Insights into the growth of Latvia ecommerce profiling payment methods, target audiences, marketing, social media, economy and logistics
Economy
Latvia is home to 1.9 million people with a total GDP of US$37.7 billion. GDP per capita is currently US$19,824 and expected to reach US$26,848 by 2026. Latvia is ranked as the 52nd richest country by the World Bank GDP per capita rankings.
See other opportunities in exciting markets like Slovakia, Hungary and Russia.
Digital User Insights
There are currently 1.1 million ecommerce users in Latvia. The average user spends US$328 online, which will grow to US$373 by 2025.
Product Categories
Total ecommerce revenue across all product categories is US$345 million, expected to reach US$421 million by 2025. Fashion is currently the leading product category, accounting for US$137 million market share. Electronics & Media is second, accounting for US$97 million.
By 2025, Fashion will still lead, valued at US$162 million. Electronics & Media will also grow, reaching US$108 million.
Logistics
In 2018, Latvia was ranked 70th in the World Bank Logistics ranking. 68% of Latvia’s population reside in urban areas.
Preferred Online Payments
43% of shoppers used Credit Card when shopping online. Mobile was another popular online payment method in Latvia, accounting for 39% of recent purchases. eWallets accounted for 14% of online payments.
Where does Latvia buy from?
Latvia imports from Russia (US$4.43 billion), Lithuania (US$2.95 billion), Germany (US$1.83 billion), Poland (US$1.59 billion), and Estonia (US$1.42 billion).
Internet and Device Usage
Internet penetration in Latvia is currently at 80%, and should reach 81.8% by 2025. Smartphone penetration is 72% and is projected to grow to 86% by 2025.
In 2015 (latest data) 92% of online shoppers in Latvia shop online via desktop. 2% of shoppers make purchases via smartphone, and 2% made their most recent purchase via tablet.
Marketing
Total Marketing spend in Latvia has grown marginally in recent years, as advertisers begin to steadily invest more in digital. Digital has grown to the second-highest market spend reaching US$37 million. Television is the highest market spend accounting for US$41.1 million.
Social Media
Latvia’s Social Media Penetration is at 64%, expected to reach 65.77% by 2025. Popular networks include Facebook and local channel Draugiem.
For more market insights, check out the ESW series of blogs covering a range of emerging ecommerce markets.
*Insights derived from ESW data, Statista, WorldBank, OECD and other industry sources.
