The latest National Bank of Georgia H1 2025 data highlight a fascinating split in the country’s non-cash card payment landscape:
- By Number of Transactions: eCommerce: 22.26% vs POS Terminals: 77.74%
- By Volume (Value of Transactions): eCommerce: 44.05% vs POS Terminals: 55.95%
At first glance, this suggests a healthy balance between in-store (POS) and online transactions. But the reality is more complex.
The Nuance
Around 85% of eCommerce transactions are gambling-related, with a significant share also coming from P2P transfers. In other words, what we call “eCommerce” in Georgia is still dominated by activities that don’t reflect the broader online retail economy. Unlike in global markets, online shopping, digital services, and subscription platforms make up only a small fraction of Georgian eCommerce today.
Despite these challenges, there are promising signs of growth:
- Global platforms like Glovo, Wolt, and Bolt are now part of Georgians’ everyday routines, shaping consumer expectations around convenience and speed.
- Local eCommerce players — extra.ge, vendoo.ge, veli.store — are gaining traction, showing strong demand for quick commerce solutions.
- Large retailers such as Alta.ge, JYSK.ge, and dressup.ge are also moving online, proving that traditional retail can adapt to digital channels.
What’s Missing?
Even big retailers still struggle to fully align their digital platforms with customers’ everyday lives. The biggest gap, however, lies with small and mid-sized retailers, most of whom still lack websites or mobile apps. This not only limits consumer choice but also slows the development of a robust and diversified digital commerce ecosystem.
Another gap is the checkout experience. In leading markets, seamless checkout has become a growth engine:
- Platforms bundle delivery and logistics directly into checkout, removing operational burdens for merchants.
- Targeting tools personalize offers, recommend products, and build loyalty.
In Georgia, checkout is often fragmented with merchants managing logistics separately, payment flows breaking mid-process, and limited personalization.
This not only limits consumer choice, but also slows the development of a robust and diversified digital commerce ecosystem, where both global platforms and local retailers could thrive side by side.
What Does International Practice Show?
Countries that have succeeded most such as China, India, and Brazil invested heavily in:
- Seamless checkout ecosystems (QR codes, one-click pay, bundled delivery).
- Unified instant payment systems (UPI in India, PIX in Brazil) integrated into retail and eCommerce.
- Trust frameworks (buyer protection, clear refund policies, merchant scoring) to encourage adoption.
The result? Frictionless, trusted, and data-driven experiences that make digital payments a natural part of daily life
The next chapter of Georgia’s eCommerce will not be written by global giants alone, but by the thousands of local businesses that gain the tools and trust to sell online. Building this foundation is how we unlock the “real” growth story.
Author: Mariam Gogia