Spotlight on… Eastern Europe

TRENDS & INSIGHTS / MARKET INTELLIGENCE

Spotlight on… Eastern Europe

With surging e-commerce growth across the region, is Eastern Europe an opportunity for your business?

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TRENDS & INSIGHTS / MARKET INTELLIGENCE

Executive summary

Many Eastern European countries are seeing strong growth in e-commerce, fuelled by increasing digitalisation.

Mobile commerce is a significant part of online sales in the region, so placing it at the heart of your strategy could be key.

Eastern Europe has a wide diversity of languages, cultures and preferences, so localising content could play an important role in maximising conversion.





Eastern Europe is a loosely defined collection of countries that offer a broad mix of opportunities – and challenges – to those outside the region wanting to find customers there.

Many countries there are experiencing steadily growing economies, and with them come expectations of rising income levels and growing purchasing power.1 Inflation, which has been rampant in some countries, has also partially tailed off from recent highs and there are suggestions that consumer fears over its future impact – while still relevant – are beginning to ease.2

E-commerce is a particular bright spot. Many countries in central and eastern Europe are experiencing strong growth that is outpacing that of western European counterparts.3 Digitalisation is surging, driving the growth in online shopping and helping to propel the importance of cross-border purchases, which are one of the main ways for consumers to acquire goods that are unavailable or expensive in their domestic market.4

Of course, there are challenges too. Consumers and businesses in Ukraine are having to navigate the ongoing war with Russia, for example, which has had a considerable impact on their activities. People in Eastern Europe can also have less disposable income compared to other parts of the continent, which can make them price-sensitive and hesitant to buy.5

Yet for many businesses, the potential the region offers may be too much to resist. Currently, Eastern Europe accounts for just 2% of Europe’s B2C e-commerce turnover, compared to Western Europe’s 64%.6 As the sector continues to grow, the opportunities to capitalise could increase too.




Eastern Europe… at a glance




Largest economies in Eastern Europe (excluding Russia) by GDP7



Poland – $811 billion
Romania – $351 billion
Czechia – $331 billion


Hungary – $212 billion
Ukraine – $179 billion



Share of internet users who bought goods or services online in the past year9



Slovakia – 86%
Czechia – 84%
Estonia – 78%


Hungary – 76%
EU average – 75%





Proportion of online shoppers who purchase cross-border8



Hungary – 61%
Poland – 38%
Czechia – 26%




GDP per capita in Eastern Europe, according to the International Monetary Fund10



$16,390







E-commerce in Eastern Europe





Online shopping makes up an important part of the overall retail mix in Eastern Europe. Poland has the largest market size (excluding Russia), with e-commerce revenues worth $11.7 billion in 2023, followed by Czechia with revenues of $6.3 billion.11

And those figures are set to grow considerably. Overall e-commerce revenues in Eastern Europe are forecast to hit $48.06 billion in 2024, before seeing an annual growth rate of over 11% in the period to 2029 to reach $82.43 billion.12

A significant proportion of sales come via mobile devices. In Czechia, for example, 50% of all e-commerce sales are via mobile. That’s the highest in the region, closely followed by Poland at 43%.13




And as well as being avid mobile shoppers, online consumers have other key characteristics that it’s worth being aware of. One of which is their diversity. Many languages are spoken in the region, and consumer preferences differ in certain areas too. All of which means that localisation – not just translation but also other aspects such as reflecting local culture and tastes – could be key to maximising performance in the region.14

It’s also worth researching how consumers in Eastern Europe shop online. Marketplaces, for instance, are very popular. In some countries they are the dominant channels, and in others they are experiencing high growth levels.15

And don’t forget delivery. Consumers, like those elsewhere, want fast, transparent and reliable shipping, but there are also regional preferences to take into account. Delivery to parcel lockers, for instance, is very popular in Eastern Europe and is the preferred method in countries including Poland and Czechia.16






Key market focus: Ukraine

The OECD economic outlook for Ukraine shows that growth was expected to reach close to 4% in 2024, before falling to 2.5% in 2025.17 Total consumer spending, meanwhile, was expected to reach $116.9 billion in 2024.18

Among that spending, digital commerce is surging. The market was expected to be worth $5.49 billion in 2024, increasing by an annual growth rate of over 21% to hit $14.54 billion in 2029.19

And it’s worth realising how important mobile commerce is, with the channel making up over 40% of all e-commerce sales in the country.20





Three more things to consider




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Research the customs regulations

Some countries in eastern Europe are part of the EU, but others aren’t. And while shipping into EU markets should be relatively straightforward (especially if you are based within the EU too), there will be additional customs formalities to consider if you are shipping to a country outside the bloc. Research the regulations for shipping into your destination, and don’t forget to include a completed commercial invoice with accurate valuations and goods descriptions.




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Understand the culture

Not only can the culture in Eastern Europe be different to what you are used to, there are also important differences between countries in the region. It’s worth researching your particular market to understand the nuances that could help you to engage more closely with consumers. There are a few regional factors to be mindful of though, particularly if you are planning to visit the region to conduct business negotiations. Gift giving should be limited to symbolic gestures, for example, while showing an understanding of the local history and culture can help to make a good impression. Socialising and relationship building can also be important in business dealings.21




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Learn about payment preferences

The way people prefer to pay for their e-commerce orders can vary by country within the region. Card payments, for example, are the most popular payment method in countries such as Czechia and Romania22, while in Poland the mobile payment system BLIK is favoured, followed by digital payments such as Google Pay and Apple Pay.23 In Hungary, meanwhile, cash on delivery is still a popular method of payment for domestic online orders, but digital wallets and card payments are also popular.24 Tailoring your offer to reflect these preferences could be key to maximising conversions in the region.





*Definitions of Eastern Europe, including the countries considered part of the region, may differ depending on the source.




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