Consumer Attitudes & Online Retail Dynamics in Italy

Synopsis
Consumer Attitudes & Online Retail Dynamics in Italy provides in-depth analysis of the latest trends in online consumer shopping, covering drivers of online shopping, consumer insights, market dynamics (covering 25 product categories) and reviews of latest best practice in online retail site design.

Based on the latest data, the report not only provides details of the size and growth of this increasingly important channel, it also provides essential contexts on the penetration of online sales by product groups, how growth has developed over time and key drivers of this market in the future.

Summary
This report is the result of ICD’s extensive market research covering the online retail industry in Italy. “Consumer Attitudes & Online Retail Development in Italy” provides the magnitude, growth, share, and dynamics of the online retail market and is an essential tool for companies either active in this sector or which are seeking to target this channel.

The report provides core insights into consumer behavior and highlights the latest online trends and their impact on online product sales. Core data sets give both historical contexts and a view into the future - providing data from 2005 through to 2015 and allowing marketers to update their strategic planning and fill gaps in their knowledge about this rapidly evolving channel.

By examining best practice from leading national large-scale online retailers (but specifically excluding the likes of Amazon whose sites are well-known and vary little by country), as well as reviewing innovative approaches from smaller players, the report also provides insights and ideas about how best to approach growing online sales for your business.

Together these three core elements; market dynamics, consumer understanding and best practice examples will allow readers to easily understand the nature and development of online retail in Italy and provide insight into how best to exploit the opportunities in the market.

Scope
The report analyses online consumer behavior, market dynamics and best practice approaches to online retail in Italy. In particular core market data sets cover 8 product groups and 25 individual product markets within Italy.

Product Coverage:
Clothing & Footwear
Jewelry & Watches
Luggage & Leather goods
Printed Media
Stationery & Cards
Communications Equipment
Computer Hardware & Software
Consumer Electronics
Household Appliances
Photographic Equipment
Drinks
Household Products
Packaged Food
Personal Care
Tobacco
Unpackaged Food
Floor Coverings
Furniture
Gardening & Outdoor Living
Home Improvement
Home Wares
Games Software
Music & Video
Sports Equipment
Toys & Games

Reasons to Buy
This report provides readers with unparalled levels of detail and insight into the development of online retail sales within Italy:

- Understand the consumer behavior and online trends in Italy
- Understand which products will be the major winners and losers in the coming years
- Assess the impact of economic recession and recovery on market growth
- Learn from best practice approaches outlined in the case studies of leading online retailers
- Improve market and strategic planning using highly granular, forward-looking market data

Key Highlights
The weak state of the Italian economy, characterized by high government debt and low growth, adversely affected retail sales during the review period. Between 2005 and 2010, retail sales recorded a compound annual growth rate (CAGR) of X.XX%, but are expected to increase slowly during the forecast period, at a CAGR of X.XX%. Whilst growth in online retail channels will outpace that in offline channels, overall weak consumer confidence will limit the expansion of retail sales.

The Italian retail landscape reflects the global trend towards increasing online retail, with consumers attracted to the low costs and more convenient shopping experience the internet can offer. While the size of the internet retailing marketplace has continued to grow at a robust pace, with a CAGR of XX.XX% during the review period, this growth occurred with a relatively low Italian consumer base. Eurostat reported that XX% of Italian households had access to the internet, compared to the European Union (EU) average of XX% in 2010. Italy is currently ranked twentieth within the EU for internet access at home and broadband access and has among the lowest internet and broadband penetration rates in Western Europe. More significantly, it is reported that only XX% of Italian individuals aged 16 and above had basic internet skills, such as the ability to use a search engine to find information. This indicates that immediate growth prospects for online retail in Italy are limited but there is a large, as yet unreached, consumer base. Another factor limiting the growth of online retail in Italy is a cultural preference for cash transactions, as opposed to purchasing with credit cards, an inclination that is likely to be reinforced by the debt crisis affecting the country.

Table of contents

1 Introduction
1.1 What is this Report About?
1.2 Definitions
1.3 Summary Methodology
1.3.1 Overview
1.3.2 The Triangulated Market Sizing Method
1.3.3 Industry Surveys in the creation of Retail Market Data
1.3.4 Quality Control and Standardized Processes
2 Consumer Insight: Online Shopping Attitudes & Behaviours
2.1 Overview of the Italy Online Shopping Environment
2.1.1 Growing internet population to promote online retail
2.1.2 Faster internet speeds to aid effective online retailing
2.1.3 High mobile penetration to promote mobile commerce
2.2 Consumer Attitudes & Behavior
2.2.1 Level of online retail low due to lack of internet skills among the population
2.2.2 Online retail population low but growing at a rapid pace
2.2.3 Smart phone penetration to drive mobile e-retail in Italy
2.2.4 Low touch products most popular online purchases, high touch products are gaining ground
2.2.5 Online retailers engaging with customers through social networks to promote brand loyalty
2.2.6 Converting online researchers to online shoppers a challenge for Italian retailers
2.2.7 Credit cards remains the preferred mode of payment for Italian online consumers, despite being a cash society
3 Online Channel Dynamics
3.1 Online’s Share of Total Retail Sales
3.1.1 Italy online vs offline channel forecasts
3.1.2 Online Penetration: Global & Regional Comparisons
3.2 Channel Dynamics
3.2.1 Italy Channel Group Dynamics – Future Performance
3.2.2 Channel Group Share Development
3.2.3 Individual Channel Performance
3.3 Category Dynamics
3.3.1 Online vs Offline Retail Sales Comparison by Product Group 2010
3.3.2 Online Retail Market Dynamics by Product Group
3.3.3 Online Retail Sales Share by Product Group
3.3.4 Online Retail Sales Growth by Individual Product Group
3.3.4.1 Food and Grocery Group Market Size and Forecasts
3.3.4.2 Electrical and Electronics Categories Market Size and Forecasts
3.3.4.3 Music, Video and Entertainment Software Product Group Market Size and Forecasts
3.3.4.4 Apparel, Accessories and Luxury Category Group Market Size and Forecasts
3.3.4.5 Books, News and Stationery Product Group Market Size and Forecasts
3.3.4.6 Sports and Leisure Equipment Product Group Market Size and Forecasts
3.3.4.7 Furniture and Floor Coverings Product Group Market Size and Forecasts
3.3.4.8 Home and Garden Product Group Market Size and Forecasts
4 Case Studies: Leading Online Retailers in Italy
4.1 Retailer 1: yoox.com
4.1.1 Business Description
4.1.2 Site Experience
4.2 Retailer 2: Esselunga
4.2.1 Business Description
4.2.2 Site Experience
4.3 Other Innovative Retailers in Italy
4.3.1 Mandarina Duck
4.3.2 Pinko
5 Appendix
5.1 Methodology
5.2 Contact us
5.3 About ICD Research
5.4 Disclaimer

List of Tables
Table 1: Italy Exchange Rate US$-EUR (Annual Average), 2005-2010
Table 2: ICD Research Retail Channel Definitions
Table 3: ICD Research Retail Category Definitions
Table 4: ICD Research Retail Country Coverage
Table 5: Italy Channel Retail Sales & Forecast (EUR billion) Online vs Offline, 2005-2015
Table 6: Italy Channel Retail Sales & Forecast (US$ billion), Online vs Offline, 2005-2015
Table 7: Italy Channel Retail Sales & Forecast (% Share), 2005-2015
Table 8: Italy Online Sales vs Global Average
Table 9: Italy Online Sales vs Western Europe
Table 10: Italy Overall Retail Segmentation (EUR billion), by Channel Group, 2005-2015
Table 11: Italy Channel Retail Sales & Forecast (EUR billion), by Channel Group, 2005-2015
Table 12: Italy Channel Retail Sales & Forecast (US$ billion), by Channel Group, 2005-2015
Table 13: Italy Channel Retail Sales & Forecast ( % Share), by Channel Group, 2005-2015
Table 14: Italy Channel Retail Sales & Forecast (EUR billion), by Channels, 2005-2015
Table 15: Italy Channel Retail Sales & Forecast (US$ billion), by Channels, 2005-2015
Table 16: Italy Product Group Sales Split (EUR billion), Online vs Offline, 2010
Table 17: Italy Product Group Sales Split (US$ billion), Online vs Offline, 2010
Table 18: Italy Online Retailers Market Dynamics, by Retail Product Group, 2005-2015
Table 19: Italy Online Retail Sales & Forecast (EUR billion), by Retail Category Group, 2005-2015
Table 20: Italy Online Retail Sales & Forecast (US$ billion), by Retail Category Group, 2005-2015
Table 21: Italy Total and Online Retail Sales in Food and Grocery Product Categories (EUR million), 2005-2015
Table 22: Italy Total and Online Retail Sales in Food & Grocery Product Categories (US$ million), 2005-2015
Table 23: Italy Total and Online Retail Sales in Electrical & Electronics Categories (EUR million), 2005-2015
Table 24: Italy Total and Online Retail Sales in Electrical & Electronics Categories (US$ million), 2005-2015
Table 25: Italy Total and Online Retail Sales in Music, video & entertainment Categories (EUR million), 2005-2015
Table 26: Italy Total and Online Retail Sales in Music, video & entertainment Categories (US$ million), 2005-2015
Table 27: Italy Total and Online Retail Sales in Apparel, Accessories and Luxury Categories (EUR million), 2005-2015
Table 28: Italy Total and Online Retail Sales in Apparel, Accessories and Luxury Categories (US$ million), 2005-2015
Table 29: Italy Total and Online Retail Sales in Books, News & Stationery Categories (EUR million), 2005-2015
Table 30: Italy Total and Online Retail Sales in Books, News & Stationery Categories (US$ million), 2005-2015
Table 31: Italy Total and Online Retail Sales in Sports & Leisure Equipment (EUR million), 2005-2015
Table 32: Italy Total and Online Retail Sales in Sports and Leisure Equipment (US$ million), 2005-2015
Table 33: Italy Total and Online Retail Sales in Furniture & Floor Coverings Categories (EUR million), 2005-2015
Table 34: Italy Total and Online Retail Sales in Furniture & Floor Coverings Categories (US$ million), 2005-2015
Table 35: Italy Total and Online Retail Sales in Home & Garden Product Categories (EUR million), 2005-2015
Table 36: Italy Total and Online Retail Sales in Home & Garden Product Categories (US$ million), 2005-2015

List of Figures
Figure 1: The Triangulated Market Sizing Methodology
Figure 2: Total Internet Users (million), 2005-2010
Figure 3: Total Fixed Broadband Internet Subscribers (million), 2005-2010
Figure 4: Mobile Phone Penetration, 2005-2010
Figure 5: Italy Online Retail Consumers as a % of Total Online Population, 2010
Figure 6: Italy Growth of Traditional Retailing vs Online Retailing, 2006-2010
Figure 7: Italy Online Sales Split (%), 2010
Figure 8: Italy Channel Retail Sales & Forecast (US$ billion), Online vs Offline, 2005-2015
Figure 9: Italy Online Sales vs Global Average (% of Total Retail)
Figure 10: Italy Online Sales vs Western European Countries Average (% of Total Retail)
Figure 11: Italy Overall Retail Market Dynamics, by Channel Group, 2005-2015
Figure 12: Italy Retail Sales & Forecast (EUR billion), by Channel Group, 2005-2015
Figure 13: Italy Retail Product Groups Sales Split, Online vs Offline 2010
Figure 14: Italy Online Retailers Market Dynamics, by Retail Product Group, 2005-2015
Figure 15: Italy Online Retail Sales & Forecast (US$ billion), by Retail Category Group, 2005-2015
Figure 16: YOOX - Use of Online Space
Figure 17: YOOX - Product Filter and Thumbnail View
Figure 18: YOOX - Interactive Product Thumbnails
Figure 19: YOOX - Product Page View
Figure 20: YOOX - Mobile Applications and Mobile Site
Figure 21: Esselunga - Use of Online Space
Figure 22: Esselunga - Product Information Pop-up
Figure 23: Mandarina Duck: Site Layout
Figure 24: Pinko: Store Locator

Related research categories

By sector: Retail (in Off-trade), Consumer (in Trends)

By market: Italy (in Europe)