Magento 2 Finally Begins To Contribute to the Global Market for eCommerce Platforms
It’s been a long time coming, but Magento 2 is finally making its mark on the eCommerce eco-system… and it’s about time. When coupled with Magento 1 global usage, the Magento platforms overall comprise the lions share of the eCommerce markets total. Combined, Magento 1 and 2 have just over 29% of the market share. At a close second, and no surprise to some, is WooCommerce with nearly 27%. Shopify comes in 3rd at nearly 11% and Prestashop comes in 4th at just above 9%.
However that said, even though Magento has the largest share of the market its growth rate has been subpar in recent months… actually it’s been rather abysmal. Magento growth overall has slowed down by over -2% in recently and though they’re still growing, just not as fast as they used to, that is by no means an industry standard. Conversely WooCommerce has grown by +2%, Prestashop by over +3%, and the clear winner of overall growth has been Shopify with a staggering increase of over 17% in recent months. The average overall growth rate for the top 10 eCommerce platforms has been around 2%.
Magento 2 stores specifically have also begun to pop up within the Alexa 1 Million Top rated web sites. This shows the Magento 2 seed has finally begun to sprout and grow. It is expected that geographically speaking, Magento 2 will primarily be used within the U.S until traction picks up. 95% of all stores so far are made in English, and the segmentation of product offerings heavily leans towards clothing and accessory sites at the moment.
This of course all makes sense but what does it actually mean for Magento?
Does the lower growth rate signify that Magento is on the decline? Not exactly. Again Magento usage all around is still growing, just not as fast as it previously has. The greater growth rate found for other eCommerce systems simply means that more merchants are coming online, and it’s likely they didn’t require the expansive functionality of Magento 1 or 2. This of course is a good thing and means growth is occurring overall online. What we would all hate to see is a constant decline of growth across platforms as that would mean less business are starting up, which also begins to point towards a weakening economy.
Why is Magento 2 usage so focused geographically, linguistically, and by product segments? Well for starters, Magento 2 is still new to the market. Having rather casted a very wide net, I imagine they focused on the U.S heavily to start in order to get a proper footing moving forward. There are of course Magento 2 sites in various other countries currently, such as India, Canada, Estonia, Vietnam, and UAE. It’s just the majority at the moment are located in the U.S. That said, of course then the majority of Magento 2 websites will be in English. As far product segmentation focusing on clothing and accessories, those websites would be among the most obvious first adopters of the system when you consider their likely requirements and Magento’s ability to deliver what they need.
In the end, Magento 2 will pick up momentum as it is worked on by more by developers, in different industries, and in other places around the world. Building off the success of Magento 1 it’s hard to imagine that Magento 2 will relinquish the title of holding the industries largest market share. But that said, they’re still being given a run for their money by their competitors. Which is a good thing… as we all know, competition spurs innovation.