E-Commerce Market Report 2026

The e-commerce market size has grown rapidly in recent years. It will grow from $4.4 trillion in 2025 to $4.94 trillion in 2026 at a compound annual growth rate (CAGR) of 12.1%. The growth in the historic period can be attributed to increased internet penetration, growth of smartphone adoption, rising urbanization, development of logistics infrastructure, expansion of digital payment methods.

The e-commerce market size is expected to see rapid growth in the next few years. It will grow to $7.92 trillion in 2030 at a compound annual growth rate (CAGR) of 12.6%. The growth in the forecast period can be attributed to growing adoption of omnichannel retail, increased use of AI-driven customer analytics, expansion into emerging markets, rising demand for eco-friendly packaging, enhanced last-mile delivery solutions. Major trends in the forecast period include growth of mobile commerce platforms, rising demand for same-day and contactless delivery, expansion of online grocery and essential retail, increasing adoption of subscription-based e-commerce services, integration of customer loyalty and personalization programs.

The rise in digital payments is anticipated to drive the expansion of the e-commerce market. Digital payments refer to financial transactions carried out through digital or online channels, removing the need for physical cash exchange. E-commerce platforms utilize electronic payments, enabling paperless monetary transactions. For example, in July 2025, according to the Bangko Sentral ng Pilipinas, a Philippines-based central banking authority, digital retail payments made up 57.4% of total transaction volume in 2024, representing a year-on-year growth of 4.6 percentage points from 2023. Consequently, the growing adoption of digital payments is expected to fuel the development of the e-commerce market in the future.

Major companies operating in the e-commerce market are focusing on utilizing artificial intelligence-driven automation, such as AI-powered store builders, to improve efficiency and accelerate time to market. AI-powered store builders are generative tools that leverage natural language prompts and machine learning models to automatically design online storefronts by creating layouts, product content, imagery, and design elements, enabling features such as rapid store creation, automated content generation, and design optimization. For instance, in May 2025, Shopify, a Canada-based e-commerce platform provider, introduced AI Store Builder, an AI-powered tool aimed at helping merchants instantly build complete online stores by describing their business idea or products. The platform includes automated storefront design generation, AI-generated product descriptions and visuals, and seamless integration with Shopify’s commerce ecosystem. AI Store Builder streamlines merchant onboarding, reduces technical complexity, and speeds up the launch of online retail stores.

In October 2024, the Department of Posts (DoP), an India-based government organization under the Ministry of Communications, partnered with Amazon Seller Services Private Limited, an India-based e-commerce company, to strengthen logistics collaboration across India. Through this partnership, the Department of Posts and Amazon aim to jointly explore opportunities in logistics and business expansion by utilizing DoP’s extensive postal network for parcel delivery, coordinating logistics operations, sharing knowledge and capacity, while supporting India’s growing e-commerce sector and contributing to economic development. Amazon Seller Services Private Limited is an India-based e-commerce company.

Major companies operating in the e-commerce market are Amazon.com Inc, Alibaba Group Holding Limited, JD.com Inc, PDD Holdings Inc, eBay Inc, MercadoLibre Inc, Rakuten Group Inc, Zalando SE, Wayfair Inc, ASOS plc, Boohoo Group plc, Farfetch Limited, Otto Group, Vipshop Holdings Ltd, Suning.com Group, Coupang Inc, Target Corporation, Walmart Inc, Best Buy Co Inc, Macy’s Inc, Carvana Co, Chewy Inc, Snapdeal Limited, Lenskart Solutions Private Limited, Gome Electrical Appliances Holding Limited, Sea Limited.

North America was the largest region in the e-commerce market in 2025. Asia-Pacific was the second largest region in the global e-commerce market share. The regions covered in the e-commerce market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the e-commerce market report are Australia; Brazil; China; France; Germany; India; Indonesia; Japan; Taiwan; Russia; South Korea; UK; USA; Canada; Italy; Spain.

The e-commerce market consists of revenues earned by entities by providing e-commerce services such as drop shipping, crowdfunding, and subscription. The market value includes the value of related goods sold by the service provider or included within the service offering. The e-commerce market also includes sales of as apparel, electronics, furniture, books, grocery and cosmetics. Values in this market are factory gate values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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