Retail
Issue Report
Consumer Attitudes & Online Retail
Dynamics in Italy
Reference code: RT0011IS
Published: August 2011
ICD Research
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CONSUMER INSIGHT
TABLE OF CONTENTS
1 Introduction ........................................................................................................................... 6
1.1 What is this Report About? ............................................................................................................... 6
1.2 Definitions ........................................................................................................................................ 6
1.3 Summary Methodology ................................................................................................................... 11
1.3.1 Overview....................................................................................................................................................11
1.3.2 The Triangulated Market Sizing Method ...................................................................................................11
1.3.3 Industry Surveys in the creation of Retail Market Data .............................................................................13
1.3.4 Quality Control and Standardized Processes ...........................................................................................13
2 Consumer Insight: Online Shopping Attitudes & Behaviours ......................................... 15
2.1 Overview of the Italy Online Shopping Environment ....................................................................... 16
2.1.1 Growing internet population to promote online retail ................................................................................16
2.1.2 Faster internet speeds to aid effective online retailing ..............................................................................17
2.1.3 High mobile penetration to promote mobile commerce ............................................................................18
2.2 Consumer Attitudes & Behavior ...................................................................................................... 19
2.2.1 Level of online retail low due to lack of internet skills among the population ............................................19
2.2.2 Online retail population low but growing at a rapid pace ..........................................................................20
2.2.3 Smart phone penetration to drive mobile e-retail in Italy...........................................................................21
2.2.4 Low touch products most popular online purchases, high touch products are gaining ground ................21
2.2.5 Online retailers engaging with customers through social networks to promote brand loyalty ..................22
2.2.6 Converting online researchers to online shoppers a challenge for Italian retailers ..................................23
2.2.7 Credit cards remains the preferred mode of payment for Italian online consumers, despite being a cash
society 23
3 Online Channel Dynamics .................................................................................................. 24
3.1 Online’s Share of Total Retail Sales ............................................................................................... 24
3.1.1 Italy online vs offline channel forecasts .....................................................................................................24
3.1.2 Online Penetration: Global & Regional Comparisons ...............................................................................26
3.2 Channel Dynamics ......................................................................................................................... 28
3.2.1 Italy Channel Group Dynamics – Future Performance .............................................................................28
3.2.2 Channel Group Share Development .........................................................................................................29
3.2.3 Individual Channel Performance ...............................................................................................................31
3.3 Category Dynamics ........................................................................................................................ 33
3.3.1 Online vs Offline Retail Sales Comparison by Product Group 2010 .........................................................33
3.3.2 Online Retail Market Dynamics by Product Group ...................................................................................35
3.3.3 Online Retail Sales Share by Product Group ............................................................................................37
3.3.4 Online Retail Sales Growth by Individual Product Group .........................................................................39
3.3.4.1 Food and Grocery Group Market Size and Forecasts ..............................................................................39
Consumer Attitudes & Online Retail Development in Italy Page 2
© ICD Research. This product is licensed and is not to be photocopied Published: July 2011
CONSUMER INSIGHT
3.3.4.2 Electrical and Electronics Categories Market Size and Forecasts............................................................41
3.3.4.3 Music, Video and Entertainment Software Product Group Market Size and Forecasts ...........................43
3.3.4.4 Apparel, Accessories and Luxury Category Group Market Size and Forecasts .......................................45
3.3.4.5 Books, News and Stationery Product Group Market Size and Forecasts ................................................47
3.3.4.6 Sports and Leisure Equipment Product Group Market Size and Forecasts .............................................49
3.3.4.7 Furniture and Floor Coverings Product Group Market Size and Forecasts ..............................................51
3.3.4.8 Home and Garden Product Group Market Size and Forecasts ................................................................53
4 Case Studies: Leading Online Retailers in Italy................................................................ 55
4.1 Retailer 1: yoox.com ....................................................................................................................... 56
4.1.1 Business Description .................................................................................................................................56
4.1.2 Site Experience .........................................................................................................................................56
4.2 Retailer 2: Esselunga ..................................................................................................................... 62
4.2.1 Business Description .................................................................................................................................62
4.2.2 Site Experience .........................................................................................................................................62
4.3 Other Innovative Retailers in Italy ................................................................................................... 66