The Hungarian ecommerce market is still growing, and it was not different in 2018, which is confirmed by the fact that Hungary is a country where it is worth to expand as soon as possible!
17% year-on-year increase
GKI Digital, in collaboration with the price comparator Árukereső, published 2018 results, up to 3200 Hungarian online stores were involved in the survey and, according to the survey, they generated a turnover of 201 billion forints in 2018 - a 17% increase and it represents a 4.5% of total retail sales in Hungary.
The growth of online sales depends mainly on the size of average basket values and ordering frequency.
Hungarians buy more often
Thanks to the growth of the economy in Hungary, the frequency of purchases and the value of orders increased, with over 11,000 forints last year, which is approximately 35 euros.
As the growth in average spending in the unchanged product portfolio is strongly linked to the rate of inflation, in the current low-inflation environment, the greatest potential for online sales growth is to increase order frequency, although with less value in the basket. In 2018, annual online purchases per capita amounted to 12, an increase of 7% over 2017, with an average annual spending of 133,000 Forints - 420 Euros.
Strengthening delivery to the home, reducing the impact of delivery points
Hungarians still love deliveries to home - they chose this method for 52% of online transactions. Especially thanks to the experience of previous years, this method of delivery is more reliable and controllable from the customer's point of view, no longer have to wait whole day for the courier and can also contact him directly on the phone number for any questions.
On the contrary, the popularity of colletion points in Hungary has dropped from 19% to 17%.
Different populat methods of delivery
For the third consecutive year, Foxpost has received the best ratings from online store owners. Self-service packet services are clearly better, more modern, faster than in newspaper stands, petrol stations, post offices and other retail points, as is the case with other delivery methods, but the disadvantage is that the coverage is still relatively small, with only 120 active points.
The big change did not occur at PickPack points, nor at the post offices of the Hungarian Post office - at the beginning they had a popular, innovative service and an unshakable position, but in 2018 their situation deteriorated, improvements are needed in particular to increase the speed of the process and facilitate the takeover of packages by customers.
The FMCG (Fast Moving Consuming Goods) sector can bring new wind to the online market
In 2018, the fastest growing FMCG (21%) on Hungarian ecommerce, with the largest segment being food sales. In 2018 there was intense competition between two online stores of hypermarket chains Tesco and Auchan. In addition to food, online competition is growing in the home and decor and medicines as well.
Black Friday 2017 vs 2018
In the last quarter of 2017, one fifth of online sales were made in one day, on Black Friday in Hungary. This figure rose to around one quarter in 2018. In particular, successful marketing campaigns, increased awareness of Black Friday and a well-established pricing strategy, respectively discounts on selected products, contributed to these results compared to competitors.
Árukereső - ideal partner for entering the Hungarian market
Árukereső is the most well-known and most visited Hungarian price comparator that has been on the market since 2004. You can find other most popular Hungarian price comparators in our article.
Practical article about the costs associated with the localization of an online shop and with the translation of texts on the website. You will gain important insight and valuable know-how that will help you decide how to tackle each item: whether to do it yourself or in cooperation with a specialist agency, or a combination of the two.
After reading the article, you will have a basic overview of the expenses that await you when analyzing the market and choosing an online web platform. You will gain the necessary know-how and insight to help you decide how to tackle each item: whether to do it yourself, with a specialist agency, or whether there is a happy medium.
It's safe to say we shouldn't underestimate the Hungarian e-commerce market. It has grown 2.5 times its size in the last 4 years alone.
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