as of January 2019. The increasing usage of internet via Smartphone has surged the growth of E-commerce industry in the country owing to the convenience and ease of accessing the websites from anywhere along with high internet speed of around 27.55 Mbps and increasing number of mobile optimized websites in UK.

Growth in Youth Population of UK: Millennial and young population is the major end user of digital platforms in UK. The increasing number of young online shoppers and solo travelers has majorly contributed towards growing consumption of online video and music streaming services and online travel market in UK. The youth population of UK is increasing with a CAGR of 0.7% during 2013-2018 thus, evaluated at 27.5 million in the year 2018. The well developed digital infrastructure and increasing penetration of internet in the country with 46.2 million users and 95% penetration rate in led to growth of E-commerce industry in the country.

Analysts at Ken Research in their latest publication UK E-Commerce Market Outlook to 2025 - Online Retail (By Product Categories, By Desktop and Mobile Transaction Type, By Gender and By Mode of Payment); Online Travel (By Intermediary and Direct Online Sale and By Desktop and Mobile Booking Type); Online Advertising (By Desktop and Mobile Ad Spend, By Type of Advertising, By Type of Display Advertising, By Sectors and By Advertising Model); Online Movie Ticket Booking; Video Streaming; Music Streaming and Online Gamblingobserved that the market in UK is at a growing stage and it will further witness growth owing to factors such as rising digital advertising spent, increase in number of websites on desktop and mobile  and increasing penetration of smartphones across the country. UK E-commerce market including online retail, online travel, online advertising and entertainment space (movie ticket booking, video streaming, music streaming and gambling) is expected to register a positive CAGR of 6.5% in terms of gross merchandise value, 1.9% in terms of gross transaction value, 7.9% in terms of online ad spent, 7.0% in terms of gross transaction value, 8.3% in terms of subscription revenue, 24.2% in terms of subscription revenue and lastly, 7.8% in terms of gross gambling yield respectively during the forecast period 2018-2025.

Key Segments Covered
Online Retail Market:
By Product Category Type (Apparel and Footwear, Beauty and Personal Care, Consumer Appliance, Consumer Electronics, Consumer Health, Food and Drink, Home Care, Home Improvement & Gardening, Homewares/Home Furnishings, Media Products, Personal Accessories and Eyewear, Pet Care, Traditional Toys and Games, Video Games Hardware and Other Internet Retailing)

By Type of Device (Mobile and Desktop)
By Gender (Female and Male)
By Mode of Payment (Cash on Delivery, Debit + Credit Card and Net Banking and M-Wallets)

Online Travel Market:
By Categories (Intermediary Online Sales and Direct Online Sales)
By Type of Device (Desktop Travel Sales and Mobile Travel Sales)
By Intermediary Online Sales (OTA Online Sales to Residents and Other Travel Intermediaries Online Sales to Residents)

By Intermediaries Corporate Business Online Sales & Intermediaries Leisure Online Sales
By Direct Online Sales to Residents (Airlines Direct Online Sales, Lodging Direct Online Sales, Car Rental Online Sales and Other Transport Direct Online Sales)

By Intermediary Corporate Business Online Sales (Air Online Sales Only, Lodging Online Sales Only, Car Rental Online Sales Only, Transport Online Sales Only and and Other Online Sales Only)

By Intermediary Leisure Online Sales (Package Holidays Online Sales Only, Air Online Sales Only, Lodging Online Sales Only, Cruise Online Sales Only, Car Rental Online Sales Only, Other Transport Online Sales Only and Other Online Sales Only)

Online Advertising Market:
By Type of Device (Desktop and Mobile)
By Type of Advertising (Paid Search, Display and Online Classifieds and Others include Affiliate Marketing, Email Marketing and Native Advertising)

By Sectors (Retail and Consumer, Automotive, Financial Services, Hospitality, Entertainment and Media and Others include Technology, Education, Sports)

By Type of Display Advertising (Social Media Advertising, Video Advertising and Others include Banner Ads and Sponsored Ads)

By Model (Cost Per Click, Cost Per Mile and Cost Per Action)

Online Movie Ticket Booking Market:
By Type of Device (Desktop and Mobile)
By Gender (Female and Male)

Video Streaming Market:
By Gender (Female and Male)
By Age Group (15-30 years, 31-45 years and 46-55+ years)

Music Streaming Market:
By Gender (Female and Male)
By Age Group (15-30 years, 31-45 years and 46-55+ years)

Online Gambling Market:
By Type of Device (Desktop and Mobile)
By Age Group (21-40 years and 41-55 years)

Key Target Audience
Online Retail Companies
Third Party Websites of Online Retail
Online Travel Companies
Online Advertising Agencies
Online Advertising Platforms
Cinema Theatres
Third Party Movie Ticket Booking Websites
Online Video Streaming Companies and Platforms
Online Music Streaming Companies and platforms
Online Gambling Companies

Time Period Captured in the Report:
Historical Period: 2013-2018
Forecast Period: 2018-2025F

Companies Covered:
UK Online Retail Market:
Amazon.com Inc
eBay Inc
Tesco Plc
J Sainsbury Plc
John Lewis Partnership Plc

UK Online Travel Market:
TUI Travel Plc
Booking.com 
Thomas Cook Group Plc
Expedia Group Inc
British Airways Plc

UK Online Advertising Market:
Online Advertising Agencies in UK
Split An Atom
Absolute Digital
Crowd
Bulldog Digital Media
Soap Media

Online Advertising Platforms in UK
Google
Facebook
Instagram
YouTube
LinkedIn

UK Online Entertainment Market
UK Online Movie Ticket Booking Market:
Odeon Cinema
Showcase Cinema
Reel Cinema
Cineworld Cinema
Vue Cinema

UK Online Video Streaming Market:
Netflix
Amazon Prime Video
NowTV
Disney Life

UK Online Music Streaming Market:
Spotify
Amazon Prime Music           
Apple Music
Amazon Music Unlimited Standalone

UK Online Gambling Market:
Bet 365
Paddy Power Betfair
Landbrokes  Coral
William Hills
888 Holdings

Key Topics Covered in the Report
UK E-Commerce Industry Overview
UK Online Retail Market
Market Overview and Genesis
Business Models in UK Online Retail Market
U.K. Online Retail Market Size, 2013-2018
UK Online Retail Market Segmentation, 2013-2018
Government Regulations in the U.K. Online Retail Market
Growth Drivers of U.K. Online Retail Market
Trends and Developments in U.K. Online Retail Market
Issues and Challenges in UK Online Retail Market
Competitive Landscape in U.K. Online Retail Market
Company Profiles of Major NBO Companies (Amazon.com Inc, EBay Inc, Tesco plc, J. Sainsbury Plc and John Lewis Partnership plc) Operating in UK Online Retail Market
U.K. Online Retail Market Future Outlook and Projections, 2018-2025F
Failure Case Study
Impact of Brexit on Online Retailers in UK
Analyst Recommendations

UK Online Travel Market
Market Overview and Genesis
Business Models in UK Online Travel Market
U.K. Online Travel Market Size, 2013-2018
UK Online Travel Market Segmentation, 2013-2018
Competitive Landscape in U.K. Online Travel Market
Company Profiles of Major Players (TUI Group, Booking Holding Inc, Thomas Cook Group Plc, Expedia Group Inc and British Airways Plc ) Operating in UK Online Travel Market
U.K. Online Travel Market Future Outlook and Projections, 2018-2025F
Success Case Study in UK Online Travel Market
Impact of Brexit on Travel Industry In UK
Analyst Recommendations

UK Online Advertising Market
Market Overview and Genesis
Value Chain Analysis in UK Online Advertising Market
U.K. Online Advertising Market Size, 2013-2018
UK Online Advertising Market Segmentation, 2013 & 2018
Competitive Landscape in U.K. Online Advertising Market
Customer Profiles
Company Profiles of Online Advertising Agencies (Split an Atom, Absolute Digital Media, Crowd, Bulldog Digital Media and Soap Media) Operating in UK Online Advertising Market
Profiles of Online Advertising Platforms (Google UK, Facebook UK, YouTube UK, Instagram UK and Linkedin UK) Operating in UK Online Advertising Market
U.K. Online Advertising Market Future Outlook and Projections, 2018-2025F
UK Online Advertising Market Segmentation, 2018-2025F
Success Case Study in UK Online Advertising Market
Impact of Brexit on Online Advertising Industry In UK
Analyst Recommendations

UK Online Movie Ticket Booking Market
Market Overview and Genesis
U.K. Online Movie Ticket Booking Market Size, 2013-2018
UK Online Movie Ticket Booking Market Segmentation, 2013 & 2018
Competitive Landscape of U.K. Online Movie Ticket Booking Market
Company Profiles of Online Movie Ticket Booking Companies
U.K. Online Movie Ticket Booking Market Future Outlook and Projections, 2018-2025F
Impact of Brexit On Online Movie Ticket Booking Industry In UK
Analyst Recommendations

UK Video Streaming Market
Market Overview and Genesis
Business Models in UK Video Streaming Market
U.K. Video Streaming Market Size, 2013-2018
UK Video Streaming Market Segmentation, 2018
Competitive Landscape in UK Video Streaming Market
Company Profiles of Subscription Based Video Streaming Companies
U.K. Video Streaming Market Future Outlook and Projections, 2018-2025F
Analyst Recommendations

UK Music Streaming Market
Market Overview and Genesis
Business Models in UK Music Streaming Market
U.K. Music Streaming Market Size, 2013-2018
UK Music Streaming Market Segmentation, 2018
Competitive Landscape in UK Music Streaming Market
Company Profiles of Subscription Based Music Streaming Companies
U.K. Music Streaming Market Future Outlook and Projections, 2018-2025F
Analyst Recommendations

UK Online Gambling Market
Market Overview and Genesis
U.K. Online Gambling Market Size, 2013-2018
UK Online Gambling Market Segmentation, 2018
Competitive Landscape in UK Online Gambling Market
Company Profiles of Major Online Gambling Companies
U.K. Online Gambling Market Future Outlook and Projections, 2018-2025F
Impact of Brexit on Online Gambling Market In UK
Analyst Recommendations

For More Information on the research report, refer to below links:

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Ken Research
Ankur Gupta, Head Marketing & Communications
Ankur@kenresearch.com
+91-9015378249

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