Market Trends of Turkey ICT Industry
This section covers the major market trends shaping the Turkey ICT Market according to our research experts:
Rapid Digitalization Use of Emerging Technologies
- Over the next four years, Turkey's spending on digital transformation initiatives is anticipated to more than treble. The widespread use of computers and expanding access to the internet, which has led to higher internet penetration, are accelerating the development of a fast digital model across the nation. Additionally, several small and medium-sized businesses are enhancing their operations by integrating cutting-edge tools and utilizing developing technologies in their operations, which is further projected to fuel the expansion of the Turkish technology industry.
- Artificial Intelligence is used in the fintech industry to carry out various tasks, including fraud detection, lending decision-making, credit risk assessment, customer service, wealth management, insurance, etc. Turkish fintech firms are rapidly utilizing AI to boost productivity, increase precision, and provide rapid query resolution.
- Meanwhile, the government has formed the New Generation Mobile Communication Technology forum, which comprises universities, operators, NGOs, and manufacturers, to meet the 5G requirements throughout the nation. A significant amount of data is being generated by the projected deployment of 5G technology and the growth of the telecommunications infrastructure; this data must be adequately preserved for processing in the future.
- Businesses with established infrastructure are adopting cloud computing services and are prepared to implement a hybrid strategy to benefit from both on-premises and cloud services. Small and medium-sized enterprises are largely using cloud computing services because of their many advantages, such as their absence of upfront infrastructure setup expenses and availability of computing services on demand. These reasons are influencing enterprises' utilization of hybrid cloud services.
- During the projection period, the nationwide cloud-based market is anticipated to be driven by the increasing usage of smart devices, such as smartphones, laptops, and desktops, to manage escalating data needs. Additional factors driving the market growth include the rising need for data-driven technologies like artificial intelligence (AI) and the Internet of Things and the expanding usage of microservice-based software development across various industrial sectors (IoT).
- Last year, Turkey had the highest scoring section, with an e-infrastructure rating of 0.76 out of one. On the other side, the nation's internet affordability score was merely 0.08.
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Significant Growth in E-commerce
- Despite the depreciation of the TL and the pandemic's continued impacts, Turkey's e-commerce business is expanding at noticeably faster rates than in prior years. Virtual marketplaces are among the e-commerce platforms in Turkey that are expanding the quickest. Turkish e-commerce platforms, including Trendyol, Hepsiburada, and Getir, have experienced rapid growth in recent years. Istanbul has, as a result, been included among the top 20 of the world's 100 finest start-up ecosystems in the gaming and e-commerce industries.
- For the past few years, e-commerce has grown substantially in Turkey. E-commerce has become an integral part of the consumer's life on the back of the ease of using digital gadgets, which eliminates the need to visit a store and allows for rapid price comparison and the selection of the most suited solutions for the budget.
- B2C e-commerce website traffic from mobile devices is rapidly increasing in the country. The ease of utilizing a mobile phone to purchase from e-commerce websites has helped sustain market demand. Online retail e-commerce is still expanding in the country as more people utilize smartphones and tablets. People can shop on their phones because of technical developments like 5G wifi, branded shopping applications, and social shopping.
- According to predictions, the Turkish e-commerce market, which has lately expanded quickly due to rising consumption in accordance with regularly changing expectations, requirements, and conditions brought on by the COVID-pandemic, is anticipated to continue expanding. Forecasts indicate that market revenue and the number of e-commerce consumers will soon continue to expand steadily.
- The second quarter of the last year saw the most e-commerce transactions in Turkey, with an estimated 463.6 million. More than 400 million more online transactions were carried out during the same period last year than this year, up from 326 million.
