eCommerce is a fundamental part of the European economy, with 77% of the EU population engaging in online shopping, according to a 2024 Statista report. Consumers in Western Europe are most likely to shop online, but Southern and Eastern European online shopping rates are growing rapidly. For example, consumers in Germany, the Netherlands, and France report shopping online on a weekly basis at 45%, 37%, and 32%, respectively. The most commonly purchased online retail goods in the European Union tend to be clothing, cosmetics, electronics, household goods, and appliances. Business-to-business eCommerce is also an important part of the European economy, with the gross merchandise value amounting to $1.672 trillion in 2024.
In 2015, the European Union launched the Digital Single Market Strategy, of which e-commerce was a priority area. Since then, the Electronic Commerce Directive has provided rules for online services in the European Union, including requiring providers to abide by regulations in the country where they are established (the country of origin) and to meet certain consumer protection rules such as indicating contact details on their website, clearly identifying advertising, and protecting against spam. The Directive also grants exemptions to liability for intermediates that transmit illegal contact by third parties and for unknowingly hosting content. The Digital Services Act and the Digital Markets Act establish additional rules for online services. The former includes measures to tackle online sales of counterfeit goods and online illegal and harmful content, and the latter sets rules for ‘gatekeeper’ online platforms, aiming to curb unfair practices and promote competition online.
Direct Marketing over the Internet
The e-Commerce Directive (2000/31/EC) imposes certain specific requirements connected to the direct marketing business. Promotional offers must not mislead customers, and the terms that must be met to qualify for them must be clear and easily accessible. The e-Commerce Directive stipulates that marketing e-mails must be identified as such to the recipient and requires that companies targeting customers online must regularly consult national opt-out registers where they exist. When an order is placed, the service provider must acknowledge receipt quickly and by electronic means, although the Directive does not attribute any legal effect to the placing of an order or its acknowledgment; instead, it would be a matter of national law. Vendors of electronically supplied services (such as software, which European Union authorities consider a service and not good) must also collect value-added tax.
Due Diligence
Product safety testing and certification is mandatory in the European Union, and U.S. manufacturers and sellers of goods must perform due diligence in accordance with mandatory EU legislation prior to exporting.
Joint Ventures and Licensing and Express Delivery
For more information on these topics, please consult the Department of Commerce’s Country Commercial Guides for individual EU Member States.