Skip to main content

How Digital Commerce Spending will Reach $18.7 Trillion

The Global Networked Economy is fueled by the growing adoption and application of digital commerce innovations. In many instances, digital commerce enables wholesale supplier or retailer customers to purchase goods and services through an interactive and self-service experience.

It includes the people, processes and technologies to execute the offering of development content, analytics, promotion, pricing, customer acquisition and retention, and customer experience at all touchpoints throughout the customer buying journey. That's one view of the evolving eCommerce landscape.

Digital Commerce Market Development

Industry analysts also segment the overall digital commerce market into payments, banking and gambling as its principal segments, which are then further broken down into their respective sub-segments.

It's important to appreciate that these segments are not mutually exclusive and necessarily intersect with one other to varying extents. Boundaries between the segments are not always binary in the reality of the global marketplace and the associated services being delivered.

According to the latest worldwide market study by Juniper Research, global spending on digital commerce will reach $18.7 trillion by 2024 -- that's up from $11.2 trillion in 2019; an increase of 66 percent over the 5-year forecast period.

The new study found the largest single digital commerce sector is the remote purchase of physical goods, which will have driven just under 27 percent of all digital commerce spend by the end of 2019.


The eCommerce market is being accelerated by digital-native merchants and a renewed focus from traditional brick and mortar retailers, who are offering differentiated omnichannel experiences in order to secure future revenue streams.

Juniper analysis highlighted the user experience via digital channels as the crucial next battleground for retailers. Reduced friction in the checkout process, despite increased security requirements, is an essential ingredient for future success.

The data that Juniper gathered found that digital money transfer is one of the main drivers for increasing digital commerce spend -- forecast to grow by 85 percent over the next 5 years.

Juniper also identified domestic money transfer as a critical element, with increased activity in emerging markets a key contributor to the overall market value.

"Domestic money transfer is being heavily disrupted, with mobile-first services displacing the traditional role of cash in emerging economies. Partnerships with international merchants and wallets will enable these markets to participate in eCommerce on a scale previously thought impossible," said Nick Maynard, lead analyst at Juniper Research.

Outlook for Digital Commerce Applications Growth

The research also found that payments from IoT devices, primarily in the smart home and via connected vehicles, will reach over 32 billion transactions by 2024. This compares with just under 1.8 billion transactions in 2019, as these new channels achieve customer recognition and acceptance.

However, the research also predicted that these new channels will not represent new consumer spend; they will largely be driven by migration from traditional payment card spend or will cannibalize other digital channels.

Popular posts from this blog

Digital Transformation Investment at $3.4 Trillion

Business technology leadership matters. Across the globe, more leaders have been pursuing bold Digital Transformation (DX) initiatives with the goal of creating new sources of business value through digital products, services, and experiences. As an additional benefit, the COVID-19 pandemic revealed that digital transformation efforts improve an organization's resilience against global market disruptions. Global DX investment is forecast to reach $3.4 trillion in 2026 with a five-year compound annual growth rate (CAGR) of 16.3 percent, according to the latest worldwide market study by International Data Corporation (IDC). Digital Transformation Market Development "Despite strong headwinds from global supply chain constraints, soaring inflation, political uncertainty, and an impending recession, investment in digital transformation is expected to remain robust," said Craig Simpson, senior research manager at IDC . The benefits of investing in DX technology -- including aut

Artificial Intelligence for National Border Security

National border protection agencies are under pressure to provide the highest level of security in the face of growing threats, such as increasing illegal migration and international terrorism. Now, government agencies are embracing advanced border security technologies to aid in effectively and reliably securing national borders. These solutions look to detect and identify potential threats and prevent them from escalating to a point that may jeopardize security. Security Surveillance Market Development Traditional border security patrols and Closed-circuit Television (CCTV) surveillance systems aren't adequate protection, and agencies must increasingly deploy new solutions to stay ahead of criminals and other potential threats to ensure the safety of a country’s borders. According to the latest market study by Juniper Research, the value of the border security technology market will exceed $70 billion globally in 2027 -- that's rising from $48 billion in 2022. Growing by 47 p

How to Apply Sustainability to Drive Value Creation

Global climate change policy initiatives have been an emerging topic for CEOs and their leadership teams, as they look to the future. Many organizations are preparing to play their part and help reduce carbon emissions. Eighty-seven percent of business leaders expect to increase their organization’s investment in sustainability over the next two years, according to the latest worldwide market study by Gartner. Customers are the stakeholder group creating pressure for these organizations to invest or act on sustainability issues -- selected by 80 percent of executives, followed by investors (60 percent) and regulators (55 percent). Sustainability Market Development "Sustainability enables businesses to cope with disruption," said Kristin Moyer, VP analyst at Gartner . "Economic uncertainty, geopolitical conflict and escalating materials and energy costs are forcing businesses to reexamine all forms of expenditure." According to Gartner, this focus on essentialism --