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UN CTA UNITED NATIONS UNCTAD B2C -COMMERCE INDEX 2017 UNCTAD Technical Notes ICT Development ˚9 UNCTAD, DIVISION ON TECHNOLOGY AND LOGISTICS SCIENCE, TECHNOLOGY AND ICT BRANCH ICT POLICY SECTION TECHNICAL NOTE NO9 UNEDITED TN/UNCTAD/ICT4D/09 OCTOBER 2017 UNCTAD B2C ‐COMMERCE INDEX 20171 1 Introduction report presents 2017 edition UNCTAD Business‐‐Consumer (B2C) ‐ commerce Index, introduced Information Economy Report 2015: Unlocking Potential ‐Commerce Developing Countries (UNCTAD, 2015) updated April 2016 (UNCTAD, 2016). 2 indicators index explained, payment indicator introduced index updated latest data. revised index predicts online shopping, notable rankings due methodological incorporates additional economies. 2 Components index UNCTAD B2C ‐commerce Index reflects processes involved online shopping B2C transaction. type web presence required seller accept online orders. process requires Internet access part users place order. payment method needed credit card, ‐wallet, mobile payment, bank transfer cash delivery. Finally, product delivered customer' home pick point ( purchaser online digital products). 1 technical note prepared Michael Minges, contributions guidance Torbjörn Fredriksson Diana Korka UNCTAD. Financial contribution Government Finland gratefully acknowledged project. 2 UNCTAD Information Economy Report 2015, Unlocking Potential ‐commerce Developing Countries, : http://unctad.org/en/PublicationsLibrary/ier2015_en.pdf UNCTAD B2C ‐commerce Index 2016, ICT4D Technical Note 7, : http://unctad.org/en/PublicationsLibrary/tn_unctad_ict4d07_en.pdf. 2 2.1 Internet users starting point consumers Internet access order product online. International Telecommunication Union (ITU) publishes statistics share people Internet.3 2.2 B2C web presence availability secure Internet servers included index proxy readiness country enable secure transactions online. ‐commerce sites employ security protocols safeguard payment personal information.4 Secure servers encryption technology online transactions protect transfer data unauthorized interception. indicator countries World Bank. secure servers allay security concerns, mentioned barrier online shopping. Secure server penetration higher economies identified offshore financial centers, banks major users security protocols (Figure 1). Figure 1. Secure Internet servers million people, top twenty economies, 2016 Note: Economies white bars offshore financial centers, defined International Monetary Fund (IMF), included index. *Offshore financial center included index. Source: Adapted World Bank IMF5. 3 economies ITU national data, ITU estimates share. noted , 2016, estimates 140 economies ( 68% included ITU data set). 4 2005, OECD number Internet subscriptions secure servers proxy ‐commerce demand supply. : OECD. 2005. Communications Outlook. http://www.oecd‐ ilibrary.org/science‐‐technology/oecd‐communications‐outlook‐2005_comms_outlook‐2005‐en. 5 International Monetary Fund (IMF). 2008. Offshore Financial Centers: Report Assessment Program Proposal Integration Financial Sector Assessment Program. 11 ,1 02 11 ,0 18 9, 16 5 6, 42 9 4, 82 5 4, 23 4 3, 16 2 3, 06 3 2, 90 6 2, 63 5 2, 20 1 2, 10 6 2, 07 7 1, 90 6 1, 79 1 1, 78 4 1, 76 0 1, 74 7 1, 67 1 1, 64 4 ‐ 2,000 4,000 6,000 8,000 10,000 12,000 3 specific indicator number secure servers million people. Secure servers encryption technology Internet transactions. World Bank sources data Netcraft ( carries surveys obtain data), supplemented World Bank estimates.6 2.3 Delivery physical good ordered line delivered. original B2C ‐commerce Index, indicator selected proportion population received postal delivery home. consultation Universal Postal Union (UPU), indicator chosen 2016 Index: UPU postal reliability score (UNCTAD, 2016). postal reliability score measures operational efficiency based factors quality service performance, including predictability, categories postal delivery services, focus domestic inbound postal delivery process operations (UPU, 2017). based UPU' postal big data set, postal statistics database surveys. 2.4 Payment Products ordered Internet paid online offline. Products purchased online shops paid ways. Payment methods vary countries function national financial regulations, credit riskiness, vendor strategies consumer preferences. difficult choose single payment method measuring ‐commerce payment readiness. Credit debit cards popular payment method worldwide terms online transaction purchase . , credit card penetration population aged 15 years older, collected part World Bank' Global Findex survey, payment indicator index previous editions. payment indicator introduced 2017 index. uptake debit credit cards innovative online mobile payment methods grown time. 2015, cards accounted 42 cent ‐ commerce payments terms (Figure 2, left). , relative share cards online payments expected drop 36 cent 2020, ‐wallets alternative payment methods gain importance (Figure 2, ). , card payment indicator disadvantages developing countries index. aged 15 older credit card high income economies, https://www.imf.org/en/Publications/Policy‐Papers/Issues/2016/12/31/Offshore‐Financial‐Centers‐ Report‐‐‐Assessment‐Program‐‐Proposal‐‐Integration‐PP4271. 6 indictor index upper bound (.., 100). normalized formula: (log () ‐ log (minimum)) ÷ (log (maximum) ‐ log (minimum)) minimum maximum values based economies included index economies. ensures normalized distorted data smaller offshore financial centers included index. 4 figure developing regions South Asia ‐Saharan Africa single digits (Table 1). Figure 2: Online payment methods , 2015 forecast 2020 Note: includes ‐Invoices, postpaid, Prepay, mobile carrier billing, crypto currencies emerging technologies. Source: Worldpay, 2016. Mobile money emerged popular payment method, ‐Saharan Africa times people mobile money account credit cards (Table 1). Kenya—home world' mobile money service ‐PESA launched decade — highest mobile money penetration world 58 cent 2014 (compared cent credit card). 2017 global survey Internet users, 79 cent Kenyan respondents expressed mobile payment preferred method paying goods services bought online (Ipsos, 2017). Mobile money popular countries regions. China, home‐grown Alipay WeChat Pay mobile financial applications considered main driver domestic ‐commerce growth.7 Cambodia, , 36 cent adult population mobile money 2015, compared cent credit card.8 cross‐border purchases, ‐wallets popular method payment. 2016 survey cross‐border ‐commerce shoppers 26 countries ‐wallets ( PayPal) preferred choice 41 cent respondents, credit cards (33 cent) debit card/bank transfer (18 7 : https://www.mobileworldlive./money/news‐money/alipay‐wechat‐pay‐lead‐china‐ finance‐app‐explosion/. 8 FinScope. 2016. Consumer Survey Cambodia 2015. http://www.finmark.org.za/wp‐ content/uploads/2016/07/finscope‐cambodia‐pocket‐guide.pdf. eWallet 31% Credit Card 25% Debit Card 17% Bank Transfer 10% Cash Delivery 7% Pre‐Paid 3% Prepay 3% 2% PostPay 2% 10% Global payment methods, 2015 eWallet 30% Credit Card 20% Debit Card 16% Bank Transfer 13% Cash Delivery 8% Pre‐Paid 6% Prepay 4% 2%PostPay 1% 13% Global payment methods, 2020 5 cent).9 China, preferred payment method B2C ‐commerce Alipay, escrow‐ based system 68 cent online shoppers country. Table 1: types accounts, share individuals, region development, 2014, ( cent) Mobile money account (% age 15+) Account financial institution (% age 15+) Credit card (% age 15+) Developed economies .. 90.6 48.9 Developing economies: East Asia & Pacific 0.4 68.8 12.5 Europe & Central Asia 0.3 51.4 18.5 Latin America & Caribbean 1.7 51.1 21.6 Middle East 0.7 14.0 2.1 South Asia 2.6 45.5 3.3 ‐Saharan Africa 11.5 28.9 2.7 World 2.0 60.7 17.6 Source: World Bank Global FINDEX database. FINDEX database indicator combines bank account mobile money accounts. "account" indicator defined : " percentage respondents report account ( ) bank type financial institution ( definition “account financial institution”) personally mobile money service 12 months ( definition “mobile money account”)."10 account (including mobile money) shows higher correlation online shopping (R2=0.68) (Figure 3, left) credit card indicator included index (R2=0.58). strong reason replacing indicator accounts. 9 International Post Corporation, 2017. Cross‐Border ‐Commerce Shopper Survey 2016. https://www.ipc./en/reports‐library/publications/ipcreports_brochures/cross‐border‐‐commerce‐ shopper‐survey‐2016. 10 "Global Findex Glossary" : http://pubdocs.worldbank.org/en/205721483566285748/Glossary‐ 2014.pdf. 6 Figure 3. Credit card account compared shopping online (% individuals), 2014 Source: Adapted FINDEX UNCTAD. bank account potentially relevant payment indicator spillover effects. bank account required obtain credit debit card ( ‐money account). , bank transfers ( accounted ten cent global online payments 2016 forecast rise ) pay online (Worldpay, 2016). Africa illustrates relevance " account" indicator capture payment scenarios. Jumia Group 2017 offered retail sales African countries, marketplace 14 countries (UNCTAD, 2017). Ghanaian platform, Jumia accepts mobile money payments, bank transfers cash delivery.11 Nigeria, company accepts credit cards, cash delivery JumiaPay ( ‐money instrument) mobile money.12 Kenya, Jumia users pay credit debit cards, mobile money cash delivery shopping online.13 introduction indicator affects index rankings (Figure 4). share population aged 15 account benefits countries limited credit cards high incidence bank mobile money accounts. result, Kenya, high penetration mobile money, climbs 13 positions index. Netherlands, credit card penetration compared developed economies. , virtually people aged 15 (99 percent) bank account country. 2015, 60 cent online purchases paid iDEAL − bank‐owned online payment system − compared 12% credit cards ( Paypers, 2016). account indicator, 11 https://www.jumia..gh//#Payment. 12 https://www.jumia..ng//#menuanchor. 13 https://www.jumia..ke/payment_policy/. ² = 0.5773 0 10 20 30 40 50 60 70 80 90 100 0 20 40 60 80 Sh lin ( % iv id al ) Credit card (% age 15+) ² = 0.6773 0 10 20 30 40 50 60 70 80 90 100 0 20 40 60 80 100 120 Account (% age 15+) 7 Netherlands rises index. 79 cent Dutch Internet users online purchase 2016, sixth highest level Europe. Conversely, countries average credit card ownership rank revised index ( raises score countries higher level accounts credit cards). , Turkey level credit card penetration Netherlands. Turkish credit card ownership high capita income 2015, 74 cent ‐commerce purchases country paid credit cards (Worldpay, 2016). Conversely, Turkey' bank account penetration 2014 57 cent aged 15 older. indicator proxy online payment affects index economies high incidence cash pay ‐commerce purchases (cash delivery accounted 7 cent global payments 2015). , Egypt, 90 cent ‐commerce transactions paid cash‐‐delivery, LDCs, reliance cash pronounced (UNCTAD, 2017). Figure 4: Impact payment indicator Note: Economies ± 10 change. Source: UNCTAD. drawback account indicator latest figures date 2014 survey. , World Bank collecting 2017 FINDEX data calendar year plans publish results April 2018. 3 Data sources country coverage table shows sources 2017 UNCTAD B2C ‐commerce Index indicators. ‐19 ‐14 ‐13 ‐13 ‐12 ‐11 ‐10 ‐10 ‐10 10 11 12 13 15 17 19 24 ‐25 ‐20 ‐15 ‐10 ‐5 0 5 10 15 20 25 30 ru gu ay ld va ra el Tu rk ar ag ay ze rb ai ja kr ai rg ti ru el ar en ar rl ya ai la Sr ka Ir ( . .) lia Rank change 8 Table 2: Sources B2C Index indicators Indicator Number economies data, 2016 Source Internet (% individuals) 205 International Telecommunication Union (ITU) https://www.itu.int/en/ITU‐ /Statistics/Pages/stat/default.aspx Secure Servers 1 million inhabitants 252 World Bank (http://data.worldbank.org/indicator/IT.NET.SECR.P6) Account (% population 15+) (2015) 140 World Bank Global FINDEX Database (http://datatopics.worldbank.org/financialinclusion) Postal Reliability Score 182 Universal Postal Union (UPU) 2016, Index calculated payment indicator. 2017 methodology index, scores previous years calculated illustrate change. coverage improved 144 economies, 2016 edition. introduced index summarized table . Table 3: UNCTAD B2C ‐commerce Index 2014 B2C ‐commerce Index 2016 B2C ‐commerce Index 2017 B2C ‐commerce Index 4 indicators: Internet users Secure servers Credit card penetration Postal delivery home 4 indicators: Internet users Secure servers Credit card penetration Postal reliability score 4 indicators: Internet users Secure servers Account penetration Postal reliability score 130 economies 137 economies 144 economies index estimate proportion population shopping online. compared official published statistics share online shoppers annex table 9. result , 2017 edition shows higher degree correlation share population shopping online (Figure 5). R2 rose 0.73 2016 0.79 2017. 9 Figure 5: Correlation UNCTAD B2C ‐commerce Index 2016 2017 share individuals shopping online Source: UNCTAD. 4 Results top ten economies UNCTAD B2C ‐commerce Index 2017 shown table . Luxembourg remains top performer. top ten economies top ten economies highest proportion Internet shoppers. suggests generally high explanatory association variables contained index online shopping. top ten, Republic Korea Japan stand actual proportion online shoppers predicted index . reflect factors contained index, preference shopping physical stores, lack trust factors (UNCTAD, 2016 Ipsos, 2017). Notable improvements include Switzerland, rose 8th 2nd, United Kingdom, rose 10th 6th Germany, rose 14th 9th. gains largely due rise postal reliability. noted top 10 economies tightly clustered difference tenth separated points. ² = 0.73 0 10 20 30 40 50 60 70 80 90 100 0 20 40 60 80 100 Sh lin ( % iv id al ) , 2 0 1 4 la te st UNCTAD B2C ‐commerce Index 2016 ² = 0.7949 0 10 20 30 40 50 60 70 80 90 100 0 20 40 60 80 100 Sh lin ( % iv id al ) , 2 0 1 4 la te st UNCTAD B2C ‐commerce Index 2017 10 Table 4: Top 10 economies UNCTAD B2C ‐commerce Index 2017 2017 Rank Economy Share individua ls Internet (2016) Share individuals account (15+, 2014 latest) Secure Internet servers 1 million people (normalized, 2016) UPU postal reliability score (2016) Index (2016 data) Index (2015 data) Index Rank (2015 data) 1 Luxembourg 97 96 98 94 96.5 97 1 2 Switzerland 89 98 100 99 96.4 94 8 3 Norway 97 100 96 93 96.4 95 3 4 Netherlands 90 99 99 95 95.9 96 2 5 Republic Korea 93 94 96 99 95.5 95 4 6 United Kingdom 95 99 92 95 95.1 93 10 7 Sweden 92 100 94 93 94.6 95 7 8 Japan 92 97 89 97 93.8 94 9 9 Germany 90 99 93 92 93.5 92 14 10 Zealand 88 100 90 95 93.3 93 11 Source: UNCTAD, based sources mentioned table 2. top ten developing economies index hail east west Asia (Table 5). Republic Korea ( global top 10). — Hong Kong (China), Singapore United Arab Emirates— close index values. significant jump . huge gap actual online shopping Republic Korea Singapore rest. Internet users shop online , Hong Kong (China) Saudi Arabia, rate twenty percent rest. , enabling factors present top developing economies index, efforts devoted overcoming soft factors lack trust online transactions. Table 6 shows top ten developing countries region, figure 6 depicts world map ‐commerce readiness shown index. Table 5: Top 10 developing economies UNCTAD B2C ‐commerce Index, 2017 2017 Rank Economy Share individuals Internet (2016) Share individuals account (15+, 2014 latest) Secure Internet servers 1 million people (normalized, 2016) UPU postal reliability score (2016) Index (2016 data) Index (2015 data) Index Rank (2015, data) 5 Republic Korea 93 94 96 99 96 95 4 16 Hong Kong (China) 87 96 88 92 91 92 15 18 Singapore 81 96 87 97 90 90 18 23 United Arab Emirates 91 84 79 96 87 85 26 38 Malaysia 79 81 66 82 77 76 40 39 Mauritius 53 82 71 96 76 64 57 42 Trinidad & Tobago 73 76 67 75 73 63 59 45 Saudi Arabia 74 69 59 75 69 67 46 46 Islamic Republic Iran 53 92 45 86 69 65 52 48 Thailand 48 78 54 93 68 66 50 Source: UNCTAD. 11 Table 6: Top 10 developing transition economies UNCTAD B2C ‐commerce Index, 2017, region East, South Southeast Asia West Asia North Africa ‐Saharan Africa Latin America Caribbean Transition economies Republic Korea United Arab Emirates Mauritius Trinidad & Tobago Serbia Hong Kong (China) Saudi Arabia South Africa Jamaica Russian Federation Singapore Islamic Republic Iran Nigeria Chile Belarus Malaysia Lebanon Kenya Costa Rica Kazakhstan Thailand Kuwait Uganda Brazil Bosnia Herzegovina Mongolia Qatar Botswana Uruguay Albania China Turkey Namibia Colombia Ukraine Sri Lanka Oman Rwanda El Salvador Republic Moldova Viet Nam Jordan ôte 'Ivoire Belize Azerbaijan India Tunisia Ghana Argentina Montenegro Source: UNCTAD. Figure 6: Map UNCTAD B2C ‐commerce Index 2017 Source: UNCTAD. Table 7 shows average values geographic region. wide regional differences. case Internet access, quarter population Africa Internet compared thirds Western Asia. relative strengths weaknesses generally differ. East, South Southeast Asia boost Internet penetration, stands population average, number secure servers, world average. Latin America Caribbean, Internet penetration average secure servers main barriers poor postal reliability people financial accounts. facilitate inclusive ‐commerce, African countries seek catch policy areas. 12 Table 7. Regional values UNCTAD B2C ‐commerce Index, 2017 Region Share individuals Internet (2016) Secure Internet servers 1 million people (normalized, 2016) UPU postal reliability score (2016) Share individuals account (15+, 2014 latest) UNCTAD B2C ‐ commerce Index Africa 23 31 31 29 28 East, South Southeast Asia 46 51 63 58 54 Latin America Caribbean 51 57 34 46 47 Western Asia 67 59 50 56 58 Transition economies 64 59 66 49 59 Developed 83 88 86 92 87 World 52 56 54 55 54 Significant volatility economies UPU Reliability Index Score resulted major year year rankings (Figure 7 Figure 8). noted, revised 2017 index calculated year' values (2015 2016). payment indicator impact annual index data 2014. indicators Internet usage secure server penetration minimal. Figure 7: Minimum maximum , indicator included UNCTAD B2C ‐ commerce Index, 2015 2016 data Source: UNCTAD. UPU, volatility Postal Reliability Score explanations: ‐2 ‐18 0 ‐61 8 5 0 67 ‐80 ‐60 ‐40 ‐20 0 20 40 60 80 Share individuals Internet Secure Internet servers 1 million people Share individuals account UPU postal reliability score Minimum Maximum 13 1) improved capture tracking events data ( trend higher quality tracking data capture time) 2) introduction revised postal processes number countries huge growth ‐commerce related items 3) number postal networks confronted bottlenecks related surge ‐commerce volumes 4) composition ‐commerce flows postal flows changed number countries ( instance transporting delivering heavier goods expensive goods resulting delivery delays) results dependent kind product service delivered final customer. ‐commerce evolving dynamic environment rapid postal customers expectations create volatility quality service networks. networks reacted adapted quickly overwhelmed reaching network capacity limits. 26 countries improved score 10 points, majority negative. postal networks difficulties coping increasing levels parcels traffic. Figure 8: Biggest annual ranking UNCTAD B2C ‐commerce Index 2017 UPU Postal Reliability Index score Note: Economies ± 10 change. Source: UNCTAD. ‐100 ‐80 ‐60 ‐40 ‐20 0 20 40 60 80 ‐30 ‐20 ‐10 0 10 20 30 yp ar Sy ri ra ep lic ic Ec ad io ia fr ic ed ep lic … el iz ts ai st ic rg ti Se al Za ia en ru gu ay ic ep lic lg er ia ga ro ô te 'Iv ir rm ia gl ad es Tr id ad & ag au ri ti eo rg ia ad ag ca sn ia er ze vi lia El al va La az ak st ig ri Rank change Change UPU score (2015‐16) 14 5 Conclusions ongoing efforts improve UNCTAD B2C ‐commerce Index relevant . year, UPU Reliability Index score introduced. year, availability bank mobile money account replaced credit card penetration. 2017 edition higher predictive capability online shopping previous indexes. composition index imply break time series. , years results calculated 2017 index, beginning time series time countries gauge progress enablers B2C ‐commerce. countries UNCTAD B2C ‐commerce Index data actual share population country buying online. , data show great variation countries, ranging 80 cent Denmark 1 cent Zimbabwe. developing transition economies, online shoppers continue represent small proportion population, developed economies population buying goods services online. Figure 9. Share individuals purchasing products online, selected economies, 2016 Note: age ranges period purchase varies surveys, data strictly comparable. table 10 complete data set. Source: Eurostat, Pew, Nielsen, Caucasus Barometer, national sources. table 9 annex. research needed gauge evolving B2C ‐commerce divide, link statistics policies bridging gap. eTrade initiative gathered larger set ‐commerce readiness indicators, limited geographic coverage. Based indicators, individual profiles consulted online economies included UNCTAD B2C ‐commerce Index.14 Improving data availability quality policy‐makers target policies aimed enhancing ‐commerce readiness countries. 14 : https://etradeforall.org/ressources/data‐indicators/. 15 References Paypers. 2016. Ecommerce Payment Methods Report 2016. https://www.febelfin./sites/default/files/InDepth/ecommerce_payment_methods_repo rt_2016_aeu_global_payments_insights.pdf. Ipsos. 2017. CIGI‐Ipsos‐UNCTAD Global Survey Internet Security Trust. https://www.cigionline.org/internet‐survey. UNCTAD. 2015. Information Economy Report 2015: Unlocking Potential ‐Commerce Developing Countries. http://unctad.org/ier. UNCTAD. 2016. UNCTAD B2C ‐commerce Index 2016. Technical Notes ICT Development 7. http://unctad.org/en/Pages/DTL/STI_and_ICTs/ICT4D‐Technical‐ Notes.aspx. UNCTAD. 2017. Information Economy Report 2017: Digitalization, Trade Development. http://unctad.org/ier. Universal Postal Union (UPU). 2017. Integrated Index Postal Development (2IPD) ‐ 2016 Results. http://www.upu.int/en/‐upu/strategy/2ipd.html. Worldpay. 2016. Global Payments Report. https://worldpay.globalpaymentsreport./introduction/. 16 Annex Table 8: Calculating UNCTAD B2C ‐commerce Index 2017 Republic Korea Indicator 2015 2016 . INTERNET USE A1. Users (% population) 89.7 92.7 . PAYMENT B1. Account (% age 15+)‡ 94.4 94.4 . B2C WEB PRESENCE C1. Secure Internet servers ( 1 million people) 2,301 2,201 C2. Secure server ‐Index, normalized 100 rescaling values† 96 96 . DELIVERY D1. Postal reliability score 100 98.7 B2C INDEX (A1 + B1 + C2 + D1) ÷ 4 95.1 95.5 ‡ Latest data 2014. † 2015, economies included index, Iceland highest (3,407) Chad lowest (0.214). 2016, Iceland highest (3,162) Niger lowest (0.193). Republic Korea' secure Internet servers ( 1 million people) normalized formula: 2015: (Log (2,301) − Log (0.214)) ÷ (Log (3,407) − Log (0.214)) 2016: (Log (2,201) − Log (0.193)) ÷ (Log (3,162) − Log (0.193)) 17 Table 9: UNCTAD B2C ‐commerce Index, 2017 2017 Rank Economy Share individuals Internet (2016) Share individuals account (15+, 2014 latest) Secure Internet servers 1 million people (normalized, 2016) UPU postal reliability score (2016) Index (2016 data) Index (2015 data) Index Rank (2015 data) 1 Luxembourg 97 96 98 94 96.5 97 1 2 Switzerland 89 98 100 99 96.43 94 8 3 Norway 97 100 96 93 96.39 95 3 4 Netherlands 90 99 99 95 95.9 96 2 5 Republic Korea 93 94 96 99 95.5 95 4 6 United Kingdom 95 99 92 95 95.1 93 10 7 Sweden 92 100 94 93 94.6 95 7 8 Japan 92 97 89 97 93.6 94 9 9 Germany 90 99 93 92 93.5 92 14 10 Zealand 88 100 90 95 93 93 11 11 Iceland 98 99 100 75 93 95 6 12 Finland 88 100 94 90 93 92 13 13 Denmark 97 100 94 80 93 95 5 14 Australia 88 99 92 90 92 91 16 15 Canada 90 99 91 89 92 92 12 16 Hong Kong (China) 87 96 88 92 91 92 15 17 Austria 84 97 93 89 91 91 17 18 Singapore 81 96 87 97 90 90 18 19 Ireland 82 95 87 98 90 90 20 20 France 86 97 87 92 90 90 21 21 Estonia 87 98 89 86 90 90 19 22 Belgium 87 98 89 79 88 90 22 23 United Arab Emirates 91 84 79 96 87 85 26 24 Latvia 80 90 80 99 87 84 28 25 Slovenia 76 97 86 90 87 88 23 26 United States 76 94 93 85 87 88 24 27 Cyprus 76 90 86 93 86 81 31 28 Malta 77 96 95 71 85 81 35 29 Czech Republic 76 82 91 86 84 85 27 30 Slovak Republic 80 77 78 92 82 83 29 31 Israel 80 90 76 80 81 81 32 32 Croatia 73 86 77 89 81 82 30 33 Spain 81 98 80 62 80 86 25 34 Greece 69 88 74 89 80 78 37 35 Lithuania 74 78 75 90 79 78 38 36 Hungary 79 72 79 87 79 79 36 37 Poland 73 78 86 77 78 81 33 38 Malaysia 79 81 66 82 77 76 40 39 Mauritius 53 82 71 96 76 64 57 40 Italy 61 87 77 69 74 75 42 41 Serbia 67 83 60 82 73 76 39 42 Trinidad & Tobago 73 76 67 75 73 63 59 43 Russian Federation 76 67 73 69 71 70 44 44 Belarus 71 72 65 75 71 67 48 45 Romania 60 61 70 88 69 68 46 46 Saudi Arabia 74 69 59 75 69 67 47 47 Islamic Republic Iran 53 92 45 86 69 65 52 48 Portugal 70 87 79 37 68 76 41 49 Thailand 48 78 54 93 68 66 50 50 Bulgaria 60 63 71 72 66 69 45 51 Kazakhstan 77 54 53 79 66 51 76 52 Bosnia Herzegovina 69 53 55 85 66 52 74 53 Jamaica 45 78 60 77 65 63 58 54 Chile 66 63 69 59 64 67 49 18 2017 Rank Economy Share individuals Internet (2016) Share individuals account (15+, 2014 latest) Secure Internet servers 1 million people (normalized, 2016) UPU postal reliability score (2016) Index (2016 data) Index (2015 data) Index Rank (2015 data) 55 Mongolia 22 92 53 90 64 50 78 56 Lebanon 76 47 58 70 63 65 51 57 Kuwait 78 73 74 25 63 73 43 58 Qatar 94 66 75 14 62 81 34 59 Albania 66 38 59 87 62 60 63 60 Turkey 58 57 63 71 62 62 60 61 Costa Rica 66 65 66 53 62 67 47 62 Brazil 60 68 63 58 62 65 53 63 Ukraine 52 53 64 70 60 62 61 64 Oman 70 74 65 31 60 59 64 65 China 53 79 49 57 60 65 55 66 Moldova 71 18 63 85 59 58 66 67 Uruguay 66 46 66 57 59 64 56 68 Azerbaijan 78 29 49 75 58 59 65 69 Montenegro 70 60 66 32 57 54 71 70 Georgia 50 40 60 76 57 44 89 71 Colombia 58 39 60 62 55 51 75 72 South Africa 54 70 67 26 54 65 54 73 Sri Lanka 32 83 47 45 52 53 73 74 Viet Nam 47 31 48 76 50 49 81 75 Jordan 62 25 51 63 50 49 80 76 El Salvador 29 37 52 80 49 37 99 77 Belize 45 48 73 28 49 62 62 78 Armenia 62 18 59 51 47 42 92 79 Tunisia 51 27 45 65 47 48 83 80 Nigeria 26 44 29 85 46 35 105 81 Argentina 70 50 60 0 45 58 67 82 Kenya 26 75 43 37 45 48 82 83 India 30 53 39 56 44 47 86 84 Panama 54 44 67 8 43 56 69 85 Morocco 58 39 38 37 43 49 79 86 Uganda 22 44 27 79 43 39 95 87 Botswana 39 52 51 30 43 53 72 88 Dominican Republic 61 54 54 0 42 51 77 89 Namibia 31 59 52 25 42 ... ... 90 Mexico 60 39 56 11 42 57 68 91 Ecuador 54 46 57 8 41 56 70 92 Lao, Peoples Democratic Republic 22 27 31 84 41 26 115 93 Paraguay 51 22 53 37 41 48 84 94 Peru 45 29 55 33 41 47 87 95 Venezuela (Bolivarian Republic ) 60 57 44 0 40 42 94 96 Philippines 56 31 46 28 40 45 88 97 Algeria 43 50 31 26 38 47 85 98 Honduras 30 31 44 44 37 38 97 99 Rwanda 20 42 36 50 37 31 108 100 Bhutan 42 34 51 18 36 37 100 101 Indonesia 25 36 42 39 36 42 93 102 Bolivia (Plurinational State ) 40 42 48 12 35 38 96 103 Bangladesh 18 31 24 68 35 25 117 104 ôte 'Ivoire 27 34 35 45 35 25 116 105 Ghana 35 41 37 28 35 43 91 106 Uzbekistan 47 41 36 16 35 35 104 107 Cameroon 25 12 26 76 35 24 118 108 Nepal 20 34 33 52 35 28 111 109 Zimbabwe 23 32 39 39 33 36 101 19 2017 Rank Economy Share individuals Internet (2016) Share individuals account (15+, 2014 latest) Secure Internet servers 1 million people (normalized, 2016) UPU postal reliability score (2016) Index (2016 data) Index (2015 data) Index Rank (2015 data) 110 Gabon 48 33 48 0 32 32 106 111 Togo 11 18 39 60 32 22 123 112 Senegal 26 15 35 45 30 37 98 113 Angola 13 29 34 41 29 24 120 114 Swaziland 29 29 46 13 29 30 109 115 Cambodia 26 22 38 30 29 26 114 116 Egypt 39 14 35 27 29 43 90 117 Kyrgyzstan 35 18 44 18 29 27 112 118 Madagascar 5 9 23 78 29 13 137 119 Tanzania, United Republic 13 40 26 30 27 36 102 120 Pakistan 16 13 29 39 24 30 110 121 Zambia 26 36 35 0 24 31 107 122 Nicaragua 25 19 45 4 23 24 119 123 Myanmar 25 23 24 20 23 22 124 124 Mali 11 20 24 35 23 17 130 125 Lesotho 27 18 36 7 22 23 121 126 Mauritania 18 23 28 15 21 23 122 127 Syrian Arab Republic 32 23 13 14 21 36 103 128 Burkina Faso 14 14 20 25 18 17 134 129 Djibouti 13 12 39 8 18 20 126 130 Liberia 7 19 32 12 18 18 127 131 Malawi 10 18 25 15 17 18 128 132 Afghanistan 11 10 22 23 17 16 135 133 Ethiopia 15 22 5 23 16 27 113 134 Haiti 12 19 29 4 16 16 136 135 Congo 8 17 26 12 16 17 131 136 Sierra Leone 12 16 14 21 16 17 132 137 Sudan 28 15 4 12 15 17 133 138 Benin 12 17 31 0 15 20 125 139 Iraq 21 11 23 0 14 18 129 140 Burundi 5 7 14 12 10 11 138 141 Comoros 8 22 0 4 8 9 141 142 Guinea 10 7 0 12 7 10 139 143 Chad 5 12 5 0 6 10 140 144 Niger 4 7 2 0 3 7 142 20 Table 10: Internet shoppers share Internet users population, latest year Economy share Internet users (%) share population (%) Total millions Latest data Note Argentina 26 16 4.76 2014 Buy product online, 18+, year, source: Pew. Armenia 1 1 0.01 2015 Shop, 18+, source: Caucasus Barometer. Australia 61 52 9.66 2015 Purchase order goods services 15+, 3 month, source: ABS. Austria 68 57 4.29 2016 Internet purchase, year, Age 16‐74, source: EUROSTAT. Bahrain 35 33 0.35 2015 Purchasing ordering goods services, Nielsen. Bangladesh 23 2 2.55 2014 Buy product online, 18+, year, source: Pew. Belarus 24 14 1.14 2014 Ordering purchasing goods services, Age 6+, source: BelSTAT. Belgium 65 57 5.32 2016 Internet purchase, year, Age 16‐74, source: EUROSTAT. Botswana 13 5 0.06 2014 ‐commerce, Age 10+, source: Statistics Botswana. Brazil 38 23 37.48 2016 Buy products services year, Age 10+, source: CGI.br Bulgaria 27 17 1.03 2016 Internet purchase, year, Age 16‐74, source: EUROSTAT. Chile 35 26 3.66 2014 Buy product online, 18+, year, source: Pew. China 64 34 466.54 2016 Online shopping; year, Age 6+; source: CNNIC. Colombia 10 6 2.50 2016 Buy/order products services, Age 5+, source: DANE. Croatia 45 33 1.17 2016 Internet purchase, year, Age 16‐74, source: EUROSTAT. Cyprus 38 29 0.28 2016 Internet purchase, year, Age 16‐74, source: EUROSTAT. Czech Republic 57 47 4.19 2016 Internet purchase, year, Age 16‐74, source: EUROSTAT. Denmark 84 81 3.89 2016 Internet purchase, year, Age 16‐74, source: EUROSTAT. Egypt 5 2 1.59 2016 Bought online 12 months, 15+, year, source: MCIT. El Salvador 8 3 0.12 2014 Buy product online, 18+, year, source: Pew. Estonia 64 56 0.61 2016 Internet purchase, year, Age 16‐74, source: EUROSTAT. Finland 72 68 3.11 2016 Internet purchase, year, Age 16‐74, source: EUROSTAT. France 75 65 35.31 2016 Internet purchase, year, Age 16‐74, source: EUROSTAT. Georgia 3 1 0.04 2015 Shop, 18+, source: Caucasus Barometer. Germany 82 74 53.02 2016 Internet purchase, year, Age 16‐74, source: EUROSTAT. Ghana 6 1 0.19 2014 Buy product online, 18+, year, source: Pew. Greece 45 31 2.86 2016 Internet purchase, year, Age 16‐74, source: EUROSTAT. Honduras 5 1 0.09 2014 Comprar Productos Servicios, 3 months, INE. Hong Kong (China) 32 28 1.78 2016 Online shopping, Age 15+, year, &SD. Hungary 48 38 3.19 2016 Internet purchase, year, Age 16‐74, source: EUROSTAT. Iceland 68 67 0.17 2014 Internet purchase, year, Age 16‐74, source: EUROSTAT. India 22 3 28.24 2014 Buy product online, 18+, year, source: Pew. Indonesia 9 2 3.63 2014 Buy product online, 18+, year, source: Pew. Ireland 71 58 2.18 2016 Internet purchase, year, Age 16‐74, source: EUROSTAT. Israel 39 31 1.68 2016 Shopping, Age 20+, Source: CBS. Italy 41 28 14.81 2016 Internet purchase, year, Age 16‐74, source: EUROSTAT. Japan 57 47 57.20 2014 “buying / exchanging goods services”; source: MIC. Jordan 27 12 0.50 2014 Buy product online, 18+, year, source: Pew. Kenya 16 5 1.20 2014 Buy product online, 18+, year, source: Pew. Korea, Republic 54 46 22.48 2015 Internet shopping users, Age 12+, Source: KISA/ISIS. Latvia 55 45 0.74 2016 Internet purchase, year, Age 16‐74, source: EUROSTAT. Lithuania 44 33 0.80 2016 Internet purchase, year, Age 16‐74, source: EUROSTAT. Luxembourg 80 78 0.38 2016 Internet purchase, year, Age 16‐74, source: EUROSTAT. Macedonia, TFYR 20 15 0.26 2016 Internet purchase, year, Age 16‐74, source: EUROSTAT. 21 Malaysia 16 11 2.61 2015 Purchasing ordering goods services, Age 15+, source: DOS. Malta 62 48 0.18 2016 Internet purchase, year, Age 16‐74, source: EUROSTAT. Mauritius 18 9 0.10 2016 Purchase goods / services, Age 12+, Stat Mauritius. Mexico 10 6 6.06 2015 Purchases Internet, year, Age 6+, source: INEGI. Moldova 16 11 0.32 2014 Purchasing ordering goods services private entities, Age 16+, source: CBS‐AXA. Montenegro 17 12 0.06 2016 Internet purchase, year, Age 16‐74, source: EUROSTAT. Morocco 12 7 2.16 2016 Purchase order goods services, Age 12‐65, source: ANRT. Netherlands 79 73 10.43 2016 Internet purchase, year, Age 16‐74, source: EUROSTAT. Zealand 62 55 2.01 2015 Shop online, 10+, source: Nielsen. Nicaragua 7 3 0.11 2014 Buy product online, 18+, year, source: Pew. Nigeria 11 4 3.83 2014 Buy product online, 18+, year, source: Pew. Norway 79 77 3.30 2016 Internet purchase, year, Age 16‐74, source: EUROSTAT. Paraguay 9 4 0.24 2015 Buy sell products & services, Age 10+, source: DGEEC. Peru 6 3 0.64 2016 Buy products / services, Age 6+, source: INEI. Philippines 7 3 1.84 2014 Buy product online, 18+, year, source: Pew. Poland 56 41 13.22 2016 Internet purchase, year, Age 16‐74, source: EUROSTAT. Portugal 43 30 2.68 2016 Internet purchase, year, Age 16‐74, source: EUROSTAT. Romania 18 12 1.98 2016 Internet purchase, year, age: 16‐74, source: EUROSTAT. Russian Federation 35 25 30.03 2016 ‐Shoppers, 18+, source: Ecommerce Foundation. Saudi Arabia 22 20 4.70 2015 Purchase place orders product() / service(), Age 12+, source: CITC. Singapore 60 47 2.22 2015 Online purchase, 15+, source: IDA. Slovak Republic 68 54 2.50 2016 Internet purchase, year, Age 16‐74, source: EUROSTAT. Slovenia 53 40 0.70 2016 Internet purchase, year, Age 16‐74, source: EUROSTAT. South Africa 14 6 2.30 2014 Buy product online, 18+, year, Pew. Spain 54 44 17.31 2016 Internet purchase, year, Age 16‐74, source: EUROSTAT. Sweden 80 74 6.09 2016 Internet purchase, year, Age 16‐74, source: EUROSTAT. Switzerland 67 56 3.93 2014 Purchase order , Age 15+, source: OFS. Tanzania, United Republic 15 3 0.77 2014 Buy product online, 18+, year, source: Pew. Thailand 8 4 2.36 2016 Online purchase goods & services, Age 6+, source: TNSO. Turkey 29 17 9.99 2016 Internet purchase, year, Age 16‐74, source: EUROSTAT. Uganda 4 1 0.10 2014 Buy product online, 18+, year, source: Pew. Ukraine 44 23 9.03 2014 Buy product online, 18+, year, source: Pew. United Arab Emirates 14 13 0.99 2014 Purchasing ordering goods services, 3 months, Age 15‐74, source: TRA. United Kingdom 86 77 39.40 2016 Internet purchase, year, Age 16‐74, source: EUROSTAT. United States 80 67 175.20 2015 Users purchase online, Age 18+, source: Digital Future Study. Viet Nam 26 11 7.44 2014 Buy product online, 18+, year, source: Pew. Zambia 6 1 0.05 2015 Online shopping, Age 10+, ZICTA. Zimbabwe 1 0.2 0.06 2014 Purchase order goods service, 3+, source: ZIMSTAT. Source: UNCTAD, based sources cited table. UN CTA UNITED NATIONS UNCTAD Technical Notes ICT Development 1. Implications Applying Definition «ICT Goods», 2011 2. Updating Partnership Definition ICT Goods HS 2007 HS 2012, January 2014 3. International Trade ICT Services ICT-enabled Services: Proposed Indicators Partnership Measuring ICT Development, October 2015 4. Global Assessment Sex-disaggregated ICT Employment Statistics: Data Availability Challenges Measurement Compilation, December 2015 5. Trade ICT Goods 2015 Expansion WTO Information Technology Agreement, December 2015 6. Search Cross-border -commerce Trade Data, April 2016 7. UNCTAD B2C -commerce Index 2016, April 2016 8. «» Digital Economy Development, October 2017 9. UNCTAD B2C -commerce Index 2017, October 2017 information UNCTAD› work ICT Development contact: ICT Analysis Section Division Technology Logistics www.unctad.org/ict4d ict4d@unctad.org Cover_TN_ICT4D_09_Index2017 TN_UNCTAD_ICT4D_09_B2CIndex2017_revROU cover template TN_ICT4D9Index_i