IT landscape in France
E-commerce in France is not as developed as in other European countries, due to the slow increase of Internet penetration and the lag taken by online retailers. Yet e-commerce has been very dynamic in the years 2000 and 2001, and online transactions are predicted to double this Christmas season compared to 2000.
B to C e-commerce
| E-commerce | 1998 | 1999 | 2000 |
| B to C e-commerce in France | FF 0.4 billion | FF 1.3 billion | FF 4 billions |
| France's share in European B
to C e-commerce |
4.8 % | 5.3 % | 8.8 % |
E-commerce transactions have increased 243% in one year. This is due to an increase in Internet access and increase in supply (brick and mortar companies start to put their catalogue online). 49% of French companies have a Web site (compared to 76% in Sweden). Yet only 7 % of Websites in France allow online transactions. E-commerce development now needs investment in capital and in a qualified labor force.
According to an Accenture study, only 37% of French companies think that e-commerce is a strategic activity (compared to 83% for US companies and 91% for German companies) and the response to competition is the major factor driving French companies to invest in e-commerce. However, 53% of French companies said that their e-commerce initiative was successful, compared to 35% for European companies and 33 % for US companies.
22% of Internet users have made a purchase online in 2000 (28% in Germany,
24% in UK). The factors preventing potential buyers to use the Internet
are the lack of security for payment, the cost of shipping, and the use
of personal data. Meanwhile, Minitel transactions are still heavy. Minitel
is still more used than the Internet for electronic commerce (see Computing
and Internet diffusion). For the first time in 2001, Internet
transactions will overcome Minitel transactions. Jupiter MMXI estimates
that Minitel transactions will diminish gradually 14% on average per year
between 2001 et 2006.
Factors facilitating a first online buying experience
| Price | 45 % |
| Product disponibility | 41 % |
| Speed in buying and payment transaction | 37 % |
| Promotion | 31 % |
| Speed in delivery | 28 % |
| Trust | 23 % |
| Website performance | 22 % |
| Product information | 21 % |
| Ease of payment transaction | 17 % |
Major online industries
| Industries | Revenues
(FF millions) |
| Travel, hotel | 2000 |
| Computer, multimedia | 600 |
| Groceries | 530 |
| Furniture, appliances | 400 |
| Cultural goods | 380 |
| Apparel | 270 |
| Flowers, jewelry, gifts | 90 |
| Ticketing | 45 |
| Toys, games | 35 |
| Others | 150 |
| Total | 45000 |
Some French companies have been very successful in implementing an online strategy and are now leading their respective market.
First five e-tailers in France
| E-tailers | Unique visitors (000) | Coverage |
| FNAC (books, CDs, electronics) | 802 | 10.2 % |
| SNCF (train travel) | 650 | 8.2 % |
| Ibazar (auctions) | 615 | 7.8 % |
| Alapage (books) | 615 | 7.8 % |
| Degriftour (air travel) | 426 | 5.4 % |
B to B e-commerce
| E-commerce | 1998 | 1999 | 2000 |
| B to B transactions | FF 1,1 billion | FF 4,7 billion | |
| France's share in European B
to B e-commerce |
5 % | 9.4 % | 11 % |
B to B transactions represent a large part of e-commerce transactions.
Compared to 1999, B to B e-commerce transactions have been increasing 327%.
This dramatic increase is due mostly to the development of B to B marketplaces;
it is estimated that they represent 16% of all online B to B transactions
in 2000.
France's market share in European e-commerce has increased twofold
in 3 years, and is now 11% for B to B and 8.8 % for B to C.
B to B market share of major sectors in 2000
| Computer, electronics | 74,5% |
| Intermediary products | 8,9% |
| Industry | 8,5% |
| Transportation | 5,5% |
| Information | 0,9% |
| Health | 0,4% |
| Construction | 0,2% |
| Other | 1,1% |