e-Commerce insights in the European fashion market

The European market offers great opportunities for fashion retailers. And as consumers around the globe are increasingly buying online, it goes without saying that the biggest driver behind the European fashion market’s growth is e-commerce.

What constitutes the fashion market?

The fashion market can be divided into three main segments:

  • Apparel, including almost all types of clothing 
  • Footwear, including all types of shoes (except sports shoes), shoe accessories and care products 
  • Bags and accessories, including amongst others leather bags, suitcases, purses, jewellery, hats, scarves and gloves 
Here, we look at the European fashion market including all if its main segments.

The European fashion market size

In 2020, the revenue from fashion e-commerce in Europe was estimated to be $130.45​ billion​. Between 2020 and 2025, this total revenue is expected to grow by 35.3% to $176.45 billion.* This means that fashion e-commerce businesses could miss out on considerable revenue if they left this market untapped. 

Source: Statista Digital Market Outlook - eCommerce Report 2021 - Fashion

Fashion commodity

The biggest online fashion markets in the European Union

Within the European Union, the following countries made the most revenue from online fashion in 2020: 

  • The United Kingdom with $32.6 billion worth of revenue* 
  • Germany with $22.5 billion worth of revenue 
  • France with $17.1 billion worth of revenue 
  • Spain with $6.3 billion worth of revenue Italy with $5.7 billion worth of revenue 

*As per the 1st of January 2021, The UK has left the European Union. This has made it more complex for UK and EU-based fashion e-commerce businesses to trade with each other. Find out how our affordable customs clearance solution can help.

Up-and-coming markets within Europe

Amongst the EU top five, Italy, Spain and France are projected to show the most growth in online fashion revenue between 2020 and 2025 – respectively +8.0%, +7.8% and +7.2%.*

Although the fashion market in Central Europe is still relatively small, this region has also shown strong growth rates in recent years for both online and offline channels according to a report from McKinsey.

*Source: Statista Digital Market Outlook - eCommerce Report 2021 - Fashion

How to get ahead in the European fashion market

If your business wants to succeed in the European fashion market, it’s key to get ahead of the trends.

  • Personalisation and recommendation features provide customers with tailored suggestions based on what they’ve browsed and bought before. These features can increase your online conversion rate dramatically and encourage repeat purchases. 
  • Curated shopping services send customers fashion items that are hand-picked by a personal style adviser. These services usually come in the form of subscriptions, resulting in a more regular stream of revenue.
  • An easy returns process is the key to happy customers that will come back for more. As people’s living rooms turn into fitting rooms, European consumers expect to be able to return items without too much hassle.
  • Social influencers have started to play an important role in influencing buyer behaviour. Consider running collaborations with the help of an influencer agency to boost your brand image and sales. 
  • Mobile shopping is on the rise thanks to better and faster online services. Make sure your website is built with mobile in mind and that you’re present on all the most popular social networking apps so you can connect with your customers, wherever they are.

Inspired to boost sales in Europe?

Are you ready to tap into the European fashion market and boost your e-commerce sales? Spring GDS can provide your business with a cost-effective shipping solution that serves consumers throughout Europe and beyond. Get in touch with one of our team to see how we can handle cross-border shipping, customs clearance, customer returns and more, all in one single portal.

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