Georgia’s e-commerce market is expanding rapidly, supported by a growing user base, strong competition, improved platforms, and a well-developed digital and financial ecosystem. Key challenges remain delivery speed, regional coverage, courier shortages, and consumer trust in product quality.
Georgia’s e-commerce market expanded tenfold in 2018-24, reaching GEL 3.5bn in 2024. Growth remained strong in 1H25 (+40.6% y/y to GEL 2.1bn), and we expect the market to reach GEL 4.7bn in 2025.
Key players in the services segment are Wolt, Glovo, Bolt, Yandex, biletebi.ge, and tkt.ge. The first four are international companies whose entry into the Georgian market has been a major driver of e-commerce development. Competition is significantly higher in the goods segment: the main domestic players include Veli.Store, Extra.ge, and most branded retail chains operating in Georgia, while leading platforms for cross-border purchases are Temu, Amazon, eBay, AliExpress, Taobao, Trendyol, Zara, and Farfetch.
Local e-commerce accounted for 61% of the market in 2024 (GEL 2.1bn), up from 16% in 2018. Services e-commerce totaled GEL 1.6bn and was the main growth driver, while retail e-commerce reached GEL 0.5bn.
Cross-border e-commerce expanded sixfold to GEL 1.4bn over 2018-24 and accelerated further in 1H25 (+56.7% y/y). We expect cross-border e-commerce to reach GEL 1.8bn in 2025. Key players include Temu, Amazon, AliExpress, eBay, Trendyol, Zara, and Farfetch; In 1H25, Temu accounted for c.50% of transaction volumes and c.35% of transaction value, reflecting its low average ticket size, efficient logistics, and aggressive promotions.
E-commerce accounted for 8.0% of retail turnover in 1H25 (vs 3.6% in 2021), with 2.2% local and 5.8% cross-border. We forecast 20.5% CAGR over 2024-30, with market size reaching GEL 10.7bn by 2030 and retail penetration rising to c.13%, driven by logistics improvements, higher purchase frequency, and continued digital adoption.
Market success is driven by four key factors: price, assortment, customer experience, and delivery speed. In our view, players that can effectively deliver on all four dimensions will be well positioned to significantly strengthen their market presence.
