E-commerce in Canada - statistics & facts
Despite the rise of e-commerce worldwide, initially, Canadian businesses were relatively slow to shift towards digital sales and invest in a steadfast online presence. This gap was utilized by major U.S. players to step in and establish their brands in the neighboring market. In 2023, the six of ten of the leading online stores in Canada were headquartered in the United States.
When asked about their shopping behavior in a 2023 survey, while the majority of Canadian shoppers have a preference for traditional brick-and-mortar shopping, those that preferred online to in-person purchases enjoyed what ease and convenience online shopping tends to offer. Up to six in ten of these shoppers also liked buying online from domestic businesses, putting in grassroot efforts to continue growing Canada’s economy.
While progress in Canada’s e-commerce industry initially had a slow start, new innovations and trends continue to make e-commerce more accessible. Market forecasts suggest that the sector is set to grow significantly in coming years, and as more Canadian retailers and consumers explore and utilize the benefits of e-commerce, these forecasts are likely to come to fruition.
Picking up the pace
However, by 2029 Canada’s e-commerce market is forecast to nearly double when it comes to revenue, reaching over 104 billion U.S. dollars by that year. On average, Canada’s e-commerce retail sales consistently exceed 3 billion Canadian dollars each month – significant growth since the one billion average recorded throughout 2017. This consistent growth is supported by Canada’s sizeable digital population, where among the 93 percent of internet users in 2023, over 21 million were e-commerce users.When asked about their shopping behavior in a 2023 survey, while the majority of Canadian shoppers have a preference for traditional brick-and-mortar shopping, those that preferred online to in-person purchases enjoyed what ease and convenience online shopping tends to offer. Up to six in ten of these shoppers also liked buying online from domestic businesses, putting in grassroot efforts to continue growing Canada’s economy.
What do Canadians buy online?
Of the leading e-commerce categories in Canada, two stand out above the rest: electronics and fashion. These two segments generate the most e-commerce retail sales, with electronics accounting for 18 percent and fashion, 21 percent. As of 2024, clothing and shoes were the most purchased category online among Canadian digital buyers.While progress in Canada’s e-commerce industry initially had a slow start, new innovations and trends continue to make e-commerce more accessible. Market forecasts suggest that the sector is set to grow significantly in coming years, and as more Canadian retailers and consumers explore and utilize the benefits of e-commerce, these forecasts are likely to come to fruition.
