Online retail surged at the onset of a pandemic, then sputtered
As COVID-19 spread in mid-March in Kazakhstan and citizens were confined to home, they turned to online shopping, a practice that had been slowly gaining traction in the Central Asian nation. However, as the economic impact of the shutdown increased and unemployment grew, the online shopping trend slowed, with more online shoppers responding that they shopped less in a survey cited in the report.
Clothing and food maintain a lead of products purchased online during the health crisis
In 2019, Kazakhstan consumers ordered clothing and sporting goods more than any other product category, followed by household appliances. The same category mix has persisted during the pandemic, except computers and mobile phones have moved ahead of appliances in the ranking, as workers attempt to establish home offices. The report also points to food delivery as a growing service category during the health crisis.
A local marketplace is the most popular destination for online shopping
A local website, Kaspi.kz is the leading destination for online shopping in Kazakhstan. That company’s website more than doubled the number of orders during the first few months of 2020, compared to 2019. Websites outside Kazakhstan are also popular with online shoppers, as about two-fifths of orders are going cross-border, particularly in neighboring Russia and China, according to the publication. While cash on delivery has been the leading method of payment for goods ordered online, by the end of 2019 credit or debit card payment equaled COD, and the coronavirus pandemic pushing the movement to cashless payments online goods and services in the first half of this year.
The report covers the impact of the coronavirus (COVID-19) pandemic on E-Commerce and online payments in Kazakhstan.
- The report starts with an overview, highlighting the overall impact of COVID-19 on E-Commerce development in the respective country.
- Next, the “Sales & Shares” section covers the development of E-Commerce prior to the outbreak.
- Afterwards, the section “Products & Verticals” shows the leading product categories purchased online before and during the pandemic and COVID-19’s impact on selected online verticals such as food delivery.
- The “Trends” section highlights online shopping trends, such as M-Commerce and cross-border.
- The next section, “Payment”, covers the payment methods most used by online shoppers before the outbreak, and the impact of the pandemic on online payment volume.
- The “Delivery” section provides information related to delivery in E-Commerce.
- Finally, the “Players” section includes information about the leading E-Commerce companies in the country and the impact of the Coronavirus.
Please note: For this report, the purchase of an Enterprise license allows up to ten worldwide users of an organization access to the report
1. Management Summary
- COVID-19’s Impact on B2C E-Commerce Market, July 2020
- Total E-Commerce Sales, in KZT billion, 2018 & 2019
- Breakdown of Total E-Commerce Sales, by Domestic and Cross-Border Imports, in %, 2019
- Domestic Retail E-Commerce Sales, in KZT million and Number of Orders, in millions, by Retail, Wholesale, and Services, 2016 & 2019
- B2C E-Commerce Share of Retail Sales, in %, 2018 & 2019
- Internet Penetration, in % of Households, 2015-2019
- Online Shopper Penetration, in % of Internet Users, 2019
- Number of Online Shoppers, in millions, 2018 & 2019
- Breakdown of Online Shoppers, by Total Online Spending, in %, 2018 & 2019
- Reasons for Not Shopping Online, in % of Internet Users Not Shopping Online, 2019
- Breakdown of Changes in Frequency of Shopping Online During COVID-19, March-May 2020
- Product Categories Purchased Online, in % of Online Shoppers, 2018 & 2019
- Breakdown of Domestic B2C E-Commerce Sales by Product Categories, in %, 2019
- Product Categories Purchased Online During COVID-19, in % of Online Shoppers, May 2020
- Breakdown of Changes in Frequency of Ordering Food Delivery During COVID-19, May 2020
- Location of Online Sellers Purchased From, in % of Online Shoppers, 2019
- B2C E-Commerce Imports From Russia To Kazakhstan, in USD million, 2018 & 2019e
- Mobile Shopper Penetration, in % of Online Shoppers, Compared to Global Average, 2019
- Payment Methods Used in E-Commerce, in % of Online Shoppers, 2018 & 2019
- Number of Payment Cards, by Cards in Circulation and Cards Used, by Local and International Cards, in thousands, May 2020
- Number of Online Transactions with Bank Cards, in thousands, Value, in KZT million, and Share of Total Bank Card Payments Number and Value, in %, 2019 & January-May 2019 & 2020
- Breakdown of E-Commerce Orders by Delivery Methods, in %, 2019
- Problems Encountered When Shopping Online, in % of Online Shoppers, 2019
- Top E-Commerce Websites Purchased From During COVID-19, in % of Online Shoppers, May 2020
- Value of E-Commerce Orders on Kaspi.kz, in KZT billion, and Number, in thousands, January-April 2019 & 2020
- Top 10 Product Categories by Growth in Number of E-Commerce Orders on Kaspi.kz, in %, January-April 2019 vs. January-April 2020
- Top Food Delivery Services Used During COVID-19, in % of Consumers Who Used Food Delivery Services, May 2020
- Overview of Top 30 E-Commerce Platforms, Ranked by 2018 Revenue, in USD million, incl. Year-on-Year Change, in %, Average Check, in USD, and Category, as of October 2019
- Number of Online Stores, in Units, 2017 - 2019
A selection of companies mentioned in this report includes:
- Air Astana JSC
- Alibaba Group Holding Ltd
- ChocoFamily Holding
- EVO Company
- Glovoapp23 SL
- Instagram Inc.
- Kaspi Bank AO
- Kaspi.KZ JSC
- MasterCard Inc.
- TOO Mechta Market
- Visa Inc.
- Wildberries OOO