Sector Trend Analysis – E-commerce market trends in France

Note: This report includes forecasting data that is based on baseline historical data.

Executive summary

France's economy showed resilience in 2023, with a gross domestic product (GDP) growth of 0.7%, despite high inflation and stringent financial conditions. Private spending and export surges were key contributors. The GDP per capita reached US$46,001, and public debt-to-GDP ratio fell to 110.1%. Economic growth is projected to rise to 0.9% in 2024, with inflation slowing to 2.5%. France's population is expected to grow to 66.8 million by 2040, with an increasing urban population and a significant proportion of elderly citizens influencing consumer trends (Euromonitor International, 2024).

From 2019 to 2023, France's retail e-commerce market grew from US$43.0 billion to US$53.5 billion, reflecting a 5.6% compound annual growth rate (CAGR). By 2028, it is projected to reach US$79.9 billion, with an 8.4% CAGR. E-commerce growth has outpaced offline retail, driven by increasing consumer preference for online shopping. Key trends in 2023 include the expansion of consumer foodservice e-commerce, substantial growth in mobility e-commerce (m-commerce), and the emergence of social commerce and livestreaming e-commerce. The 2024 Olympics are expected to further boost consumption, especially in mobility, travel, and food services. However, digital shopping growth may decelerate compared to post-pandemic levels as interest in physical retail resurges.

The retail sales data for food and drinks in France from 2019 to 2023 reveals a dynamic shift towards e-commerce, with overall sales in this channel growing significantly faster than offline sales across various categories. While offline sales of food and drinks increased at a CAGR of 3.3%, reaching US$135.3 billion by 2023, e-commerce sales surged with a robust 12.0% CAGR to $9.0 billion. This trend was consistent across categories like savoury snacks and plant-based dairy, where e-commerce showed particularly strong growth rates of 25.4% and 20.3% CAGR, respectively. The COVID-19 pandemic accelerated this shift in 2020, but even as markets stabilized, e-commerce continued its expansion.

The Canada-European Union Comprehensive Economic and Trade Agreement (CETA) provides Canadian exporters with preferential access to the EU market. Social media is highlighted as a crucial promotional channel for e-commerce, offering opportunities for Canadian agri-food exporters to strengthen their online presence and partnerships with French e-commerce retailers. Despite challenges, emphasizing the quality and distinctiveness of Canadian products can help maintain relevance in the French market.

 

Socioeconomic profile

Country economic profile

In 2023, France's GDP growth grew by 0.7%, compared to Western Europe's average of 0.8%, due to high inflation, stringent financial conditions, and sluggish public consumption. However, a rise in private spending and a surge in exports kept the economy afloat, with GDP per capita reaching US$46,001, surpassing the Western Europe average. Despite the slowdown, France's merchandise exports increased by 4.5% and imports fell by 4.6%, although the country remained a net importer. The public debt-to-GDP ratio fell to 110.1%, but remained above the Western Europe average. Looking ahead, France's economic growth is projected to increase in 2024, driven by a gradual increase in private spending and support from the Next Generation EU funds. Real GDP is expected to grow by 0.9% in 2024, with inflation slowing to 2.5% from 4.9% in 2023 but remaining above the 2% target, prolonging the tight monetary policy. Over the 2023-2028 forecast period, France's economy is predicted to expand at an average annual real rate of 1.4%, supported by planned grants from the Next Generation EU scheme amounting to EUR40.3 billion, enhancing public investment and economic expansion (Euromonitor International, 2024).

Demographics

France's population is projected to rise from 65.5 million in 2021 to 66.8 million by 2040, making it the fourth largest country in Western Europe due to positive net migration and natural change until 2030. By 2040, over 86% of the population will be urban, driving economic growth and spending on technology and digital solutions. The high standard of living and quality healthcare will increase life expectancy from 82.5 years in 2021 to 85.5 years in 2040, with citizens aged 65+ making up 27% of the population, influencing lifestyles and consumer trends. As more people move to cities for education and careers, the urban population share will rise to 86.2%, with major cities like Lyon and Montpellier experiencing significant growth. Paris will continue to attract both residents and immigrants, fostering large immigrant communities and creating a dynamic urban environment (Euromonitor International, 2024).

Consumer income and expenditures

In 2023, France ranked 11th among 17 Western European countries in average gross income, reaching US$43,764, with a 1.3% increase in per capita disposable income following a 0.5% decline in 2022. Despite easing inflation, it remains above target, affecting minimum wages and benefits. Projected to grow by 6.4% in real terms from 2023-2028, per capita disposable income is expected to outpace the Western European average, with the highest income earners aged 50-54 and the top-income band dominated by those aged 55-59. The middle class is set to expand, though income disparities persist. Consumer expenditure grew by 1.4% in 2023, driven by increased disposable income and lower inflation, though discretionary spending is projected to decline to 57% by 2028. From 2023 to 2028, France's consumer market is projected to grow by 6.4% in real terms, though per capita consumer expenditure is expected to increase more slowly than in other Western European countries (Euromonitor International, 2024).

Consumer lifestyles

In 2023, 71% of consumers expressed concern about the rising costs of everyday items, influenced by the ongoing geopolitical tensions. Political uncertainty, with half of the global population voting in 2024, also adds to economic concerns. Only 13% of respondents intend to increase spending in the next year, while 32% aim to save more, driven by inflationary pressures. Health concerns are prevalent, with 12% on diets, 46% seeking healthy ingredients, and 34% reducing meat consumption. Rising food prices have led 26% to seek low-cost products, and 86% cook at home weekly. Despite this, 14% regularly order home delivery, and 24% opt for takeaway or ready-made meals (Euromonitor International, 2024).

Global e-commerce market

From 2019 to 2023, the global retail e-commerce market grew from US$2,182.4 billion to US$3,985.9 billion, marking a 16.3% CAGR. It is projected to further expand to US$6,248.9 billion by 2028, with a CAGR of 9.4% from 2023 to 2028. China and the US lead the market with 2023 sales of US$1,330.9 billion and US$1,186.3 billion, respectively. As the 11th largest retail e-commerce market in the world, France's retail e-commerce market grew from US$43.0 billion in 2019 to US$53.5 billion in 2023, with a CAGR of 5.6%. It is projected to reach US$79.9 billion by 2028, reflecting an 8.4% CAGR from 2023 to 2028.

Top ten global retail e-commerce[1] markets: historic and forecast retail sales and growth, in US$ billions
Geography 2019 2023 CAGR* % 2019-2023 2024 2028 CAGR* % 2023-2028
World 2,182.4 3,985.9 16.3 4,381.8 6,248.9 9.4
China 717.0 1,330.9 16.7 1,482.9 2,139.5 10.0
US 641.4 1,186.3 16.6 1,289.5 1,779.7 8.5
UK 100.3 159.5 12.3 175.1 260.3 10.3
South Korea 93.9 151.8 12.8 168.8 218.9 7.6
Japan 114.8 126.6 2.5 129.8 172.5 6.4
Germany 71.9 95.9 7.5 98.5 117.9 4.2
Russia 29.4 90.8 32.5 98.0 126.3 6.8
India 30.2 63.0 20.2 78.9 155.5 19.8
Indonesia 17.8 60.4 35.7 72.4 131.0 16.8
Canada 26.0 55.1 20.7 57.2 76.8 6.9
France 43.0 53.5 5.6 57.7 79.9 8.4

Source: Euromonitor International, 2024

*CAGR: Compound Annual Growth Rate

1: The sale of consumer goods to the public via the internet, including purchases through mobile phones and tablets. Sales are attributed to the consumer's location, regardless of where payment occurs. This encompasses "click-and-collect" transactions but excludes C2C and B2B sales, motor vehicles, event tickets, travel packages, online gambling, returned products, and direct selling companies. Home shopping sales via mail order, TV shopping, and direct mail are also classified as retail e-commerce.

From 2019 to 2023, the European retail e-commerce market grew from US$401.1 billion to US$674.3 billion, marking a 13.9% CAGR. It is projected to further expand to US$964.2 billion by 2028, with a CAGR of 7.4% from 2023 to 2028. The UK leads the European market with 2023 sales of US$159.5 billion. As the fourth-largest retail e-commerce market in Europe, France's retail e-commerce market grew from US$43.0 billion in 2019 to US$53.5 billion in 2023, with a CAGR of 5.6%. It is projected to reach US$79.9 billion by 2028, reflecting an 8.4% CAGR from 2023 to 2028.

Top ten retail e-commerce[1] markets in Europe: historic and forecast retail sales and growth, in US$ billions
Geography 2019 2023 CAGR* % 2019-2023 2024 2028 CAGR* % 2023-2028
Europe 401.1 674.3 13.9 724.6 964.2 7.4
UK 100.3 159.5 12.3 175.1 260.3 10.3
Germany 71.9 95.9 7.5 98.5 117.9 4.2
Russia 29.4 90.8 32.5 98.0 126.3 6.8
France 43.0 53.5 5.6 57.7 79.9 8.4
Italy 21.6 35.6 13.4 38.1 52.9 8.2
Spain 14.6 30.9 20.5 33.7 47.2 8.9
Netherlands 17.1 27.2 12.4 28.8 36.0 5.7
Poland 13.1 26.1 18.9 29.0 37.7 7.6
Turkey 8.4 23.1 28.9 25.5 22.6 −0.4
Belgium 9.9 16.4 13.4 16.9 19.5 3.4

Source: Euromonitor International, 2024

*CAGR: Compound Annual Growth Rate

1: The sale of consumer goods to the public via the internet, including purchases through mobile phones and tablets. Sales are attributed to the consumer's location, regardless of where payment occurs. This encompasses "click-and-collect" transactions but excludes C2C and B2B sales, motor vehicles, event tickets, travel packages, online gambling, returned products, and direct selling companies. Home shopping sales via mail order, TV shopping, and direct mail are also classified as retail e-commerce.

E-commerce in France

In France, from 2019 to 2023, the retail offline sector grew steadily from US$ 452.4 billion to US$ 474.2 billion, reflecting a modest CAGR of 1.2%. In contrast, retail e-commerce experienced substantial growth, increasing from US$ 43.0 billion to US$ 53.5 billion over the same period, with a robust CAGR of 5.6%. This surge underscores a significant shift towards online shopping preferences among consumers. Looking ahead to 2028, offline retail sales are forecasted to reach US$ 536.4 billion, demonstrating an accelerated CAGR of 2.5%, indicating persistent consumer demand for in-store experiences. Meanwhile, e-commerce is projected to expand to US$ 79.9 billion by 2028, driven by an anticipated CAGR of 8.4%.

E-commerce and offline retail sales in France, historic and forecast, US$ billion, 2019 to 2028
Category 2019 2023 CAGR* % 2019-2023 2024 2028 CAGR* % 2023-2028
Retail Offline 452.4 474.2 1.2 488.4 536.4 2.5
Retail E-Commerce 43.0 53.5 5.6 57.7 79.9 8.4

Source: Euromonitor International, 2024

*CAGR: Compound Annual Growth Rate

Key trends

In 2023, e-commerce in France demonstrated resilience and expansion across diverse sectors. Retail e-commerce services experienced growth, while product sales remained steady amidst economic challenges. Consumer foodservice e-commerce expanded, driven by increased meal and grocery deliveries. Mobility e-commerce (m-commerce) saw substantial growth, paralleled by stable streaming services that integrated podcasts to attract users. Bill payments e-commerce encountered hurdles, yet initiatives were launched to stimulate growth. Personal computer (PC) usage remained consistent, while m-commerce expanded with rising smartphone adoption. Social commerce and livestreaming e-commerce emerged as promising areas. Looking ahead, French purchasing power is expected to be constrained by economic conditions, influencing product sales until a potential recovery later in the year. The upcoming 2024 Olympics are anticipated to boost consumption, particularly in mobility, travel, and food services. Digital shopping growth may decelerate compared to post-pandemic levels, with renewed interest in physical retail and personalized services. Click-and-collect models will remain popular for their logistical efficiencies. Emerging business models will face challenges in a competitive market but may find traction among younger demographics. Monitoring platforms like TikTok will be pivotal for navigating market trends. M-commerce is projected to sustain growth as businesses and banks optimize mobile platforms and payment solutions. Overall, digital shopping growth is expected to moderate until economic recovery, while service sectors should maintain steady expansion (Euromonitor International, 2024).

Device and platform

The PC segment remains robust in e-commerce, especially post-COVID-19, as consumers continue using PCs for product comparisons and reviews. However, the convenience of handheld devices, which enable shopping anytime and anywhere, has led to a decline in PC e-commerce in favor of m-commerce. M-commerce saw growth in 2023 due to high smartphone penetration, while tablet use declined despite steady usage. Apps enhance business operations by tracking data and improving the purchasing experience. Tablet users tend to overuse their devices compared to the more versatile usage patterns of PC and mobile users (Euromonitor International, 2024).

Fulfillment model

Delivery and click-and-collect are both widely embraced in store-based retailing, with preferences depending on the type of product. Companies like Fnac-Darty are particularly favored for their click-and-collect services, especially for appliances. However, challenges for these models include limited store hours for click-and-collect, long wait times, and damaged packaging for deliveries. In France, home delivery for meals is popular, especially in urban areas, as it offers convenience for busy lifestyles. Despite inflation, food delivery remains favored, with long wait times being the biggest challenge. In 2023, many consumers did not use foodservice e-commerce, with 42% not ordering takeaway, 46% not ordering delivery, and 46% not using third-party platforms. Those who did use third-party platforms cited experimenting with new restaurants (35%), available discounts (31%), and trust in the platform (31%) as their main reasons (Euromonitor International, 2024).

E-commerce market sizes

The retail sales data for food and drinks in France from 2019 to 2023 reveals a dynamic shift towards e-commerce, with overall sales in this channel growing significantly faster than offline sales across various categories. While offline sales of food and drinks increased at a CAGR of 3.3%, reaching US$135.3 billion by 2023, e-commerce sales surged with a robust 12.0% CAGR to $9.0 billion. This trend was consistent across categories like savoury snacks and plant-based dairy, where e-commerce showed particularly strong growth rates of 25.4% and 20.3% CAGR, respectively. The COVID-19 pandemic accelerated this shift in 2020, but even as markets stabilized, e-commerce continued its expansion.

Food and drink e-commerce has been a major growth driver in retail e-commerce, especially during 2020-2021, but 2023 saw a decline in drive/click-and-collect services. France leads globally in click-and-collect outlets, benefiting from increased adoption by older consumers and the rise of urban pedestrian "drive" outlets. However, with the shift in work patterns post-pandemic, in-store shopping has negatively impacted click-and-collect sales. Urban drive outlets now compete with home delivery services, which gained traction in 2021 due to lockdowns and new market entrants. Despite challenges for quick commerce (q-commerce) players, new competitors have emerged, offering rapid delivery services in urban areas (Euromonitor International, 2024).

Retail sales of food and drinks by channel in France, US$ billions, 2019 to 2023
Category Channel 2019 2020 2021 2022 2023 CAGR* % 2019-2023
Food and Drink Offline 118.7 124.7 130.8 123.1 135.3 3.3
E-Commerce 5.7 7.8 8.9 8.2 9.0 12.0
Alcoholic Drinks Offline 20.7 22.1 24.0 21.7 22.6 2.2
E-Commerce 1.5 1.9 2.2 1.8 1.9 5.9
Hot Drinks Offline 5.0 5.4 5.9 5.3 5.5 2.7
E-Commerce 0.4 0.6 0.7 0.6 0.7 12.1
Edible Oils Offline 1.1 1.2 1.2 1.2 1.3 5.3
E-Commerce 0.1 0.1 0.1 0.1 0.1 12.3
Meals and Soups Offline 5.7 5.8 5.8 5.4 6.0 1.1
E-Commerce 0.4 0.6 0.9 0.8 0.8 17.1
Sauces, Dips and Condiments Offline 2.9 3.2 3.4 3.2 3.5 4.8
E-Commerce 0.1 0.2 0.2 0.2 0.2 10.1
Sweet Spreads Offline 1.6 1.8 1.8 1.7 1.9 3.9
E-Commerce 0.1 0.1 0.1 0.1 0.1 5.3
Baby Food Offline 1.3 1.3 1.3 1.2 1.2 −0.7
E-Commerce 0.1 0.1 0.1 0.1 0.2 12.6
Dairy Offline 19.2 20.1 20.5 19.1 20.5 1.6
E-Commerce 0.8 1.3 1.5 1.4 1.6 17.6
Plant-based Dairy Offline 0.3 0.3 0.3 0.3 0.3 0.4
E-Commerce 0.0 0.0 0.0 0.0 0.0 20.3
Baked Goods Offline 15.9 16.2 17.4 16.8 20.3 6.2
E-Commerce 0.2 0.2 0.2 0.2 0.2 10.1
Breakfast Cereals Offline 0.7 0.8 0.8 0.8 0.8 3.1
E-Commerce 0.0 0.1 0.1 0.1 0.1 17.4
Processed Fruit and Vegetables Offline 3.4 3.8 3.8 3.7 4.0 4.0
E-Commerce 0.2 0.2 0.2 0.2 0.2 10.1
Processed Meat, Seafood and Alternatives to Meat Offline 14.2 15.4 15.8 15.2 16.8 4.3
E-Commerce 0.6 0.8 0.8 0.8 0.8 10.8
Rice, Pasta and Noodles Offline 2.0 2.3 2.3 2.4 2.7 7.9
E-Commerce 0.1 0.1 0.1 0.1 0.1 15.0
Confectionery Offline 6.6 6.7 7.2 6.7 7.4 2.9
E-Commerce 0.2 0.2 0.3 0.3 0.3 11.5
Ice Cream Offline 1.9 2.1 2.1 2.1 2.3 5.5
E-Commerce 0.1 0.1 0.1 0.1 0.1 8.6
Savoury Snacks Offline 3.1 3.3 3.6 3.5 4.0 6.4
E-Commerce 0.1 0.1 0.1 0.2 0.2 25.4
Sweet Biscuits, Snack Bars and Fruit Snacks Offline 3.1 3.2 3.4 3.2 3.6 3.7
E-Commerce 0.1 0.2 0.3 0.3 0.3 24.3
Soft Drinks Offline 9.8 9.7 10.2 9.7 10.4 1.6
E-Commerce 0.6 0.9 0.9 0.8 0.9 10.2

Source: Euromonitor International, 2024

*CAGR: Compound Annual Growth Rate

 

The foodservice e-commerce sector in France also experienced significant growth in 2023, particularly in meal and grocery delivery and click-and-collect services, with grocery retailers expanding their networks in rural areas. Despite a decline in the fast-delivery grocery model due to higher prices and system costs, grocery giants like Carrefour excelled in-home deliveries, and Amazon capitalized on its strong consumer base. Urban areas saw thriving meal delivery services supported by affluent consumers, leading to the rise of ghost restaurants, underscoring food delivery's growing popularity as a preferred consumption method in France (Euromonitor International, 2024).

Company shares

The top 15 e-commerce companies in France show diverse trends from 2019 to 2023. Amazon.com Inc maintained its lead, growing from 15.1% market share in 2019 to 19.2% in 2023, with a CAGR of 6.2%. E Leclerc also strengthened its position, rising from 8.7% to 11.1% over the same period, reflecting a CAGR of 6.3%. Conversely, Casino Guichard-Perrachon SA and Auchan Group SA experienced declines, with Casino's share dropping sharply by a CAGR of −12.7%. Meanwhile, ITM Entreprises SA and Adeo Groupe showed significant gains, with CAGRs of 16.0% and 15.8% respectively, indicating successful adaptation to the evolving e-commerce landscape in France. Overall, while Amazon and some major retailers expanded their market presence, others faced challenges, underscoring the competitive landscape and the varying strategies needed to thrive in France's evolving e-commerce sector.

In 2023, store-based players that had emphasized click-and-collect services encountered significant challenges, leading to sales declines for operators such as Galeries Lafayette, Boulanger, and Gemo. However, certain food e-commerce specialists, including E Leclerc Drive, Le Drive Intermarché, Carrefour Drive, Courses U Drive, and Auchan Drive, demonstrated resilience amidst the resurgence of supermarkets, hypermarkets, discounters, and variety stores (Euromonitor International, 2024).

Top-15 e-commerce company shares in France: historical retail sales, %, 2019 to 2023
Company name 2019 2020 2021 2022 2023 CAGR* % 2019-2023
Amazon.com Inc 15.1 15.3 16.8 18.7 19.2 6.2
E Leclerc 8.7 9.5 9.0 9.7 11.1 6.3
Casino Guichard-Perrachon SA 8.1 6.9 6.3 5.6 4.7 −12.7
Fnac Darty SA 4.7 4.7 4.3 4.2 4.2 −2.8
Vente-privee.com SAS 4.1 3.7 4.1 4.1 4.0 −0.6
Carrefour SA 3.1 3.2 2.8 3.1 3.4 2.3
Auchan Group SA 3.6 3.4 2.8 2.9 3.0 −4.5
ITM Entreprises SA 1.6 2.4 2.3 2.6 2.9 16.0
Galeries Lafayette SA 3.5 2.8 2.8 2.8 2.8 −5.4
Système U Centrale Nationale SA 1.6 1.9 1.9 2.1 2.3 9.5
LDLC Com SAS 2.1 2.4 2.4 2.3 2.2 1.2
Apple Inc 2.1 2.2 1.9 2.0 2.0 −1.2
Alibaba Group Holding Ltd 1.5 1.6 1.9 1.9 2.0 7.5
Nestlé SA 1.5 1.8 2.0 1.9 1.9 6.1
Adeo Groupe 1.0 1.1 1.6 1.7 1.8 15.8
Others 37.7 37.1 37.1 34.4 32.5 −3.6

Source: Euromonitor International, 2024

*CAGR: Compound Annual Growth Rate

Brand shares

The largest single e-commerce brand in France is Amazon Marketplace, which had a 12.2% market share in 2023. Amazon's e-commerce sales were split between Amazon and Amazon Marketplace. The second-largest e-commerce brand in France is Leclerc, which had an 11.1% market share in 2023. Intermarché experienced rapid growth with a 16.0% CAGR, while Carrefour and Courses U also saw substantial increases. In contrast, Veepee Marketplace and Cdiscount Marketplace faced challenges, reflected in their declining market shares. Other brands like AliExpress and Nespresso displayed steady growth, while Auchandrive maintained a stable market share. New entrant Shein quickly captured a 1.8% share by 2023. Meanwhile, The "Others" category saw a decrease in market share, suggesting a consolidation around the top brands.

Top-15 e-commerce brand shares in France: historical retail sales, %, 2019 to 2023
Brand Name Company name 2019 2020 2021 2022 2023 CAGR* % 2019-2023
Amazon Marketplace Amazon.com Inc 10.3 10.7 10.7 12.0 12.2 4.3
Leclerc E Leclerc 8.7 9.5 9.0 9.7 11.1 6.3
Amazon Amazon.com Inc 4.9 4.7 6.1 6.7 7.0 9.3
Veepee Marketplace Vente-privee.com SAS 4.1 3.7 4.1 4.1 4.0 −0.6
Carrefour Carrefour SA 2.3 2.5 2.7 2.9 3.3 9.4
Intermarché ITM Entreprises SA 1.6 2.4 2.3 2.6 2.9 16.0
Cdiscount Marketplace Casino Guichard-Perrachon SA 2.9 3.0 2.8 2.9 2.7 −1.8
Courses U Système U Centrale Nationale SA 1.6 1.9 1.9 2.1 2.3 9.5
AliExpress Marketplace Alibaba Group Holding Ltd 1.5 1.6 1.9 1.9 2.0 7.5
Auchandrive Auchan Group SA 2.0 2.1 1.8 1.8 2.0 0.0
Fnac Fnac Darty SA 2.1 2.1 1.9 1.9 1.9 −2.5
Nespresso Nestlé SA 1.5 1.8 2.0 1.9 1.9 6.1
Cdiscount Casino Guichard-Perrachon SA 5.1 3.8 3.4 2.7 1.9 −21.9
Leroy Merlin Adeo Groupe 1.0 1.1 1.6 1.7 1.8 15.8
Shein Roadget Business Pte Ltd 1.3 1.6 1.8 N/C
Others 50.4 49.1 47.8 45.1 43.0 −3.9

Source: Euromonitor International, 2024

*CAGR: Compound Annual Growth Rate

NC: not calculable

Opportunities for Canada

Opportunities

Canada-European Union Comprehensive Economic and Trade Agreement (CETA)

The Canada-European Union Comprehensive Economic and Trade Agreement (CETA) was signed on October 30, 2016 and entered into force provisionally on September 21, 2017. CETA gives Canada preferential access to the world's second-largest importing market for goods as well as Canada second second-largest trading partner.

In every province and territory, the Canada-European Union Comprehensive Economic and Trade Agreement (CETA) offers exporters a competitive advantage over exporters from other countries that do not have a free trade agreement with the EU for certain products. CETA eliminates tariffs on almost all exports and provides access to new market opportunities. Exporters also benefit from better export conditions, including:

  • reinforced intellectual property rights
  • more transparent rules for market access

Please consult Canada-European Union Comprehensive Economic and Trade Agreement (CETA) for additional information regarding CETA and what it can do for your business.

In addition, the importance of social media has been identified as a promotional channel to identify and interact with consumers. Further, French retailers are expected to continue to use social media as a platform central to their online operations and identity.

Social media provides opportunities for retailers and exporters alike to build and strengthen their online presence to create seamless transactions between the consumer and provider. Canadian agrifood exporters and value-added suppliers can employ this medium to their advantage by creating potential partnerships with not only the French consumer but also France's e-commerce retailers and marketplace websites to expand their online presence and maximize their online sales, in efforts to promote and leverage Canada's distinct brands.

Challenges

Retail e-commerce in France faces challenges such as diminished purchasing power, inflation, and the potential for paid returns, leading to a sluggish rebound and a shift towards discount retailers. The trend of déconsommation (deconsumption) is affecting non-essential segments like apparel, electronics, and home goods. Rising energy and packaging costs are pressuring margins, likely leading to price increases for non-food items. Paid returns could further deter impulse purchases. However, as the economy improves and purchasing power rises, overall sales growth is expected to accelerate throughout the forecast period (Euromonitor International, 2024). As such, potential Canadian suppliers should continue to rely on and emphasize the quality and distinctive aspects inherent to the Canadian brand to maintain relevance and interest within a potentially declining channel.

For more information

The Canadian Trade Commissioner Service:

International Trade Commissioners can provide Canadian industry with on-the-ground expertise regarding market potential, current conditions and local business contacts, and are an excellent point of contact for export advice.

More agri-food market intelligence:

International agri-food market intelligence
Discover global agriculture and food opportunities, the complete library of Global Analysis reports, market trends and forecasts, and information on Canada's free trade agreements.

Agri-food market intelligence service
Canadian agri-food and seafood businesses can take advantage of a customized service of reports and analysis, and join our email subscription service to have the latest reports delivered directly to their inbox.

More on Canada's agriculture and agri-food sectors:

Canada's agriculture sectors
Information on the agriculture industry by sector. Data on international markets. Initiatives to support awareness of the industry in Canada. How the department engages with the industry.

For additional information on SIAL Paris 2024 please contact:

Ben Berry, Deputy Director
Trade Show Strategy and Delivery
Agriculture and agri-food Canada
ben.berry@agr.gc.ca

Resources

  • Euromonitor International, database 2024
  • Euromonitor International 2024: Economy, Finance and Trade: France
  • Euromonitor International 2024: Consumer Lifestyles in France
  • Euromonitor International 2024: Income and Expenditure: France
  • Euromonitor International 2024: Economy, France in 2040: The Future Demographic
  • Euromonitor International 2024: Digital Consumer (E-Commerce Goods and Services) in France
  • Euromonitor International 2024: Retail E-Commerce in France

Sector Trend Analysis – E-commerce market trends in France
Global Analysis Report

Prepared by: Zhi Duo Wang, Market Analyst

© His Majesty the King in Right of Canada, represented by the Minister of Agriculture and Agri-Food (2024).

Photo credits
All photographs reproduced in this publication are used by permission of the rights holders.
All images, unless otherwise noted, are copyright His Majesty the King in Right of Canada.

To join our distribution list or to suggest additional report topics or markets, please contact:

Agriculture and Agri-Food Canada, Global Analysis
1341 Baseline Rd, Tower 5, 3rd floor
Ottawa ON  K1A 0C5
Canada
Email: aafc.mas-sam.aac@agr.gc.ca

The Government of Canada has prepared this report based on primary and secondary sources of information. Although every effort has been made to ensure that the information is accurate, Agriculture and Agri-Food Canada (AAFC) assumes no liability for any actions taken based on the information contained herein.

Reproduction or redistribution of this document, in whole or in part, must include acknowledgement of agriculture and agri-food Canada as the owner of the copyright in the document, through a reference citing AAFC, the title of the document and the year. Where the reproduction or redistribution includes data from this document, it must also include an acknowledgement of the specific data source(s), as noted in this document.

Agriculture and Agri-Food Canada provides this document and other report services to agriculture and food industry clients free of charge.