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Consumer Attitudes and Online Retail Dynamics in

France, 2013–2018

Reference Code: RT0118IS

Published: December 2014

Report Price: US$1,450 (Single Copy)

©Conlumino 2014 | This product is licensed and is not to be photocopied or reproduced. 2

Consumer Attitudes and Online Retail Dynamics in France, 2013–2018


Summary

―Consumer Attitudes and Online Retail Development in France, 2013–2018‖ is the result of Conlumino’s

extensive market research covering the online retail industry in France. It provides the magnitude, growth,

share, and dynamics of the online retail market in France. It is an essential tool for companies active across

France’s online retail value chain and for new companies considering entry into the online retail market in

France. It provides data for historic and forecast online retail sales, and also includes the business environment

and country risk related to France’s online retail environment. In addition, it analyses the key consumer trends

influencing the French online retail industry.

By examining best practice from the 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 retailers, the report provides insights and ideas about how best to approach growing

online sales for your business.

Key Findings

Despite the growth in the M-commerce market, its penetration is low in France, compared to

neighboring European countries

Click & Collect services continue to rise in popularity in the country

International online retailers enter France to take advantage of the rising per capita expenditure and

growth in internet shoppers

Social media - a marketing channel for French online retailer rather than a sales channel




Reasons to Buy

The report helps to improve market and strategic planning using highly granular, forward-looking market

data. Detailed category coverage is provided, covering 26 products across nine product groups that

include: Apparel, Accessories, Luggage and Leather Goods, Books, News and Stationery, Electricals

and Electronics, Food and Grocery, Health & Beauty, Furniture and Floor Coverings, Home and Garden

Products, Music, Video and Entertainment Software, and Sports and Leisure Equipment

Understand the consumer behavior and online trends in France

Understand which products will be the major winners and losers in the online arena in the coming years

Learn from best practice approaches outlined in the case studies of leading online retailers




1. Online Channel Dynamics

1.1 The Online Channel’s Share of Total Retail Sales

1.1.1 France online vs. offline channel forecasts

Online retail sales as a share of total retail sales increased from x% in 2008 to 5.5% in 2013, and is

forecast to reach x% by 2018.

Figure 1: France Online and Offline Retail Sales and Forecast (EUR billion), 2008–2018

Source: Conlumino /© Conlumino

Table 1: France Online vs. Offline Retail Sales and Forecast (EUR billion), 2008–2018

Channel Group 2008 2013 2018 CAGR 2008–

2013 CAGR 2013–

2018

Offline Retail Sales

Online Retail Sales

Overall

Source: Conlumino © Conlumino

xx

xx

xx

xx

xx

xx

xx

xx

xx

xx

xx

xx

2008 2013 2018

On

lin

e R

eta

il S

ale

s (

EU

R b

n)

Online Retail Sales





Table 2: France Online vs. Offline Retail Sales and Forecast (US$ billion),2008–2018


2013 CAGR 2013–

2018


Online Retail Sales

Overall


Table 3: France Online vs. Offline Retail Sales and Forecast (% Share), 2008–2018


2013 CAGR 2013–

2018


Online Retail Sales





1.2 Channel Dynamics

1.2.1 France retail channel dynamics – future performance

Online will be the fastest-growing retail channel, with a CAGR of x%, followed by general retailers with a

CAGR of x%, value retailers with a CAGR of x%, and specialist retailers with a negative CAGR of -x% in

2013–2018.

Figure 2: France Overall Retail Market Dynamics by Channel Group, 2008–2018


Table 4: France Overall Retail Segmentation (EUR billion) by Channel Group, 2008–2018

Channel CAGR 2008–

2013 CAGR 2013–2018

Retail Sales (2018, CNY billion)

General retailers

Specialist retailers

Value retailers

Online

Overall


-x%

-x%

x%

x%

x%

x%

x%

x%

x%

x%

x%

x%

-x% -x% x% x% x% x% x% x% x%

Fo

rec

as

t G

row

th R

ate

(2

01

3–

20

18

)

Historic Growth Rate (2008–2013)

General retailers

Specialist retailers

Value retailers

Online




1.2.2 Online vs. offline retail sales comparison by category group, 2013

A notably significant share of the sales of music, video and entertainment software, electrical and

electronics and sports and leisure equipment are made through the online retail channel.

Figure 3: France Retail Sales, Online vs. Offline, 2013


0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Music, video and entertainmentsoftware

Electrical and electronics

Sports and leisure equipment

Books, news and stationery

Apparel, accessories, luggageand leather goods

Furniture and floor coverings

Cosmetics and toiletries

Food and grocery

Home and garden products

Online Share (%) Offline Share (%)




Table 5: France Retail Sales Split (EUR million), Online vs. Offline, 2013

Category Group Total Retail Sales Online Sales Online Share (%)

Music, video and entertainment software





Apparel, accessories, luggage and leather goods



Food and grocery

Overall


Table 6: France Retail Sales Split (USD million), Online vs. Offline, 2013

Category Group Total Retail Sales Online Sales Online Share (%)

Music, video and entertainment software





Apparel, accessories, luggage and leather goods



Food and grocery

Overall





1.3 Summary Methodology

1.3.1 Overview

All data in this series of retail reports from Conlumino is rigorously sourced using a comprehensive,

standardized methodology. This methodology ensures that all data is thoroughly researched and cross–

checked against a number of sources and validation processes. At the core of this methodology is a

triangulated market sizing approach, which ensures that results from different sources and approaches,

including Conlumino’s own industry surveys, are compared and a final consensus number between these

inputs is derived. In addition, standardized processes and quality controls across the entire data

collection, analysis and publication process ensure compliance and cross–checking of the data occurs at

each stage of the methodology.

1.3.2 The triangulated market sizing method

The triangulation method ensures that the results from three distinct phases of the research are brought

together and cross–compared before finalized market numbers are derived:

1. Existing internal resources: as retail data is compiled using a rolling annual program of industry research, the first stage of producing the data is to review the existing internal information, both from the last major data release, as well as that which has been collected on an ongoing basis throughout the year. This includes inputs about market as well as individual retailer performance. These sources are then reviewed and incorporated into data collection processes and databases before the second intensive phase of desk research.

2. Extensive desk research: this phase of the methodology incorporates the main phase of secondary research. This research is initially conducted across a wealth of information sources, as listed below. In addition, the results of any relevant surveys from other Conlumino projects are also fed into data collection sheets. Online industry surveys can include industry opinion surveys of retailers’ — and their suppliers’ — sentiment and consumer surveys of purchasing and retail behavior. Secondary sources include, but are not limited to, the following:

a. Industry surveys b. Industry and trade association research c. Trade portals d. Company filings and analyst presentations e. Broker and investment analyst reports f. International organizations g. Government statistics h. Retail media i. National Press, including both business and consumer titles

3. Market modeling: the next stage in the process is to feed the results of the above into

market models, which also include drive–based forecasting tools — which analyze drivers such as disposable income, product uptake, macro–economic drivers and market momentum — in order to fill in any gaps in the data and update forecast numbers. At this stage, the market models also look to update channel distribution data sets. For example, information




found at the research and trend monitoring stage on online retail sales would directly affect the channel distribution models.

4. Data finalization: the final stage of the process is the true triangulation of all the previous inputs. At this stage data is created using the inputs to hand in a bottom–up fashion, starting with the inputs from each of the previous three stages of the process for each data point to be published. This is done for all the product, channel and country combinations covered in the data. At this stage, therefore, the project analysts are constantly evaluating and deciding upon the relative merits of each of the inputs from the research processes. Once a triangulated set of data has been finalized, these outputs are then thoroughly cross–checked using a series of top–down checks which review the data against a series of reference benchmarking, including known overall retail sizes, growth trends and per–capita spending rates.

Figure 4: The Triangulated Market Sizing Methodology





1.3.3 Industry surveys in the creation of retail market data

Stage 2 of the above process includes using the outputs of Conlumino’s surveys of consumers’ packaged

goods consumption and industry opinion. Every year Conlumino completes a large scale survey, with

over 120,000 responses, covering CPG purchasing and consumption habits in 10 core retail markets

around the globe. This major study, cross-referenced against the primary telephone research of product

market sizes by country, provides outputs against which relevant retail market data, focusing on the

grocery channel and core products in this channel are assessed. It should be noted that overall, this feeds

research into 3 of the 25 product categories covered. In addition, any other suitable surveys conducted by

Conlumino which also provide information on retail markets are mined for information to be put into the

data finalization process.

1.3.4 Quality control and standardized processes

Crucial to the function of the above method is the adoption of strict definitions for all products and

channels, and adherence to a standardized process at each and every stage in the methodology. By

following this approach all data is made cross-comparable across countries to ensure that analysis adds

to the understanding of market dynamics and trends.

The key elements of this approach are:

Strict channel definitions: the definition of each channel is the same in every country;

Strict product definitions: the definition of each product is the same in every country;

Standardized processes:

o Data capture – all data received as part of the research is captured in standardized files and in a

standard format. Any workings that analysts carry out on inputs, for example to correct for

misalignment in category coverage, are also covered in these sheets

o Data creation – all modeling and forecasting approaches are standardized in order to ensure

consistency

o Finalization and verification – systematic methods and approaches are used to finalize data

points

Country by country research structure: all research is conducted country by country in order to

ensure that market data reflect local market trends and contexts

Data checks during “bottom-up” creation: during the data creation and finalization stage analysts

refer back to initial sources and inputs in order to ensure accuracy in the data

Top down data audits and cross-checks: a large series of cross-checks across all the different

dimensions of the final data sets are run in order to identify any outliers or trends that do not fit with

Conlumino’s market understanding, as well as to conduct specific analyses against set proofing

criteria, such as abnormal growth rate changes, verifying data at both the overall and detailed level

against research inputs and checking per capita spends against other analysis of consumers’

spending in a country

Hierarchical review processes: finally, all of the above processes are subject to a hierarchical review process which ensures that not only the core analysts within a team look at the data, but that at each stage data is passed through several management layers in order that queries and data review and sign-off are completed before any final data can be published




Related Reports

Consumer Attitudes and Online Retail Dynamics in Russia, 2013-2018

Consumer Attitudes and Online Retail Dynamics in Germany, 2013-2018

Consumer Attitudes and Online Retail Dynamics in South Africa, 2013-2018

Consumer Attitudes and Online Retail Dynamics in India, 2013-2018

Consumer Attitudes and Online Retail Dynamics in Spain, 2013-2018




Table of Contents

1. Introduction .................................................................................................6

1.1 What is this Report About? .................................................................................. 6

2. Market at a glance .......................................................................................7

3. Consumer Insight: Online Shopping Attitudes and Behaviors ...............8

3.1 Overview of France Online Shopping Environment ............................................. 9

3.1.1 Internet penetration in France reached 81.9% in 2013 ....................................................... 9

3.1.2 Growing High Speed Broadband services will improve online shopping experience ....... 10

3.1.3 Mobile users in France ...................................................................................................... 11

3.2 Consumer Attitudes and Behavior ..................................................................... 12

3.2.1 Despite of growth in M-commerce market, its penetration is low compared to neighboring

European countries ........................................................................................................... 12

3.2.2 Click & Collect services on the rise in France ................................................................... 13

3.2.3 Women online shoppers are driving the sales of clothing and footwear in France ........... 15

3.2.4 International online retailers enter France to take advantage of the rising per capita expenditure

and growth in internet shoppers ........................................................................................ 16

3.2.5 Social media – a marketing channel for French online retailer rather than a sales channel16

3.2.6 Highly regulated e-commerce market ............................................................................... 17

4. Online Channel Dynamics ........................................................................ 18

4.1 The Online Channel’s Share of Total Retail Sales ............................................. 20

4.1.1 France online vs. offline channel forecasts ....................................................................... 20

4.1.2 Online penetration: global and regional comparisons ....................................................... 22

4.2 Channel Dynamics ............................................................................................ 24

4.2.1 France retail channel dynamics – future performance ...................................................... 24

4.2.2 Channel group share development ................................................................................... 25

4.2.3 Individual channel performance ........................................................................................ 26

4.3 Category Dynamics ........................................................................................... 29

4.3.1 Online vs. offline retail sales comparison by category group, 2013 .................................. 29

4.3.2 Online retail market dynamics by category ....................................................................... 31

4.3.3 Online retail sales share by category group ...................................................................... 33

4.3.4 Online retail sales growth by individual category .............................................................. 35

4.3.5 Food and grocery categories: market size and forecasts ................................................. 35

4.3.6 Electrical and Electronics categories: market size and forecasts ..................................... 37

4.3.7 Music, video, and entertainment software categories: market size and forecasts ............ 39

4.3.8 Apparel, accessories, luggage and leather goods categories: size and forecasts ........... 41




4.3.9 Books, News and Stationery categories: Market Size and Forecasts .............................. 43

4.3.10 Sports and Leisure equipment categories: market size and forecasts ............................. 45

4.3.11 Furniture and floor coverings categories: market size and forecasts................................ 47

4.3.12 Home and Garden categories: market size and forecasts ................................................ 49

4.3.13 Cosmetics and toiletries categories: market size and forecasts ....................................... 51

5. Case Studies: Leading Online Retailers in France ................................. 53

5.1 Retailer 1: Rue du Commerce ........................................................................... 54

5.1.1 Business description ......................................................................................................... 54

5.1.2 Site experience .................................................................................................................. 54

5.2 Retailer 2: 3Suisses.fr ....................................................................................... 61


5.2.2 Site experience .................................................................................................................. 61

5.3 Cdiscount.com .................................................................................................. 68


5.3.2 Site experience .................................................................................................................. 68

5.4 Other Innovative Retailers in France ................................................................. 73

5.4.1 Carrefour France ............................................................................................................... 73

6. Appendix .................................................................................................... 74

6.1 Definitions ......................................................................................................... 74

6.1.1 This report provides 2013 actual sales; while forecasts are provided for 2014 – 2018 .... 74

6.2 Summary Methodology ..................................................................................... 80

6.2.1 Overview ............................................................................................................................ 80

6.2.2 The triangulated market sizing method ............................................................................. 80

6.2.3 Industry surveys in the creation of retail market data ....................................................... 82

6.2.4 Quality control and standardized processes ..................................................................... 82

6.3 About Conlumino ............................................................................................... 83

6.4 Disclaimer ......................................................................................................... 83




List of Figures

Figure 1: Share of Online Retail Sales in Total Retail Sales, 2013 and 2018 .................................................................................................. 7 Figure 2: Total Internet Users and Penetration (Millions, %), 2008–2013 ....................................................................................................... 9 Figure 3: Total Fixed Broadband Subscribers and Penetration (Millions, %), 2008-2013 ............................................................................. 10 Figure 4: Mobile phone Subscribers and Penetration (Millions, %), 2008-2013 ............................................................................................ 11 Figure 5: M-commerce in France ................................................................................................................................................................. 13 Figure 6: Click and Collect Service in France, 2013 ..................................................................................................................................... 14 Figure 7: Women Internet Users Driving Clothing And Footwear Online Sales ............................................................................................. 15 Figure 8: Regional Fixed Broadband Users and its Penetration, 2012 and 2017 .......................................................................................... 18 Figure 9: Regional Mobile Broadband Users and its Penetration, 2012 and 2017 ........................................................................................ 19 Figure 10: France Online and Offline Retail Sales and Forecast (EUR billion), 2008–2018 .......................................................................... 20 Figure 11: France Online Sales vs. Global Average (% of Total Retail) ........................................................................................................ 22 Figure 12: France Online Sales vs. Western Europe Countries Average (% of Total Retail) ......................................................................... 23 Figure 13: France Overall Retail Market Dynamics by Channel Group, 2008–2018 ..................................................................................... 24 Figure 14: France Retail Sales and Forecast (EUR billion) by Channel Group, 2008–2018 .......................................................................... 25 Figure 15: France Retail Sales, Online vs. Offline, 2013 .............................................................................................................................. 29 Figure 16: France Online Market Dynamics by Category Group, 2008–2018 ............................................................................................... 31 Figure 17: France Online Retail Sales and Forecast (EUR million) by Category Group, 2008–2018 ............................................................ 33 Figure 18: Rue du Commerce – Home Page................................................................................................................................................ 55 Figure 19: Rue du Commerce – Product Page ............................................................................................................................................. 57 Figure 20: Rue du Commerce – Customer review ........................................................................................................................................ 59 Figure 21: Rue du Commerce – Mobile Apps ............................................................................................................................................... 60 Figure 22: 3Suisses.fr: Well-Organized Home Page .................................................................................................................................... 62 Figure 23: 3Suisses.fr: Product Page ........................................................................................................................................................... 64 Figure 24: 3Suisses.fr: Customer review ...................................................................................................................................................... 66 Figure 25: 3Suisses.fr: Customer review ...................................................................................................................................................... 67 Figure 26: cdiscount.com: Well-Organized Home Page ............................................................................................................................... 69 Figure 27: cdiscount.com: Organization and layout ...................................................................................................................................... 70 Figure 28: cdiscount.com: Customer review ................................................................................................................................................. 71 Figure 29: cdiscount.com.com: Mobile App .................................................................................................................................................. 72 Figure 30: Carrefour France Mon Panier Mobile App ................................................................................................................................... 73 Figure 31: The Triangulated Market Sizing Methodology .............................................................................................................................. 81




List of Tables

Table 1: Online Retail Sales in France, 2013 and 2018 .................................................................................................................................. 7 Table 2: France Online vs. Offline Retail Sales and Forecast (EUR billion), 2008–2018 ............................................................................... 20 Table 3: France Online vs. Offline Retail Sales and Forecast (USD billion), 2008–2018 ............................................................................... 21 Table 4: France Online vs. Offline Retail Sales and Forecast (% Share), 2008–2018 .................................................................................. 21 Table 5: France Online Sales vs. Global Average, 2008, 2013 and 2018 ..................................................................................................... 22 Table 6: France Online Sales vs. Western Europe, 2008, 2013 and 2018 .................................................................................................... 23 Table 7: France Overall Retail Segmentation (EUR billion) by Channel Group, 2008–2018 ......................................................................... 24 Table 8: France Channel Retail Sales and Forecast (EUR billion) by Channel Group, 2008–2018 ............................................................... 25 Table 9: France Channel Retail Sales and Forecast (USD billion) by Channel Group, 2008–2018 ............................................................... 26 Table 10: France Channel Retail Sales and Forecast (% Share) by Channel Group, 2008–2018 ................................................................. 26 Table 11: France Channel Retail Sales and Forecast (EUR billion) by Channel, 2008–2018........................................................................ 27 Table 12: France Channel Retail Sales and Forecast (USD billion) by Channel, 2008–2018........................................................................ 28 Table 13: France Retail Sales Split (EUR million), Online vs. Offline, 2013 .................................................................................................. 30 Table 14: France Retail Sales Split (USD million), Online vs. Offline, 2013 .................................................................................................. 30 Table 15: France Online Market Dynamics by Category Group, 2008–2018 ................................................................................................ 32 Table 16: France Online Retail Sales and Forecast (EUR million) by Category Group, 2008–2018 .............................................................. 34 Table 17: France Online Retail Sales and Forecast (USD million) by Category Group, 2008–2018 .............................................................. 34 Table 18: France Total and Online Retail Sales in Food and Grocery Categories (EUR million), 2008–2018 ............................................... 35 Table 19: France Total and Online Retail Sales in Food and Grocery Categories (USD million), 2008–2018 ............................................... 36 Table 20: France Total and Online Retail Sales in Electrical and Electronics Categories (EUR million), 2008–2018 .................................... 37 Table 21: France Total and Online Retail Sales in Electrical and Electronics Categories (USD million), 2008–2018 .................................... 38 Table 22: France Total and Online Retail Sales in Music, Video and Entertainment Categories (EUR million), 2008–2018 .......................... 39 Table 23: France Total and Online Retail Sales in Music, Video and Entertainment Categories (USD million), 2008–2018 .......................... 40 Table 24: France Total and Online Retail Sales in Apparel, Accessories, Luggage and Leather Categories (EUR million), 2008–2018 ....... 41 Table 25: France Total and Online Retail Sales in Apparel, Accessories, Luggage and Leather Categories (USD million), 2008–2018 ....... 42 Table 26: France Total and Online Retail Sales in Books, News and Stationery Categories (EUR million), 2008–2018 ............................... 43 Table 27: France Total and Online Retail Sales in Books, News and Stationery Categories (USD million), 2008–2018 ............................... 44 Table 28: France Total and Online Retail Sales in Sports and Leisure Equipment Categories (EUR million), 2008–2018 ............................ 45 Table 29: France Total and Online Retail Sales in Sports and Leisure Equipment Categories (USD million), 2008–2018 ............................ 46 Table 30: France Total and Online Retail Sales in Furniture and Floor Coverings Categories (EUR million), 2008–2018 ............................. 47 Table 31: France Total and Online Retail Sales in Furniture and Floor Coverings Categories (USD million), 2008–2018 ............................. 48 Table 32: France Total and Online Retail Sales in Home and Garden Products Categories (EUR million), 2008–2018 ................................ 49 Table 33: France Total and Online Retail Sales in Home and Garden Products Categories (USD million), 2008–2018 ................................ 50 Table 34: France Total and Online Retail Sales in Cosmetics and toiletries Categories (EUR million), 2008–2018 ...................................... 51 Table 35: France Total and Online Retail Sales in Health & Beauty Categories (USD million), 2008–2018 .................................................. 52 Table 36: France Exchange Rate EUR–USD (Annual Average), 2008–2013 ............................................................................................... 74 Table 37: France Exchange Rate EUR–USD (Annual Average), 2014–2018 Forecasts ............................................................................... 74 Table 38: Conlumino Retail Channel Definitions .......................................................................................................................................... 75 Table 39: Conlumino Retail Category Definitions ......................................................................................................................................... 77




About Conlumino

Conlumino Global Retail offers a comprehensive 360° view of the retail landscape. A team of analysts,

with more than 200 years of combined experience, help you identify and understand the most current

retail trends.

Last year hundreds of retail businesses across the globe used our research to make critical business

decisions.

Disclaimer

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No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form by

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the publisher, Conlumino.

The facts of this report are believed to be correct at the time of publication but cannot be guaranteed.

Please note that the findings, conclusions and recommendations that Conlumino delivers will be based on

information gathered in good faith from both primary and secondary sources, whose accuracy we are not

always in a position to guarantee. As such, Conlumino can accept no liability whatsoever for actions taken

based on any information that may subsequently prove to be incorrect.

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