BRIC has become BRICS, and the five emerging markets represented by the acronym are set to dominate e-commerce globally, according to a report from e-commerce giant Alibaba. In the next five years, Brazil, Russia, India, China and South Africa will account for most of the online transaction volume and online shoppers globally.
AliResearch, Alibaba’s data analytics unit, said total volume generated online in the BRICS countries will more than triple from last year to reach $3 trillion by 2022. While the five nations accounted for nearly 42 percent of online transaction volume globally last year, that $3 trillion will represent nearly 60 percent of total global online sales in 2022.
The number of online shoppers in the five emerging markets will nearly double from last year’s 720 million to 1.35 billion in five years, the report predicted. While China has become the global e-commerce powerhouse, the additional growth in other developing countries will push the bloc from just over 47 percent of total global online shoppers to 61 percent in 2022.
While China dominates, maturing IT infrastructure, the prevalence of smart phones and enhanced payment and logistics capabilities will drive the e-commerce boom in all the BRICS, AliResearch said in the report.