Central Europe Becomes the Region to Watch for E-commerce Growth

Central Europe Offers Growth While Western Markets Mature

The report points to a clear contrast between the two parts of the region.

Western Europe remains the largest contributor to online retail revenue, led by the UK, Germany and France, which together account for 76% of the region’s e-commerce market. Central Europe, however, combines lower online retail penetration with steady market growth, creating different competitive conditions for retailers entering the region.

One common feature across Poland, Czechia, Hungary and Slovakia is that a relatively small share of total retail sales currently takes place online. Czechia records the highest online retail penetration among the four markets at 12%, followed by Poland at 7%, Slovakia at 6% and Hungary at 5%. All remain below the Central and Western European average of 18%.

Poland Strengthens Its Position as the Region’s Largest Market

Poland is already Central Europe’s largest e-commerce market and, according to ECDB, it is expected to remain its fastest-growing over the next few years.

The market generated US$32 billion in online retail sales during 2025, making it the fourth-largest e-commerce market across Central and Western Europe after the UK, Germany and France. It has already overtaken both the Netherlands and Switzerland.

The country’s online retail penetration remains relatively low at 7% of total retail sales, suggesting further scope for e-commerce expansion compared with more mature European markets.

Allegro continues to dominate the market, accounting for roughly half of Poland’s e-commerce sales. MediaExpert ranks second, while Temu has become the country’s third-largest online store by gross merchandise value (GMV).

Together, Temu and AliExpress generate more than US$3.5 billion in Polish sales, representing more than one tenth of the market.

Czechia Shows a More Mature E-commerce Market

Czechia has the highest online retail penetration among the four countries analysed in the report.

The market generated US$8.2 billion in e-commerce revenue in 2025 and is forecast to reach US$11 billion by 2029, with annual growth of around 7%. Online sales account for 12% of total retail spending, a higher share than elsewhere in Central Europe.

Alza remains the country’s leading online retailer, while Temu has already reached second place in the market ranking and AliExpress also features among the country’s largest online stores. ECDB also identifies Rohlik as a notable domestic online grocery retailer that has established a significant position in the Czech market.

Hungary Faces the Strongest Pressure From Chinese Retailers

Hungary stands apart from the other three markets because Chinese cross-border retailers have established the strongest position there.

ECDB estimates Hungarian e-commerce revenue at US$5 billion in 2025, rising to US$6.6 billion by 2029. At the same time, online retail accounts for only 5% of total retail sales, the lowest share among the four countries.

Unlike neighbouring markets, Temu is already Hungary’s largest online store, ahead of eMAG, while AliExpress ranks third. Three of the country’s five largest online retailers are Chinese platforms, making Hungary the most exposed market in the region to cross-border competition.

Slovakia Follows Similar Competitive Trends

Slovakia remains the smallest market in the comparison, but its competitive landscape increasingly resembles its neighbours’.

ECDB values the Slovak e-commerce market at US$1.9 billion in 2025 and expects it to reach US$2.4 billion by 2029, representing annual growth of around 7%. Online retail currently makes up 6% of total retail spending.

Alza.sk continues to lead the market, while Temu and AliExpress occupy second and third place. The report also notes that Allegro is continuing its expansion beyond Poland into neighbouring countries.

Chinese Marketplaces Continue to Reshape Competition

The report identifies Chinese cross-border marketplaces as one of the defining competitive forces across Central Europe.

Chinese retailers already rank among the leading online stores in all four markets. In Poland, three of the six largest online stores are Chinese platforms. In Czechia and Slovakia, Temu ranks second behind Alza, while Hungary is the only market where Temu has already taken the top position.

The report estimates Temu generated approximately US$2.02 billion in Poland during 2025, compared with US$1.28 billion in Czechia, US$1.21 billion in Hungary and US$460 million in Slovakia. AliExpress contributes a further US$2.7 billion across the four markets combined.

For retailers and brands considering expansion into Central Europe, the report indicates that competition increasingly comes from two directions: established domestic leaders such as Allegro, Alza and eMAG, alongside rapidly expanding Chinese marketplaces that continue to increase their presence across the region.