Quick Commerce - Latvia

Latvia

Highlights

Revenue in the Quick Commerce market in Latvia is projected to reach US$11.00m in 2024.
The market is expected to show an annual growth rate (CAGR 2024-2029) of 6.00%, resulting in a projected market volume of US$14.72m by 2029.
In the Quick Commerce market of Latvia, the number of users is expected to amount to 224.1k users by 2029.
User penetration will be 9.3% in 2024 and is expected to hit 13.0% by 2029.
The average revenue per user (ARPU) is expected to amount to US$65.42.
In global comparison, most revenue will be generated China (US$80.84bn in 2024).
With a projected rate of 21.4%, the user penetration in the Quick Commerce market is highest China.
The Quick Commerce market in Latvia is experiencing a surge in demand for online grocery delivery services.

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

Latvia, a small Baltic country located in Northern Europe, has been experiencing a surge in the Quick Commerce market in recent years.

Customer preferences: The younger generation in Latvia, who are tech-savvy and always on the go, prefer quick and convenient services. This has led to an increase in demand for Quick Commerce services, which offer fast and efficient delivery of goods.

Trends in the market: The Quick Commerce market in Latvia has been witnessing a significant increase in the number of players entering the market. This has led to intense competition among the players, resulting in the introduction of new and innovative services to attract customers.One of the trends in the Quick Commerce market in Latvia is the focus on environmentally friendly services. Many Quick Commerce companies in Latvia are now offering eco-friendly delivery options, such as electric bikes and cars, to reduce their carbon footprint.Another trend in the Quick Commerce market in Latvia is the increasing popularity of food delivery services. With the COVID-19 pandemic forcing people to stay at home, many Latvians have turned to Quick Commerce services for their food needs.

Local special circumstances: Latvia's small population and geographical location make it an ideal market for Quick Commerce services. The country's small size means that delivery times are shorter, and the cost of delivery is lower compared to other European countries.Moreover, Latvia's cold climate has led to an increase in demand for Quick Commerce services, especially during the winter months. Many Latvians prefer to order goods online rather than venturing out into the cold.

Underlying macroeconomic factors: Latvia's growing economy and increasing disposable income have contributed to the growth of the Quick Commerce market in the country. The country's GDP has been steadily increasing over the years, and this has led to an increase in consumer spending.Furthermore, Latvia's membership in the European Union has made it easier for Quick Commerce companies to operate in the country. The EU's regulations and standards have ensured that Quick Commerce services in Latvia are of a high quality, which has increased consumer trust in these services.In conclusion, the Quick Commerce market in Latvia has been growing rapidly in recent years, driven by customer preferences for quick and convenient services, local special circumstances, and underlying macroeconomic factors. The market is expected to continue to grow in the coming years, with new players entering the market and existing players introducing new and innovative services to meet the changing needs of Latvian consumers.

Data coverage:

The data encompasses B2C enterprises. Figures are based on Gross Merchandise Value (GMV) and represent what consumers pay for these products and services. The user metrics show the number of customers who have made at least one online purchase within the past 12 months.

Modeling approach / Market size:

Market sizes are determined through a bottom-up approach, building on predefined factors for each market. As a basis for evaluating markets, we use annual financial reports of the market-leading companies, third-party studies and reports, as well as survey results from our primary research (e.g., the Statista Global Consumer Survey). In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, GDP per capita, and internet connection speed. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the S-curve function and exponential trend smoothing. The main drivers are internet users, urban population, usage of key players, and attitudes toward online services.

Additional notes:

The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. GCS data is reweighted for representativeness.