Italy’s E-Commerce Market Heavily Contributing to the Economy

E-commerce in Italy

Netcomm, Italy’s e-commerce consortium, in collaboration with Althesys, conducted research analyzing how the digital retail supply chain can contribute to wealth and well-being within the Italian socio-economic system, identifying its primary drivers and obstacles. The findings are as follows:

– In 2022, the e-commerce supply chain generated a value exceeding €133.6 billion in Italy, equivalent to 7% of the GDP. This marked a significant increase of 13.9% compared to the previous year.

– Factoring in induced, direct, and indirect effects, the e-commerce supply chain has contributed to the creation of 1.6 million jobs, representing a 12.4% increase from 2021.

These jobs constitute 6.4% of total employment in Italy, with a total of €35 billion in gross salaries, reflecting a 13.2% increase from the previous year.

– Additionally, the e-commerce supply chain generated €49.6 billion in tax revenue in 2022, accounting for 9.1% of total tax revenue.

These revenues have enabled the government to invest in public services and infrastructure, thereby enhancing the well-being of the community and supporting Italy’s economic development.

Roberto Liscia, President of Netcomm, emphasized, “The notion of e-commerce as an ‘enemy to be countered’ is an unfounded and outdated prejudice.

The statistics speak for themselves, and it is imperative for policymakers to acknowledge this evidence.”

Liscia added, “Currently, e-commerce accounts for 4.7% of total revenue for Italian companies. While this percentage is steadily increasing – nearly doubling from 2.2% in 2014 – there remains significant growth potential in this sector.

E-commerce in Italy

The digitalization level of our businesses is still inadequate, necessitating policies that facilitate their engagement with international markets through digital platforms, thereby boosting exports.

We also urge the government to adopt closer collaboration strategies with private entities to leverage new technologies and innovations such as artificial intelligence, which are pivotal assets for our companies’ development.”

Amazon has played a significant role in bolstering the growth and development of supply chains across Italy through its investments in technology, innovation, and human capital.

Since 2010, Amazon has invested over €16.9 billion in Italy, fostering the expansion of local supply chains and creating 18,000 permanent positions, with Italian employees receiving nearly €50 million in monthly salaries on average.

In 2022, Amazon’s total tax contribution, encompassing both direct and indirect taxes, exceeded €1.1 billion, marking a 53% increase from the previous year.

Moreover, Amazon’s impact extends beyond its direct operations, with over 100,000 jobs created in Italy, including 40,000 in the logistics and construction sectors and 60,000 through Italian small and medium enterprises (SMEs) that leverage Amazon to expand their businesses.

Recognizing SMEs as the backbone of the Italian economy, Amazon is committed to facilitating their growth and internationalization endeavors. Globally, 61% of products sold on Amazon originate from third-party selling partners.

Amazon has pledged to assist Italian companies selling on its platform in achieving €4 billion in foreign sales by 2025 (currently at €3 billion). This objective is being pursued through various initiatives conducted in collaboration with institutions, academia, and industries.

These include the Accelera con Amazon program, offering free digital training; the Made in Italy showcase, featuring over 2 million products across 11 countries; and Made in Italy Days, enabling customers in eight countries to purchase Italian products.

E-commerce in Italy

Additionally, the Memorandum of Understanding on Made in Italy, signed in April 2024, aims to promote and protect the authenticity of Italian products, combatting counterfeiting, which poses a threat to Italian companies and consumers.

These initiatives seek to support the digitization, internationalization, promotion, and excellence of Italian SMEs in global markets.

To unlock the full potential of SMEs, Amazon identifies two critical areas: enhancing digital skills and consolidating the European Single Market.

Strengthening digital competencies is essential for the evolution of Italian companies in the digital space. Investing in training and professional development will empower businesses of all sizes and sectors to capitalize on the opportunities presented by digital transformation.

By fostering skills enhancement, Italian companies can embrace new technologies, including artificial intelligence, while enhancing competitiveness and resilience in the global market.

Moreover, fostering a more integrated and harmonized European Single Market is pivotal for enabling Italian SMEs to expand their operations beyond national borders.

By eliminating regulatory barriers and streamlining bureaucracy, companies can access new markets and growth prospects more seamlessly.

Furthermore, a robust European Single Market will facilitate cross-border partnerships and the exchange of best practices, fueling innovation and competitiveness across the Italian economy as a whole.

Nate O'Hara
Nathan is a seasoned commerce writer with a passion for unraveling the intricacies of the business world and distilling them into engaging narratives. During his academic journey, he delved deep into subjects like economics, marketing, and entrepreneurship, honing his analytical skills and developing a keen understanding of market dynamics.