In just one year, 2023, the sales of the top 10 online retailers in Bulgaria grew by nearly 27%, exceeding 510 million levs (255 million euro).
In recent years online shopping has been experiencing a boom globally. The number of people shopping online has been steadily increasing to surpass 2.7 billion by 2024, which is 2.7% more than the previous year, according to eMarketer.
Bulgaria is keeping up with global trends. Over the past four years, online sales in the country have been growing in double digits, according to data from the Bulgarian E-commerce Association (BEA). In 2024, purchases from online stores were projected to increase by 20%, surpassing 2 billion. Since the pandemic year of 2020, the market has more than doubled-from 0.97 billion euro back then to an expected value of 2.34 billion euro in 2024. As a result, the sector now accounts for 2.34% of the country's GDP.
The leading trio
A ranking compiled by the Capital Weekly of the largest online retailers (excluding electronics traders) also reveals impressive performance. The list includes only companies registered in Bulgaria for which e-commerce is their primary or sole business channel.
An exception is the leader in the ranking, Ozone Entertainment (ozone.bg), which is listed with its consolidated revenues. The company sells video games, books, puzzles, gaming peripherals, board games, electronics, toys, baby products, and more. In recent years, it has expanded its portfolio through acquisitions, including the Pulsar video game chain, baby products site Baby.bg, photography equipment store Photo Pavilion, bookstore BG Uchebnik, publishing house Artline, and others. It has also doubled its warehouse space in the town of Elin Pelin near Sofia. As a result, consolidated revenues continued to grow steadily in 2023, increasing by 34% to 170 million levs, following a surge of almost 73% the previous year. However, expansion has also led to rising expenses, reducing net profit to below 1 million levs. The second-ranked company, second-hand clothing retailer Remix Global, reported a third consecutive year of losses, with the deficit deepening. The company, which operates in nine Central and Eastern European countries, is also the only one in top 10 with a negative financial result. Nevertheless, revenues maintained double-digit growth, albeit slower - 27% in 2023, down from 38% in 2022. In nominal terms, total sales for the last reported financial year reached 114 million levs, with 43 million levs coming from the Bulgarian market.
For the third-ranked company, Convenience, 2023 was the first year with a net profit from operations. The company operates the eBag online supermarket, initially partnering with the Fantastico chain, but since 2018 it has operated independently, opening its own logistics center and continuously expanding its product portfolio. Its geographical coverage has also grown - from Sofia only to include the cities of Plovdiv, Asenovgrad, Pazardzhik, Pernik, Bansko and Blagoevgrad. In 2023 sales increased by 36.45%, reaching 68.6 million levs. Company founder Ivan Alexandrov expects revenues will exceed 100 million levs in 2024.
The rest in top 10
Another top 10 company operating in the food delivery segment is Glovo, ranked fifth. It operates locally through Glovoapp Bulgaria, a subsidiary of the Spanish Glovo Group, which acquired competitor Foodpanda (Delivery Hero) in Bulgaria and Romania in 2021. Initially focusing on restaurant food deliveries, Glovo has since expanded into groceries, pharmaceuticals and even flowers. It partners with both large chains and small local businesses in Bulgaria. In 2023 sales reached 31.6 million levs, growing by 40.6%, the highest increase in top 10. The company's cash flow data suggest that orders worth over 100 million levs were processed through its platform.
Also in the top half of the ranking is the online retail store for gardening, agricultural and other equipment BG Machines (4th place). The company operates OnlineMashini.bg, founded over 10 years ago, and its sole owner, Svilen Kostov, expects the 30-plus percent growth rate of 2023 to continue into 2024. The company is building its own warehouse facility with a 15 million levs investment and aims to expand into neighboring countries.
The most numerous category in top 10 is clothing, footwear, and accessories retailers. Among them, the best-performing is ShopSector (6th place), an online sports shoe retailer owned by Alexander Ivanov. The store offers brands such as Adidas, Puma, Reebok, Nike and Supra and is among Bulgaria's top footwear sellers. In 2023 revenues increased by 18% to 23 million levs.
Two other clothing retailers saw revenues decline. Blagoevgrad-based OnlineDress (8th place), owned by Radoslav Stamenov, which operates the Creative brand (women's clothing, bags, and accessories), saw a 5.8% drop in sales to just under 18 million levs. Similarly, Plovdiv-based Noople (9th place), which runs bg.euromart.com, reported a 7.7% revenue decrease, selling over 16 million levs worth of clothing, shoes, and accessories in 2023.
Another company with a decline in sales was Atop (7th place), known for its WowTea brand of health and diet products. Revenues fell by 4% to just over 18 million levs. However, the company remains the most profitable in top 10, with a profit margin of 15.8% and a net profit of nearly 2.9 million levs. Rounding out top 10 is Plovdiv-based LaDigue, which specializes in online sales of cosmetic products. The company is best known for its WaXx.me hair removal products and DipMe manicure items but its brands also include skincare, epilation, teeth whitening and pet care products. In 2023 revenues grew by over 33% to 14.2 million levs following the prior year's decline, meaning turnover has merely returned to 2021 levels. According to the company's website, its products are available in over 50 countries, with more than 1,000 daily sales.
In just one year, 2023, the sales of the top 10 online retailers in Bulgaria grew by nearly 27%, exceeding 510 million levs (255 million euro).
In recent years online shopping has been experiencing a boom globally. The number of people shopping online has been steadily increasing to surpass 2.7 billion by 2024, which is 2.7% more than the previous year, according to eMarketer.
