A recent study revealed that 10% of every euro spent in Finnish online shopping goes to China, as domestic e-commerce grows at a faster pace than foreign alternatives.
The latest report from the Finnish Commerce Federation indicates that while domestic e-commerce in Finland grew slightly faster than international online shopping last year, online purchases from China continued to surge. Currently, 10% of every euro spent online in Finland ends up in Chinese e-commerce platforms, illustrating the significant impact of China's digital retail sector on Finnish consumers. The study highlighted that Finnish shoppers primarily buy home appliances, fashion, and cosmetic and health products online, with food and beverages emerging as the fourth largest product category, sourced both locally and internationally.
Despite the increasing share of purchases coming from Chinese online sellers, the average transaction value for items procured from China has halved over the last two years. However, the total value of purchases has seen a striking sevenfold increase during the same period, indicating a growing consumer trust and reliance on these platforms. Notably, the Chinese giant Temu has rapidly ascended to become the seventh most popular online shopping site in Finland in terms of traffic.
While the report underscores the challenges posed by international competition, it also reveals that domestic e-commerce is adapting well. Among the top ten most visited online stores, eight are Finnish, suggesting that local businesses are effectively competing with foreign rivals. This shows a promise for the local e-commerce market as it continues to establish its ground against the influx of international sellers, particularly those from China.
