The Romanian e-commerce market will exceed €1 billion by 2010

"We estimate that the Romanian online market will more than double in 2007, maintaining this pace until 2009-2010, when it is expected to reach an annual €1 billion," Marius Ghenea, General Manager of PCFun.ro, one of the main companies, told Business Standard.

This increase is mainly attributable to a low level of online shopping in Romania, and to this being increasingly perceived as a real alternative to traditional shopping, said Ghenea.

"The online market practically did not exist a year or two ago, but has recently begun attracting attention," he added.

PCFun.ro posted total sales exceeding $1 million (€729,600) in H2 2006, and estimates net sales worth $7.5 million (€5.4 million) in 2007, surpassing the $20 million (€14.5 million) threshold in 2008.

Company officials of major domestic online stores believe that the e-commerce market is just emerging and its growth rate is very alert. "The online commerce market in Romania could increase monthly by €15-20 million in 2007," said Mugur Cosmin Frunzetti, Managing Partner of MarketOnline.ro.

The MarketOnline.ro site was launched in November 2006, and registered €250,000 in sales in its first two months of activity, increasing constantly by 35-40 percent each month, to €3.5 million from January-June 2007. "In July, we reached one million euro worth of sales, much more than we estimated," Frunzetti said.

Main players on this e-commerce market are eMag.ro, PCFun.ro, PC Garage, MarketOnline.ro, and cel.ro.

"While there are many online stores, the top five companies claim more than three quarters of the market. eMag.ro registers monthly sales worth some €5-6 million," Frunzetti added.

eMag, leader on the Romanian e-commerce market posted total sales of €16.5 million in the first quarter of 2007. The company registered €35 million in business in 2006. Radu Apostolescu, General Manager and shareholder estimated net sales would double, to some €80 million in 2007. eMag.ro officials valuated the local online sales market at €125 million and forecast an an increase of some €300 million in 2008.