North Macedonia E-commerce Market Size

North Macedonia E-commerce Market Analysis

The North Macedonia e-commerce market is witnessing a growth rate of 16% over the forecast period from 2022 to 2027. North Macedonia's eCommerce market is expanding, but it remains small regarding local businesses selling and consumers shopping online. Most E-commerce sales in North Macedonia originate from AliExpress and other foreign websites, particularly from the United Kingdom, Luxembourg, Hungary, the United States, and Ireland. The majority of orders were for consumer goods like clothing and sports equipment. Consumers are price-sensitive, and the price is often the deciding factor in purchasing decisions.

• In North Macedonia, many domestic buyers lack digital literacy and buy inexpensive knockoffs online, assuming they are authentic. The Customs Administration of North Macedonia is aware of the risk of infringement of intellectual property rights (IPR) in eCommerce. The Customs Administration inspects packages from foreign online retailers and holds IPR infringing goods.
• Additionally, North Macedonia does not have complete access to cutting-edge payment technologies, particularly for mobile commerce. Several major e-commerce platforms, including Amazon and e-Bay, have barred or restricted purchases originating in North Macedonia. PayPal can only be used to send money in North Macedonia.
• North Macedonia is no exception to e-rapid commerce's growth, which the COVID-19 pandemic has accelerated. According to the Association for E-Annual commerce's Report for North Macedonia for 2020, the value of online transactions increased by 56% in 2020 compared to 2017. According to the same report, the number of internet selling points (or "e-selling points") in North Macedonia expanded to 1,342 in September 2020, up from only 342 in 2018.
• Moreover, the expanding importance of the e-commerce market has prompted several initiatives by various authorities and organizations, such as the recently launched platform "Ecommerce4all," which is co-funded by the United States Agency for International Development ("USAID"). This platform featured, among other things, the creation of a free instructional web platform that compiles all of the material needed to start and run an e-business.
• Additionally, the e-commerce association of North Macedonia said that, with the help of the German development agency Deutsche Gesellschaft für Internationale Zusammenarbeit GmbH, it would build a regional portal for e-commerce information in the Central European Free Trade Agreement (CEFTA) countries (GIZ). The regional platform will be a rollout of an e-commerce platform launched in 2020 for the North Macedonian market to other CEFTA nations.
• The Covid-19 pandemic has accelerated the country's studied market growth. According to a survey carried out by the Macedonian E-commerce Association in its Ecommerce Analysis Report, 37% of shoppers have increased their online purchases since the start of the pandemic. Further, around 20% of the respondents have started using e-government services for the first time. The country is characterized by increasing interest in online channels of shopping.