Lithuania has a robust and growing e-commerce market, characterized by high online penetration, strong digital infrastructure, and a tech-savvy population. The market is dominated by domestic platforms like Pigu.lt and the global secondhand fashion retailer Vinted, with toys, hobby, & DIY being the largest segment by revenue, followed by electronics & media. Mobile commerce dominates transactions and investments in logistics and technology are enhancing user experience. Key trends include the integration of AI, the expansion of grocery e-commerce, and the increasing prevalence of global platforms.
The EU’s Electronic Commerce Directive (2000/31/EC) establishes rules for online services throughout the EU. The Directive requires providers to abide by the relevant rules and regulations in the country in which they are established. Online providers must respect consumer protection rules such as including contact details on websites, clearly identifying advertising, and protecting against spam. The Directive also exempts companies from legal liability for unknowingly hosting illegal content or when third-party intermediaries transmit illegal content. In 2012, the European Commission issued its work plan to facilitate cross-border online services and reduce barriers.
In 2003, the EU began applying Value Added Tax (VAT) to sales of Electronically Supplied Services (ESS) by non-EU based companies to EU-based non-business customers. U.S. companies subject to the rule must collect and submit VAT to EU tax authorities. European Council Directive 2002/38/EC offered additional guidance on EU rules for charging VAT. These rules were extended indefinitely following the adoption of Directive 2008/8/EC.
U.S. businesses affected by the 2003 rule change are primarily those based in the United States and selling ESS to EU-based, non-business customers or to businesses that are EU-based and selling ESS to customers outside the EU who no longer need to charge VAT on these transactions. Such businesses have a number of compliance options. The Directive established a special scheme simplifying registration with each member state and allowed companies to register with a single VAT authority in the country of their choice. Companies may have to charge different rates of VAT according to where their customers are based, but VAT reports and returns are submitted to just one authority. The VAT authority responsible for providing the single point of registration service is then responsible for reallocating the collected revenue among other EU VAT authorities. Additional information on this process is available at https://ec.europa.eu/taxation_customs/business/vat_en.
Consumer Behavior
Lithuanians have different preferences depending on income or age group, so the market is highly fragmented. For wealthier customers the brand may be the main determinant of purchases, while affordable prices are the primary consideration for most Lithuanians. Products from abroad are often considered synonymous with high quality. The Lithuanian economy is growing all the time, which builds consumer confidence. Increasing numbers of customers participate in service and loyalty programs.
Intellectual Property Rights
IP protection in Lithuania is strong, and enforcement is good. Infringements and theft are uncommon. Lithuania is not listed in neither USTR’s Special 301 report nor in the Notorious Market report.
Local Service Providers Overview
Local e-commerce service providers in Lithuania include e-commerce platforms as well as specialized service providers for e-commerce fulfillment (e.g., Invertus, Oberlo, emotion) and digital marketing services such as PPC (e.g., Black Propeller, Ninja Promo) and SEO (e.g., Nomadomas). Other types of providers offer solutions for website development and cross-border e-commerce.
Key E-Commerce Platforms
These are some of the largest e-commerce platforms and online retailers in Lithuania that you could partner with/or sell through:
- Pigu.lt: The leading e-commerce player in the Lithuanian market, offering a wide range of products
- Senukai.lt: A major retailer, specializing in home and construction products.
- Barbora.lt: An online supermarket and home goods provider.
- Varle.lt: Another significant online retailer in Lithuania offering a wide range of products
- Vinted.com: An online marketplace focusing on secondhand goods.