The research, carried out by Amazon in partnership with Deloitte, analysed data from 2019 to 2024 and surveyed over 1,000 Irish consumers. It found that as e-commerce becomes more popular, prices tend to rise more slowly. Specifically, for every 1% increase in online shopping activity, annual inflation decreases by approximately 0.03-0.06%. These findings suggest households benefit from online shopping as a means to maintain their purchasing power.
Our research demonstrates how e-commerce is delivering real value for Irish consumers, particularly during challenging economic times”, said Alison Dunn, Ireland Country Manager at Amazon. “With 86% of Irish consumers now shopping online, we’re seeing how digital retail is helping people access a wider range of products at competitive prices, while saving them time and effort in their daily lives.”
Research findings
- 81% say online shopping provides access to products unavailable locally
- 70% say it is easier to find product information when shopping online, allowing consumers to make informed purchasing decisions
- 73% agree that online shopping saves them time and effort compared to shopping in-store
- 66% believe products are typically cheaper online
- 83% of respondents still frequent physical stores at least once a week, compared to 21% who shop online with the same frequency
- The Irish e-commerce market is expected to grow from €5 billion (estimated at 14% of total retail) to €8 billion in five years
Enabling rural communities and Irish sellers
The study also revealed particular benefits for rural communities, with 41% of rural respondents citing access to shops outside their local areas as a key motivator for shopping online, compared to 27% of urban respondents. Rural consumers were also 6% more likely to cite finding better deals and prices online as a key motivator.
“After developing our scientifically advanced fertility supplement, Proceive, Amazon provided the ideal platform to bring our premium product to consumers close to home and a global audience,” said Suzanne Acton, Head of Brand at Affirm Health, whose popular Irish made supplement range, Proceive is sold on Amazon. “One benefit of e-commerce and Amazon is that it allows us to offer discreet and convenient access – particularly important given the personal nature of fertility. Amazon has played a key role in growing our international presence and helping us reach people at a time when trusted support and high-quality solutions matter most.”
Alison Dunn added: “What’s particularly encouraging is how e-commerce is breaking down geographical barriers for rural communities in Ireland. Online shopping is not just about convenience – it’s providing essential access to products and services that might otherwise be unavailable locally, helping to level the playing field between urban and rural consumers.”
Looking ahead, the research found that 74% of Irish consumers expect to maintain or increase their online spending over the next 12 months, indicating continued growth in the sector. This comes as Amazon.ie officially opened its virtual doors earlier this year, offering customers in Ireland a wide selection of over 100 million products including even more from Irish businesses, low prices in Euro, and fast and convenient delivery and returns.
The study was conducted in partnership with Deloitte, who designed the consumer survey and carried out the corresponding analysis, including econometric analysis and development of an online price index to estimate the impact of e-commerce on retail prices.
Link to the full report here.
