The global e-commerce software market size was estimated at USD 7.12 billion in 2022 and is projected to reach USD 20.90 billion by 2030, growing at a compound annual growth rate (CAGR) of 15.3% from 2023 to 2030. The market’s rapid expansion is primarily driven by the surging adoption of online shopping worldwide, which is transforming the way businesses sell and manage their operations. E-commerce software plays a crucial role in simplifying and streamlining complex business processes by enabling companies to manage inventory efficiently, calculate taxes accurately, handle logistics, and oversee other core operational tasks. It provides a centralized platform for retailers and enterprises to manage their digital storefronts, optimize customer engagement, and scale their online presence effectively.

The growing popularity of online retailing among consumers has prompted an increasing number of retailers to adopt advanced e-commerce software solutions. For instance, according to the U.S. Department of Commerce, e-commerce sales in the United States accounted for around 11.0% of total retail sales in 2019, underscoring the growing influence of online shopping on the retail industry. Major retail giants such as Walmart and The Kroger Co. are investing heavily in their e-commerce infrastructure to expand online sales channels and strengthen their digital ecosystems. These strategic initiatives are expected to further drive the demand for e-commerce software over the forecast period, as retailers seek to enhance their online customer experience and improve operational efficiency.

Technological advancements are playing a pivotal role in shaping the market landscape. Companies like Shopify are integrating Artificial Intelligence (AI) and machine learning (ML) tools into their platforms to help retailers gain valuable insights into customer buying patterns and predict future product demand. This enables businesses to optimize inventory levels, personalize marketing efforts, and improve customer retention. As more enterprises recognize these benefits, the adoption rate of e-commerce software is projected to increase substantially, fueling the market’s growth in the years ahead.

The increasing use of mobile devices for online shopping is another major growth catalyst for the e-commerce software market. With smartphones becoming the preferred medium for digital commerce, leading players such as Shopify and BigCommerce are developing mobile-optimized platforms that offer smooth functionality across various devices. The combination of rising internet penetration and the growing number of mobile users has made mobile commerce (m-commerce) a dominant trend globally. According to estimates from the GSM Association (GSMA), the internet penetration rate on mobile devices is projected to rise from 48.9% in 2019 to approximately 60.5% by 2025. This rapid connectivity growth, combined with the rollout of high-speed internet technologies such as 4G and 5G, is expected to significantly enhance user experience and transaction speed, thereby positively impacting the demand for e-commerce software.

Key Market Trends & Insights:

• By Region: The Asia Pacific region accounted for the largest revenue share in 2022 and is projected to register the fastest CAGR of 17.3% during the forecast period. The region’s dominance is attributed to the rapid digitalization of retail, expanding smartphone usage, and strong government support for e-commerce development in countries such as China, India, Japan, and South Korea. The growing presence of regional players, coupled with increasing cross-border trade and digital payment adoption, further strengthens Asia Pacific’s leadership position in the global market.
• By Application: The apparel & fashion segment held the largest share of 35.4% in 2022, driven by the rising consumer inclination toward online fashion shopping and the expansion of digital-first clothing brands. The segment benefits from strong online visibility, frequent product updates, and user-friendly virtual shopping experiences. The healthcare segment, on the other hand, is expected to witness significant growth during the forecast period due to the increasing use of e-commerce platforms for medical supplies, pharmaceuticals, and wellness products, particularly after the COVID-19 pandemic accelerated digital transformation in healthcare distribution.
• By Deployment: The cloud-based segment accounted for the largest revenue share of 80.2% in 2022, reflecting a strong market shift toward Software-as-a-Service (SaaS) models. Cloud deployment offers scalability, flexibility, and reduced maintenance costs, making it the preferred choice for small and medium-sized enterprises (SMEs) and large corporations alike. The on-premise segment is also projected to witness significant growth as certain industries continue to prefer in-house infrastructure for enhanced data control, privacy, and security compliance.

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Market Size & Forecast:

• 2022 Market Size: USD 7.12 Billion
• 2030 Projected Market Size: USD 20.90 Billion
• CAGR (2023–2030): 15.3%
• Asia Pacific: Largest market in 2022

Key Companies & Market Share Insights:

The e-commerce software market is highly competitive and characterized by strategic partnerships, mergers, acquisitions, and technological collaborations among leading companies. Such initiatives are aimed at expanding market reach, diversifying product portfolios, and strengthening global presence.

For instance, in March 2019, Shopify announced the acquisition of Handshake Corp., a B2B e-commerce platform provider focused on wholesale purchasing. Through this acquisition, Shopify aimed to expand its capabilities in the B2B e-commerce sector and enhance its product offerings for wholesale and enterprise clients. This move reflects the growing convergence of B2B and B2C commerce within unified digital platforms. Similarly, SAP SE is investing heavily in innovation and ecosystem collaboration. In September 2019, the company launched its “Foundry” program in Germany, designed to integrate innovative solutions from start-ups in Munich into SAP’s Commerce Cloud offerings. This initiative aims to enhance customer experience and digital transformation within marketing and commerce cloud environments. By fostering collaboration with technology start-ups, SAP seeks to strengthen its presence in the global e-commerce software space and deliver tailored solutions to its enterprise customers.

Key Players

• Shift4Shop
•  
• BigCommerce Pty. Ltd.
• HCL Technologies Limited
• Intershop Communications AG
• Oracle
• Pitney Bowes Inc.
• com, Inc.
• SAP SE
• Shopify

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Conclusion:

In conclusion, the global e-commerce software market is set for strong and sustained growth through 2030, driven by increasing digital transformation, mobile commerce expansion, and AI integration in retail operations. As businesses continue to prioritize online channels to reach wider audiences, the demand for scalable and intelligent e-commerce platforms will accelerate. The Asia Pacific region is expected to remain the primary growth hub, while cloud-based deployments will dominate the market landscape. With continuous innovation, strategic partnerships, and technological advancements, e-commerce software providers are well-positioned to shape the future of global online retailing.