Turkey
Ecommerce Report
19
Sep 2015, Ankara
T*** B***
Turkey Internet Penetration Numbers 2015[1]
36mln internet users, Global rank = 17
Penetration percentage 46 %, Global rank = 97
Advantage: Turkey’s penetration percentage will rise till it saturates, and
reaches to roughly 85%. It’s user growth is currently between 3% and 6%.
Turkey broadband Internet subscription Numbers[2]
The country ranks 15th with 8.4 mln fixed wired Internet subscribers, and
ranks 80th with 10.5 %.
It ranks 20th with 13 mln mobile cellular subscriptions, and ranks 79th
with 16.3%
As you can see, it’s percentage will rise till it saturates. The Internet
subscription will rise to 33%, and mobile cellular to 61%. It’s a huge
advantage.
Turkey smartphone penetration[3]
It’s smartphone penetration 29.6%, ranking 40th. I think it will rise to
top-20 with more than 50% penetration. The market is unsaturated.
Approximately 12 000 e-commerce websites operate in Turkey.[4]
Turkish consumers spent 5.4 bln euros on
products and services online in 2012. Four in ten Turkish internet users
frequently uses a smartphone to access the internet. Based on the results of a
survey conducted by the Turkish Statistical Institute, 24.8% of all internet
users aged 16-74 in Turkey bought goods and services online. [5]
The chart below shows leading
e-retailers and their sales in million euros. [6]
The chart below shows daily time spent with select media in Turkey from
2011 to 2013 (in hours).[7]
The statistic shows the gross domestic product (GDP) per capita in Turkey
from 2010 to 2013, with projections up until 2020. [8]
The statistic shows the gross domestic product (GDP) in Turkey from 2010 to
2014, with projections up until 2020. [9]
Some conclusions from report [10]
of The Turkish Industry and Business Association in 2014:
·
In terms of e-commerce, Turkey can currently be viewed in
a stage where e-commerce mostly involves the online sale of products whose
specifications, content and qualities are easier to determine with certainty - such
as the online sale of books and media products - and where the sale of products
whose content and quality need to be observed physically - such as fashion
items - is not a common occurence.
·
The Turkish e-commerce sector had a volume of 15,3 TRY in
2012.
·
Additionally, the report points out the presence of an
important B2B e-commerce market with a volume of 5.5 billion USD in 2012.
Furthermore, the website Webrazzi also has published another report [11]
in March 2014 - where the following e-commerce statistics for Turkey take
place:
·
E-commerce constitutes 0.8% of retail sales in Turkey, as
opposed to 9.6% in the UK, 6.5% in the US, 3.2% in Brazil, and 2.1% in Russia.
·
The number of vertical online stores has grown by 35% in
the textiles industry, by 39% in the Automotive industry, by 32% in the
hardware store sector, by 27% in the cosmetics sector, and by 16% in the
electronics industry in 2012. In the same year, the growth rate of e-commerce
in these sectors ranged from 32% (automotive) to 53% (hardware stores).
·
91% of people already buying online view e-commerce as
safe, while 84% of those not buying online see e-commerce as risky.
·
In 2013, while 68% of customers in Turkey purchasing
items online have preferred using credit cards, 15% have used payments through
bank transfer, 12% paid at the door, 3% used mobile payments and 2% paid
through mail orders.
·
In 2013, 20% of online credit card payments were made for
services, 17% for airlines, 17% electronics, 14% travel, 13% for
telecommunications, 3% supermarket and market purchases, 2% for clothes.
·
The sectors with the highest revenue generated from
online sales were Services (6,8 billion TRY), electronics (5,9 bn TRY),
Airlines (5,7 bn TRY), Travel (5,6 bn TRY), and Telecoms (4,4 bn TRY).
·
Around 78% of online customers using credit card payments
preferred single installment payments as opposed to multiple installments.
·
In the first 10 months of 2013, 47% of male internet
users and 36% of female users had purchased items online. These figures were
31% of males and 23% of females for individuals aged between 18-24, 54% of
males and 40% of females for ages 25-34, 54% of males and 43% of females for
ages 35-44, 46% of males and 50% of females for ages 45-54, 38% of males and
21% of females for ages above 55.
Below is infographics [12]
and report about Ecommerce by Association of e-commerce retailers, ETID[13]:
·
Online retail in Turkey is expected to see an annual
growth of 15.8 per cent in constant value terms by 2017, 107 per cent in total,
reaching a market value of $6.6 billion, according to global market research
company Euromonitor International. On-going technological development, Turkey’s
growing population and a sustainable rise in online shopping is expected to
continue to support the rapid expansion of Turkey’s e-commerce sector.
·
The research company estimates Internet usage to rise
27.5 per cent between 2012 and 2017, driving e-commerce. The market penetration
of smartphones is expected to increase by 124.4 per cent between 2012 and 2017.
·
There are currently around 40 million Internet users in
Turkey (53% of the population), which in the European ranking of countries with
the highest number of internet users puts Turkey in 5th place, just after
Germany, Russia, the UK and France. Half of the population is under 30 years
old and actively use social networks (Turkey has close to 33 million Facebook
users, ranking six in the world). That, along with an enthusiastic fervour for
business enterprise, makes Turkey the ideal country to promote e-commerce. In
2012 total B2C e-sales has reached €5.4 billion, over 50 per cent up against
2011
·
The Turkish youth population is increasingly
technologically literate and urbanised, having grown in the Internet age and in
cities, unlike their fathers. This trend is exacerbated by Turkey’s growing
wealth, allowing more people to by luxury goods, such as smart phones and PCs.
With the expansion of Turkey’s GDP per capita by over ten per cent in real
terms between 2007 and 2012, the future looks bright for Turkish e-commerce.
Below is the infographics about Market attractiveness of Turkey,
considering eCommerce. Some sources[14]
used to gather data are Euromonitor, Internation Telecommunication Union,
Planet Retail, World Bank, A. T. Kearney analysis and Kleiner Perkins trends: 
Below is the table based on A. T. Kearney’s 2013 Global Retail Ecommerce
Index Ranking by Online market attractiveness score[15].
Turkey drops from 9th (see above infographics, which is 2012 data) place to
22nd in one year. However, Turkey is just 2 pts lesser than 15th ranked Italy.
Below are the charts [16]
about credit, debit cards, POS terminals and ATM numbers and Turkey’s regional
ranking:
Below is the infographics[17]
about how mobile and banks effect consumer behavior:
The table[18] below
shows social penetration based on active users of the largest active social
network in each country:
Below is the table that depicts social penetration by country based on a
global web index survey of each country’s internet users[19]:
This statistic[20]
presents the social network penetration in Turkey as of fourth quarter 2014.
The most popular social network was Facebook with a 26 percent penetration
rate. Overall, 52 percent of the population were active social media users:
In infographics[21]
below, Turkey’s ecommerce users and their spending is depicted:
The Chart below shows of online & total retail volume by Country in bln
TRY[22]:
The Chart below shows of the share of online to total retail by Country[23]:
Below is Top 10 Related Searches in All Categories in Turkey for past 12
months.[24]
As you see, sahibinden.com ranks 4th, which good indicator of online
transactions. Sahibinden.com is an online C2C classifieds and shopping platform[25]:
Chart below shows Top 10 searches in Advertising & Marketing category
in Turkey for past 12 months[26].
The words in brackets are translations of the related words. Fun fact: Turkish
people are crazy when it comes to buying mobile phone. To prevent huge import
of mobile phones, government introduced high taxes on import ones and supported
local companies to produce its local mobile phones.[27]
Graph below indicates Web search Interest over time in Advertising &
Marketing category in Turkey for past 12 months.[28]
The chart below displays Rising searches in Advertising & Marketing
category in Turkey for past 12 months.[29]
Words in brackets are translations or explanations of the queries.
Chart below shows Top 10 related searches in Retail Trade category in
Turkey for past 12 months.[30]
(fyi[31]:
translation)
Graph below is Search Interest over time in Retail Trade category in Turkey
for past 12 months.[32]
Table below is Rising search queries in Retail Trade category in Turkey for
past 12 months.[33] (fyi:
translation)
Below is Top 10 related searches in Shopping category in Turkey for past 12
months.[34]
(fyi: translation)
Graph below depicts Search Interest in Shopping category in Turkey for past
12 months.[35]
Table below is Rising searches in Shopping category in Turkey for past 12
months.[36]
(fyi: interpretation)
List shows Top 25 websites in Turkey.[37]
There are 3 ecommerce platforms among them.
|
1 |
Google.com.tr |
|
|
2 |
Facebook.com |
|
|
3 |
Google.com |
|
|
4 |
Youtube.com |
|
|
5 |
Twitter.com |
|
|
6 |
Sahibinden.com |
Online
classifieds & ecommerce platform |
|
7 |
Milliyet.com.tr |
News |
|
8 |
Eksisozluk.com |
Mix of
urbandictionary and facebook |
|
9 |
Onedio.com |
Content provider |
|
10 |
Hurriyet.com.tr |
News |
|
11 |
Haber7.com |
News |
|
12 |
Live.com |
|
|
13 |
Yandex.com.tr |
|
|
14 |
Mynet.com |
|
|
15 |
R10.net |
Webmaster forum |
|
16 |
Ensonhaber.com |
News |
|
17 |
Instagram.com |
|
|
18 |
Haberturk.com |
News |
|
19 |
Wikipedia.org |
|
|
20 |
T.co |
|
|
21 |
Gittigidiyor.com |
Ecommerce |
|
22 |
Blogspot.com.tr |
|
|
23 |
Sozcu.com.tr |
News |
|
24 |
Yenisafak.com |
News |
|
25 |
N11.com |
Ecommerce |
Some stats[38]
indicate Turkey is strong player in shopping business:
·
Sales in 2013 were around 40% higher than the previous
year, with growth rates close to this number expected for the next three years.
·
M-Commerce has a high growth potential in Turkey, with
smartphone penetration of almost one-third on the total population in 2013 and
increasing every year. In the 18-24 year-old group, the smartphone penetration
rate is over 50%. Around a quarter of online shoppers use mobile devices to
make purchases over the Internet.
·
Consumer Electronics and Appliances was the largest B2C
e-commerce physical product category in Turkey in terms of sales, while apparel
has the highest reach of online shoppers, especially female.
·
The largest player on the Turkish B2C e-commerce market
was online mass merchant Hepsiburada.com with a high one-digit market share. In
2013, its sales were growing by +50% compared to 2012. Other players, such as
store-based and online retailer of electronics, Teknosa, and private shopping
club, Markafoni.com, also saw their sales increase significantly, while local
online food delivery company, Yemeksepeti, expanded to the Middle East under
the Foodonclick brand.
·
The two most visited e-commerce websites were automobile
classifieds, the online marketplace, Sahibinden.com, and B2C/C2C auction and
marketplace, Gittigidiyor.com. Private shopping clubs, Trendyol.com and
Markafoni.com, followed, with three online mass merchants Hepsiburada.com,
Limango.com.tr and Morhipo.com ranking behind them.
Why Turkey:
·
56.8 million credit cards and 100.2 million bank cards
are being used in Turkey, which carries Turkey to 2nd tier in Europe in the
number of credit cards and to 1st tier in bank cards.[39]
·
Online payments by credit cards exceeded TRY 34.6 billion
in 2013. [40]
·
6% of online shoppers used their mobile devices for
online shopping in 2014, which takes Turkey to 3rd place in use of mobile
devices. [41]
·
Turkish e-commerce market grew by 35.5% since 2008 and
the market volume reached approximately TRY 14 billion in 2013. If rise is
preserved, the market is expected to grow by 15.8% at the end of 2017.[42]
Ecommerce models in Turkey:
·
The most commonly used models in the e-commerce market
are "B2C" and "C2C" (i.e. Consumer to Consumer).
·
70% of the total domestic internet economy is based on
consumption.[43]
·
Markafoni, Morhipo and Trendyol have particularly
contributed to the increase of female online shoppers.
·
In 2012, the total disbursements in B2C model e-commerce
operations reached TRY 15.3 billion, corresponding to 51% of the total online
disbursements.
·
Travelling and plane ticket purchases constitute 25% of
total online shopping disbursements. This is followed by insurance, consumer
products, telecommunication and direct marketing.[44]
·
Lack of
o trust in
e-commerce;
o labor force;
o financial
resources;
o technical
infrastructure;
o know-how
o and high
application expenses
prevent B2B e-commerce from becoming widespread
among small and medium sized enterprises.[45]
Table below
shows single card usage in online payment by industries in Turkey.[46]
Pie below shows
shares single card online payments by Industries in Turkey, 2013.[47]
Chart below
shows Share of Endorsements in online payments by Sectors, Turkey 2013.[48]
Chart below
shows Occurrence Frequency of Card payments online, Turkey 2013. [49]
Chart below
shows users’ choice of installments in credit card transactions, Turkey 2013.[50]
Table below
shows Online Shopping rate of Genders based on their Age ranges, Turkey 2013.[51]
Pie shows
Distribution of Online Transactions by Days of the Week, Turkey 2013: [52]
Infographics
below show some facts about Turkish shopper:[53]
Infographics
below show Most Sought & Sold Categories in Turkey:[54]
Infographic
below shows e-comm Market size of Turkey, excluding VAT.[55]
Categories of
E-commerce Market:[56]
Infographics of
e-comm market size, Turkey 2014:[57]
Table below
shows top ecommerce sites and their user interaction in Turkey.[58]
Thanks for your
time.
g*** (at) y*** (dot) com
[1] http://www.internetlivestats.com/internet-users/turkey/
https://en.wikipedia.org/wiki/List_of_countries_by_number_of_Internet_users
[4] Global and Turkish E-Commerce Market, Türkiye
İş Bankası, April 2013.
[14] Euromonitor, http://www.internetworldstats.com/ , International telecommunication union http://www.itu.int/en/Pages/default.aspx , Planet Retail, World Bank, World Economic
Forum, http://bkm.com.tr/ , http://www.slideshare.net/kleinerperkins/kpcb-internet-trends-2012
[15] https://www.atkearney.com.tr/documents/10192/3609951/FG-Online-Retail-Is-Front-and-Center-in-the-Quest-for-Growth-1-intro.jpg/930da3ab-665d-466c-8621-c4db529d8864?t=1385161041570
[16] ECB and BKM Online Strategy & Economic Analysis Unit –
(Turkey), Finarket.ru – (Russia), IFC Mobile Money Scobing – Country Report
2011: Brazil, Reserve Bank of India, http://www.gaoresearch.com/POS/pos.php
, http://www.census.gov/compendia/statab/2012/tables/12s1187.pdf
[17] Evolution of M-Commerce – Fatih Isbecer, http://www.slideshare.net/themobilike/mobilike-madreport-q3
[18] US Census Bureau,
Tencent, Facebook, wearesocial.sg
[19] US Census Bureau, GlobalWebIndex Wave 11, wearesocial.sg
[21] http://www.itu.int/ITU-D/ict/newslog/CategoryView,category,e-shopping.aspx
, http://mashable.com/2011/02/28/forrester-online-sales-europe/#_pwen9Pj2skj
, http://www.tuik.gov.tr/Start.do
, http://www.iabeurope.eu/news , http://www.internetworldstats.com/
[22] Deloitte Turkey retail sector update 2012, Euromonitor: Turkey’s
ecommerce sector boosted by economic growth and young populace 2012, Mashable
ecommerce 327 bln 2016 study 2012, ons.gov.uk, Yandex Business Development
slide about ecommerce in Jan 2013, thomaswhite.com BRIC spotlight Brazil
retail, shop.org Brazil and China emerging online retail powerhouses 2012,
business-standard.com Indian retail sector outlook in 2012
[23] Deloitte Turkey retail sector update 2012, Euromonitor: Turkey’s
ecommerce sector boosted by economic growth and young populace 2012, Mashable
ecommerce 327 bln 2016 study 2012, ons.gov.uk, Yandex Business Development
slide about ecommerce in Jan 2013, thomaswhite.com BRIC spotlight Brazil
retail, shop.org Brazil and China emerging online retail powerhouses 2012,
business-standard.com Indian retail sector outlook in 2012
[26] https://www.google.com/trends/explore#cat=0-12-25&geo=TR&date=today%2012-m&cmpt=q&tz=Etc%2FGMT-3
[27] http://www.gsma.com/publicpolicy/wp-content/uploads/2012/05/Mobile_telephony_taxation_Turkey_report_eng.pdf
, http://www.webtekno.com/internet/ithal-telefonlara-ek-vergi-geliyor-h4410.html
[28] https://www.google.com/trends/explore#cat=0-12-25&geo=TR&date=today%2012-m&cmpt=q&tz=Etc%2FGMT-3
[29] https://www.google.com/trends/explore#cat=0-12-25&geo=TR&date=today%2012-m&cmpt=q&tz=Etc%2FGMT-3
[30] https://www.google.com/trends/explore#cat=0-12-841&geo=TR&date=today%2012-m&cmpt=q&tz=Etc%2FGMT-3
[32] https://www.google.com/trends/explore#cat=0-12-841&geo=TR&date=today%2012-m&cmpt=q&tz=Etc%2FGMT-3
[33] https://www.google.com/trends/explore#cat=0-12-841&geo=TR&date=today%2012-m&cmpt=q&tz=Etc%2FGMT-3
[39] Digital Bosphorus: The State of Turkish
E-Commerce, Sina Afra, 2013.
[41] Soner Canko, general director of BKM, Turkish Interbank Card Center
[42] Focus of Digital Market: E-Commerce (Dijital Pazarın Odak Noktası:
E-Ticaret). Turkish Industry and Business Association (TÜSİAD). Sina Afra,
TÜSİAD, June 2014.
[43] Türkiye İş Bankası, April 2013.
[46] Soner Canko, general director of BKM, Turkish Interbank Card Center.
Webrazzi ecommerce 2014 conference presentation.
[47] Soner Canko, general director of BKM, Turkish Interbank Card
Center. Webrazzi ecommerce 2014 conference presentation.
[48] Soner Canko, general director of BKM, Turkish Interbank Card
Center. Webrazzi ecommerce 2014 conference presentation.
[49] Soner Canko, general director of BKM, Turkish Interbank Card
Center. Webrazzi ecommerce 2014 conference presentation.
[50] Soner Canko, general director of BKM, Turkish Interbank Card
Center. Webrazzi ecommerce 2014 conference presentation.
[51] Soner Canko, general director of BKM, Turkish Interbank Card
Center. Webrazzi ecommerce 2014 conference presentation.
[52] Soner Canko, general director of BKM, Turkish Interbank Card
Center. Webrazzi ecommerce 2014 conference presentation.
[53] 2012, İpsos – KMG Guide
to understanding Turkey.
[54] ETID, Association of
Ecommerce Retailers of Turkey. Presented at E-World conference in Barcelona,
2012.
[55] TUBİSAD, Association of
Informatics Operators of Turkey, 2013 report in partnering with Deloitte,
comScore & ETID.
[56] TUBİSAD, Association of Informatics Operators of Turkey, 2013
report in partnering with Deloitte, comScore & ETID.
[57] TUBİSAD, Association of Informatics Operators of Turkey, 2013
report in partnering with Deloitte, comScore & ETID.
[58] IAB Internet
computational research Gemius, Jul 2013, connectedvivaki.com
