Domestic BtoC-EC market grew 7.65% in 2019, while cross-border EC market also grew steadily

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On July 22nd, the Ministry of Economy, Trade and Industry published the 2019 (Reiwa 1) report on the "International Economic Research Project for Building an Integrated Domestic and International Economic Growth Strategy" (market research on electronic commerce).
This report is an annual report compiled by the Ministry of Economy, Trade and Industry on Japan's e-commerce in the previous year, and this year's report provides a detailed explanation of Japan's BtoC, CtoC and BtoC market size in 2019, as well as the transaction value of the cross-border e-commerce market and its growth rate from the previous year (2018).
According to the report, the BtoC-EC market size in 2019 was 19,360.9 billion yen (up 7.65% from the previous year).
The CtoC-EC market size was 1,740.7 billion yen, up 9.5% from the previous year.
The BtoB-EC market size was 353 trillion yen, up 2.5% from the previous year, and the cross-border e-commerce market (between Japan, the United States and China) also increased, and all market sectors continued to expand and grow.
This time, we have compiled information from the report, including an overview of the BtoC-EC market in 2019, e-commerce topics in 2019, and an overview of the cross-border EC market.


Japan's BtoC-EC market expands by 7.65%, and
the EC ratio rises to 6.76%
The overall BtoC-EC market size in 2019 was germany whatsapp data estimated at 19,360.9 billion yen.
It increased from 17,984.5 billion yen in the previous year to 1,376.4 billion yen, an increase of 7.65% from the previous year.
Although the domestic BtoC-EC market growth rate of 7.65% is not particularly high (the growth rate in 2018 was 8.96%), it has expanded and grown in all fields while personal consumption and the economy have remained flat.
Looking at each field, the EC field for goods sales, such as clothing, home appliances, and office supplies, increased to 10,515 billion yen, an increase of 8.09% from the previous year.
The EC field for services, such as travel, food and beverage, and tickets, increased to 7,167.2 billion yen, an increase of 7.82% from the previous year. The EC field
for digital products, such as electronic publishing, music distribution, and games, increased to 2,142.2 billion yen, an increase of 5.11% from the previous year.

Additionally, the EC conversion rate (the percentage of all commercial transactions that are made up of electronic commerce) for the product sales sector was 6.76%, up 0.54 percentage points from the previous year. The highest EC conversion rate was
41.75% for "office supplies and stationery," followed by 34.18% for "books, video and music software," and 32.75% for "household appliances, AV equipment, PCs and peripherals, etc." The EC
conversion rate is rising in every category, highlighting consumers' move away from physical stores.

Figure 01

Figure 02

Trends to watch in the domestic BtoC-EC market in 2019
The report provides a detailed summary of the trends in the BtoC-EC market in 2019, including "merchandise sales sector," "market overview of the service sector," "smartphones," "SNS," "DtoC," "cashless," "information security," "use of AI," and "5G."
Here, we summarize the content on "smartphones" and "SNS," which are noteworthy in the BtoC EC market.