eCommerce market in Israel
Israel is the 40th largest market for eCommerce with a predicted revenue of US$7,547.0 million by 2023, placing it ahead of Egypt. Revenue is expected to show a compound annual growth rate (CAGR 2023-2027) of 11.9%, resulting in a projected market volume of US$11,827.4 million by 2027. With an expected increase of 16.3% in 2023, the Israeli eCommerce market contributed to the worldwide growth rate of 17.0% in 2023. Like in Israel, global eCommerce sales are expected to increase over the next years. Five markets are considered by ecommerceDB within the Israeli eCommerce market. Fashion is the largest market and accounts for 25.1% of the Israeli eCommerce revenue. It is followed by Food & Personal Care with 23.2%, Electronics & Media with 21.6%, Toys, Hobby & DIY with 16.3%, and Furniture & Appliances with the remaining 13.9%.
Market development
eCommerce revenue development in Israel
Israel is the 40th largest market for eCommerce with a predicted revenue of US$7,547.0 million by 2023, placing it ahead of Egypt. Revenue is expected to show a compound annual growth rate (CAGR 2023-2027) of 11.9%, resulting in a projected market volume of US$11,827.4 million by 2027. With an expected increase of 16.3% in 2023, the Israeli eCommerce market contributed to the worldwide growth rate of 17.0% in 2023. Like in Israel, global eCommerce sales are expected to increase over the next years. Five markets are considered by ecommerceDB within the Israeli eCommerce market. Fashion is the largest market and accounts for 25.1% of the Israeli eCommerce revenue. It is followed by Food & Personal Care with 23.2%, Electronics & Media with 21.6%, Toys, Hobby & DIY with 16.3%, and Furniture & Appliances with the remaining 13.9%.
eCommerce revenue development in Israel
Note: Data shown is using current exchange rates and reflects market impacts of the Russia-Ukraine war
Source: Statista Market Insights, ecommerceDB
| 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | 2027 | |
|---|---|---|---|---|---|---|---|---|
| Revenue (in mUS$) | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 |
| Growth (in %) | 59.2 | 78.5 | 32.3 | 24.6 | 55.7 | 12.1 | 12.6 | 75.2 |
| AOV (in US$) | 13.4 | 32.7 | 13.6 | 2.7 | 61.4 | 60.7 | 95.5 | 36.8 |
| CVR (in %) | 59.2 | 78.5 | 32.3 | 24.6 | 55.7 | 12.1 | 12.6 | 75.2 |
Top stores
Top five online stores in Israel by net sales 2021
The biggest player in the Israeli eCommerce market is shufersal.co.il. The store had a revenue of US$911.9 million in 2021. shufersal.co.il is followed by next.co.il and amazon.com as the second- and third-largest stores with US$176.2 million and US$139.4 million, respectively. Altogether, the top three stores account for 48.1% of the top 100 online stores' revenue in Israel. Store rankings include every store that generates revenue in Israel. These stores can either have a national focus and only sell in their main country or operate on a global scale. For this evaluation, only revenue created in Israel was considered.
eCommerce net sales generated in Israel in 2021
Note: First party net sales generated after deduction of returns, allowances for damaged or missing goods and any discounts allowed
Source: Annual report, secondary sources, ecommerceDB analysis
| no-access-0 | no-access-1 | no-access-2 | no-access-3 | no-access-4 | |
|---|---|---|---|---|---|
| Filtered revenue (in mUS$) | 900.0 | 550.0 | 470.0 | 430.0 | 370.0 |
| Share of global revenue (in %) | 20.7 | 12.0 | 3.9 | 20.6 | 20.7 |
| Global revenue (in mUS$) | 8,300.0 | 4,600.0 | 1,190.0 | 2,122.0 | 1,814.0 |
| Growth global revenue (in %) | 8.3 | 12.4 | 33.6 | 18.0 | 12.6 |
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