The e commerce market in Italy2. Disclaimer
All data and information of this presentation have been collected
from public available sources
As it includes several forward looking statements it should be clear
that there may be a significant margin of error in the projections
Any investment or decision should be made after a detailed due
diligence and digital allee is no way responsible for any decision
taken after looking at this presentation
We furthermore may change or include any information without any
further notice
E-commerce market includes travel, digital downloads and event
tickets, gaming and gambling is excluded
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3. Asia Pacific region will be largest B2C e-commerce
market by 2016 in terms of global market share
3
34%
32%
24%
4%
4% 2%
North America Asia Pacific W Europe C. E. Europe Latin America Middle East Africa
31%
38%
21%
4%
4% 2%
2013 2016
Source: digital allee calculations on e-marketer data July 2013
http://www.emarketer.com/Article/B2C-Ecommerce-Climbs-Worldwide-Emerging-Markets-Drive-Sales-Higher/1010004
$1,2 tr
$1,9 tr
+52%
Market share by geographic area
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4. Italy as a market is expected to grow strongly, China
and India are hot growth areas in emerging markets
4
142%
86%
58%
41% 40% 38% 38% 36% 34% 34%
30% 28% 28% 27% 25%
0%
20%
40%
60%
80%
100%
120%
140%
160%
Total growth rate from 2013 to 2016 in absolute terms
for selected geographies
Source: digital allee calculations on e-marketer data July 2013
© digitalallee-ubequitysrl all rights reserved
5. Despite the gloomy macroeconomic forecasts, e-
commerce is expected to grow at 16% per year till ´16
5
34%
23%
16%
12% 12% 11% 11% 11% 10% 10%
9% 9% 9% 8% 8%
0%
5%
10%
15%
20%
25%
30%
35%
40% Compounded average growth rate (CAGR) for selected
geographies from 2013-2016
Source: digital allee calculations on e-marketer data July 2013
© digitalallee-ubequitysrl all rights reserved
6. Italy is expected to catch up mature markets as it still
has a low penetration rate of online buyers
6
49%
55%
44%
74%
68%
73%
36%
24%
40%
76%
81%
87%
75%
81%
78%
67%
62%
51%
80%
75% 77%
40%
27%
43%
79%
83%
89%
76%
82%
79%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Digital buyers penetration rate on total retail buyers for
selected countries
Source: digital allee calculations on e-marketer data July 2013
© digitalallee-ubequitysrl all rights reserved
7. 17,7%
7,5%
6,9% 6,6% 6,5%
4,0% 4,0%
3,5%
2,8% 2,4% 2,2%
1,7% 1,4% 1,3% 1,1%
0,0%
2,0%
4,0%
6,0%
8,0%
10,0%
12,0%
14,0%
16,0%
18,0%
20,0%
Italy is third after China and Spain as 7% more buyers
will turn to e-commerce in the next 3 years
Total increase of digital buyers penetration from 2013
to 2016 for selected countries
7
Source: digital allee calculations on e-marketer data July 2013
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8. -10.000
0
10.000
20.000
30.000
40.000
50.000
60.000
70.000
80.000
0% 5% 10% 15% 20% 25% 30% 35% 40%
USA
China
Italy
India
Russia
Brazil
Spain
Norway
Germany
Netherlands Sweden
UK
France
ball size equals the
market size of e-
commerce market
Italy is considered an emerging market and it is
expected to grow more than mature markets
Source: digital allee calculations on e-marketer data July 2013, OECD, World Bank
GDP per capita in
2016 in USD
Componded average
yearly growth rate of
e-commerce sales
2013-2016
Prioritization matrix for slected e-commerce markets
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10. 94%
4%
2%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Only PC
Smartphone
Tablet
Italians are still using PCs to shop online, mobile
commerce is still a green field to explore
Devices used to purchase a product
10
Source: Survey on 75k individuals representing the Italian population
http://www.contactlab.com/ecommercereport
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11. 16%
20%
42%
22%
0% 5% 10% 15% 20% 25% 30% 35% 40% 45%
Only a little
No change
More
Significantly more
Those using mobile devices to shop say that the
presence of an app would increase their purchases
11
Source: Survey on 75k individuals representing the Italian population
http://www.contactlab.com/ecommercereport
How much would a mobile app increase your purchases?
(out of those responding they are purchasing with smartphone/tablet in
previous question
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12. 0% 0% 1% 1%
4%
10%
19%
35%
16%
14%
0%
5%
10%
15%
20%
25%
30%
35%
40%
1 2 3 4 5 6 7 8 9 10
A survey shows that many buyers are happy with their
experience, but there is further room to improve
12
How would you rate your purchase experience in the last 12 months
(1 = very poor, 10 = excellent)
Source: Survey on 75k individuals representing the Italian population
http://www.contactlab.com/ecommercereport
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13. 70%
41%
29%
31%
25%
27%
21%
0% 10% 20% 30% 40% 50% 60% 70% 80%
Free pick up of the broken product and replacement
Lean and fast procedures with no extra cost to cancel the
purchase
Call center should be always available
Option to replace the product at a physical retail store
Coupon issue for future purchases
Partial reimbursement also after the product is in use
Special discounts to be used in following months
In case of bad experiences return policies and
customer care are key services
13
In case of a negative experience, what do you expect an e-commerce
firm seller to do?
Source: Survey on 75k individuals representing the Italian population
http://www.contactlab.com/ecommercereport
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14. 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Paying with a monthly rate during 1 or more years
The presence of a quality seal
More certainties regarding sensible data and security
More easy and convenient to send back items that are not
wanted
More convenient prices
Payment could be authorized after the goods arrival
Payment through smartphone
Direct billing on banking acocunt
Presence of direct contact point with seller (phone/e-
mail/chat)
Payment, security, easy logistics and a customer care
are key issues influencing the purchase behavior
14
Source: Survey on 75k individuals representing the italian population
http://www.contactlab.com/ecommercereport
How much would the following things influence your purchase behavior
A lot Not much
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