eCommerce market in Ethiopia

Ethiopia is the 81st largest market for eCommerce with a predicted revenue of US$1,284.6 million by 2023, placing it ahead of Cuba. Revenue is expected to show a compound annual growth rate (CAGR 2023-2027) of 18.6%, resulting in a projected market volume of US$2,544.6 million by 2027. With an expected increase of 26.5% in 2023, the Ethiopian eCommerce market contributed to the worldwide growth rate of 17.0% in 2023. Like in Ethiopia, global eCommerce sales are expected to increase over the next years. Five markets are considered by ecommerceDB within the Ethiopian eCommerce market. Food & Personal Care is the largest market and accounts for 32.9% of the Ethiopian eCommerce revenue. It is followed by Electronics & Media with 29.3%, Fashion with 18.9%, Furniture & Appliances with 12.5%, and Toys, Hobby & DIY with the remaining 6.3%.

Market development

eCommerce revenue development in Ethiopia

Ethiopia is the 81st largest market for eCommerce with a predicted revenue of US$1,284.6 million by 2023, placing it ahead of Cuba. Revenue is expected to show a compound annual growth rate (CAGR 2023-2027) of 18.6%, resulting in a projected market volume of US$2,544.6 million by 2027. With an expected increase of 26.5% in 2023, the Ethiopian eCommerce market contributed to the worldwide growth rate of 17.0% in 2023. Like in Ethiopia, global eCommerce sales are expected to increase over the next years. Five markets are considered by ecommerceDB within the Ethiopian eCommerce market. Food & Personal Care is the largest market and accounts for 32.9% of the Ethiopian eCommerce revenue. It is followed by Electronics & Media with 29.3%, Fashion with 18.9%, Furniture & Appliances with 12.5%, and Toys, Hobby & DIY with the remaining 6.3%.

eCommerce revenue development in Ethiopia

in million US$, in %

Note: Data shown is using current exchange rates and reflects market impacts of the Russia-Ukraine war

Source: Statista Market Insights, ecommerceDB

2020 2021 2022 2023 2024 2025 2026 2027
Revenue (in mUS$) 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Growth (in %) 69.5 40.3 50.8 46.8 44.6 13.1 41.7 85.5
AOV (in US$) 94.7 38.6 25.4 51.7 85.3 46.9 51.5 66.1
CVR (in %) 69.5 40.3 50.8 46.8 44.6 13.1 41.7 85.5
AOV: Average Order Value CVR: Conversion Rate