eCommerce market in Canada

Canada is the 11th largest market for eCommerce with a predicted revenue of US$68,383.1 million by 2025, placing it ahead of Mexico. Revenue is expected to show a compound annual growth rate (CAGR 2025-2029) of 6.4%, resulting in a projected market volume of US$87,480.5 million by 2029. With an expected increase of 8.2% in 2025, the Canadian eCommerce market contributed to the worldwide growth rate of 9.8% in 2025. Like in Canada, global eCommerce sales are expected to increase over the next years. Seven markets are considered by ECDB within the Canadian eCommerce market. Fashion is the largest market and accounts for 23.3% of the Canadian eCommerce revenue. It is followed by Hobby & Leisure with 20.7%, Electronics with 20.6%, Furniture & Homeware with 10.5%, DIY with 9.8%, Care Products with 9.4%, and Grocery with the remaining 5.6%.

The online share refers to the proportion of the retail volume that is transacted via the Internet. It includes purchases via desktop PC, tablet or smartphone, both via website or app. Only retail of physical goods is taken into account. In the Canadian retail market, the online share is 17.3% and will increase by an average of 7.9% to 23.4% by 2029.

The biggest player in the Canadian eCommerce market is amazon.ca. The store had a revenue of US$12,887.6 million in 2024. Store rankings include every store that generates revenue in Canada. These stores can either have a national focus and only sell in their main country or operate on a global scale. For this evaluation, only revenue created in Canada was considered.

With 92.8% Mastercard the most commonly offered payment method of all online stores in the Canadian eCommerce market in 2024. Like Mastercard VISA with a penetration of 92.5%, American Express with a share of 70.4%, and Discover with a share of 32.5% the payment type Cards is the most common used by online retailers in in the Canadian eCommerce market in 2024. With a share 61.1% PayPal is the most common used payment method offered to the clients of type E-wallets.

Despite Canada Post's dominant position with 75.4% of online stores opting for its services, the Canadian eCommerce market in 2024 remains diverse and competitive. Several other shipping service providers, including FedEx, UPS (United Parcel Service), Purolator, and Canpar, hold smaller but significant shares, contributing to a dynamic and fragmented market.

In the Canadian eCommerce market in 2024, Shopify is the leading shop software solution, used by over 33.0% of online retailers. Magento comes in second, but with a much lower usage rate of 9.2%. Meanwhile, Salesforce Commerce Cloud, WooCommerce, and BigCommerce are used by a relatively small number of online retailers.