Retail Delivery - Azerbaijan

Azerbaijan

Highlights

The Reail Delivery market in Azerbaijan is anticipated to witness substantial growth in the coming years.
According to projections, the market's revenue is expected to reach US$104.80m Azerbaijani Manat by 2024.
This growth trajectory is projected to continue, with an annual growth rate of 10.50% (CAGR 2024-2029), resulting in a market volume of US$172.60m Azerbaijani Manat by 2029.
Furthermore, the number of users in the Reail Delivery market is estimated to reach 1.5m users by 2029.
This indicates a significant increase in user penetration, which is expected to rise from 10.8% in 2024 to 13.8% by 2029.
In terms of average revenue per user (ARPU), it is predicted to amount to US$92.72 Azerbaijani Manat.
Comparing global markets, United States is expected to generate the highest revenue in the Reail Delivery market sector, reaching a staggering US$195.40bn Azerbaijani Manat in 2024.
However, when it comes to user penetration, United States is projected to have the highest rate at 30.4%.
These figures highlight the potential and importance of the Reail Delivery market in Azerbaijan, showcasing its growth prospects and significance within the global landscape.
The retail delivery market in Azerbaijan is experiencing a surge in demand for online grocery shopping services.

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The Retail Delivery market in Azerbaijan has been steadily growing over the past few years, driven by various factors such as increasing urbanization, rising disposable income, and changing customer preferences.

Customer preferences: As in many other parts of the world, customers in Azerbaijan are increasingly looking for convenience and speed when it comes to their shopping experience. This has led to a surge in demand for online shopping and home delivery services, particularly for groceries and household essentials. Furthermore, customers are also showing a preference for contactless delivery options, which has become even more important in the wake of the COVID-19 pandemic.

Trends in the market: The Retail Delivery market in Azerbaijan has seen significant growth in recent years, with many local and international players entering the market to meet the growing demand for online shopping and home delivery services. One of the key trends in the market is the increasing use of technology to improve the delivery experience, such as the use of mobile apps, GPS tracking, and real-time delivery updates. Another trend is the emergence of new delivery models, such as crowd-sourced delivery and on-demand delivery, which are helping to meet the growing demand for fast and flexible delivery options.

Local special circumstances: Azerbaijan is a country with a rapidly growing economy and a young, tech-savvy population. This has created a favorable environment for the growth of the Retail Delivery market, with many customers embracing new technologies and online shopping platforms. Furthermore, the country's strategic location at the crossroads of Europe and Asia has made it an attractive market for international retailers and logistics providers looking to expand their operations in the region.

Underlying macroeconomic factors: The growth of the Retail Delivery market in Azerbaijan is closely linked to broader macroeconomic trends in the country. The government's ongoing efforts to diversify the economy away from its dependence on oil and gas have helped to create new opportunities in the retail sector, while rising levels of disposable income are driving increased consumer spending. Furthermore, the country's rapidly growing urban population is creating a large and increasingly affluent consumer base, which is expected to continue to drive demand for retail delivery services in the years to come.

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.