Romania has emerged as a powerhouse in the world of IT outsourcing in the past couple of decades, including in the domain of e-commerce platform development. This Eastern European country provides a unique set of benefits that make it an attractive destination for businesses wishing to develop cutting-edge e-commerce platforms, do market research, or gain customer insights. Furthermore, Romania’s dynamic environment supports a culture of experimentation, making it an ideal location for companies to develop and apply innovative strategies.
Ever Wondered Why Romania? A Deep Dive into its E-Commerce Experimentation Allure.
A Large Pool of highly skilled Software Developers
Romania has a large number of highly skilled IT professionals, from software developers, engineers, business analysts, IT and Cloud experts, and testers, to designers and UI/UX specialists, covering all the roles needed in the Software Development Lifecycle. Romania has almost 220,000 software development professionals available, making it extremely popular as an offshore/nearshore location among Western European countries.
According to Clutch, there are at least 188 companies in Romania that specialize in e-commerce development, and many of them have been in the business for a very long time. This indicates a high level of specialised knowledge and targeted expertise among development teams. Romania’s emphasis on education and the development of a skilled workforce, particularly in IT and technology-related fields, ensures that businesses can find qualified professionals to work on their e-commerce projects, helping them break geographical barriers by scaling globally, to reach customers worldwide and grow profits.
Competitive Salaries and Cost-to-Quality Ratio
The cost advantage that Romania offers is one of the main attractions for outsourcing. You’ll find there far lower living expenses than both the US and Western European nations, which makes labour prices more competitive. Romania is a cost-effective alternative for outsourcing e-commerce platform development services since it allows businesses to save a significant amount of money without compromising on the quality of work.
English Proficiency
Romania’s national language is Romanian, but many citizens in the country are multilingual.
Schools around Romania teach English extensively, and many Romanians, especially the younger generation and professionals, show a high level of proficiency in the language. Because of their reputation for being skilled in English, Romanian engineers are suitable for working and communicating with clients from around the world. According to the EF English Proficiency Index, the country ranks 13 out of 34 in Europe and 15 out of 113 countries globally in terms of English-speaking ability.
In addition, all major digital agencies and software development companies have all their internal communication in English.
Agile Business Culture
Because of Romania’s natively agile business environment, companies can quickly adjust to market changes and explore new opportunities. The Romanian entrepreneurial spirit is rooted in the desire of enterprises to embrace experimentation as a way to stay ahead in a competitive landscape. This flexibility shortens the time it takes to develop ground-breaking concepts by facilitating a quicker cycle of testing and optimization for creative approaches.
Strategic Location
There are two main reasons why location matters: travel and timezone. Romania is in the European Union, at the intersection of Western and Eastern Europe, featuring the best of both worlds when it comes to work ethic, quality and business acumen.
Traveling to other EU member countries is quite easy, without any bureaucratic hassle. The two main IT cities in Romania: Bucharest, and Cluj-Napoca, have several daily flights to London and other major capitals. Clients can also drop by easily. Not to mention that with just one layover, Munich of Frankfurt usually, we’re also connected to major cities in the U.S.
As an Eastern European country, Romania overlaps, time zone-wise, with most of Europe. The time zone differences are easy to cover.
As far as the United States is concerned, there’s a 7-hour time difference from the East Coast and a 10-hour time difference from the West Coast. Meetings can take place in the morning or evening to maintain an effective schedule, especially in augmented teams.
The official timezone is GMT+3 (due to daylight saving time).
In the World of E-Commerce, Romania Stands Out—But Why?
A very well-developed digital landscape
In the last couple of years, Romania has had a significant increase in internet usage and digital adoption. This led to an increased smart device usage, and, consequently, an increased opportunity and appetite for online shopping. The Romanian population, especially the younger generations, but not only, is exposed to the digital environment from their early childhood years, so it’s safe to say that digital literacy is one of the highest.
E-commerce Growth:
“Romania is the 37th largest market for eCommerce with a predicted revenue of US$7,970.1 million by 2023, placing it ahead of Finland.” In 2022–2027, the Romanian e-commerce market is expected to grow at a compound annual growth rate of 11.56%.
This indicates a strong and promising future for this industry. Businesses in the Romanian e-commerce market should position themselves strategically to capitalize on this period of growth.
The Romanian e-commerce market reflects a diverse array of segments, with Hobby & Leisure, Electronics, Fashion, Furniture & Homeware, Care Products, DIY, and Grocery being the largest categories.
Consumer Behavior:
Romanian online buyers’ preferences and habits reveal a considerable inclination towards purchasing clothing, footwear, electronics, watches/jewellery, and cosmetics from online stores. Furthermore, about 70% of them research online before making a significant purchase, suggesting an informed attitude to online shopping.
Romanians who use digital products are often between the ages of 25 and 35, and they frequently choose to pay cash on delivery when placing items online.
It is anticipated that 11 million Romanians will be using online stores by 2025, with 33 percent of these users completing their transactions through mobile devices.
Final Thoughts
Essentially, Romania’s dynamic environment serves as a catalyst for companies willing to explore new territories in the e-commerce landscape. The blend of a highly competent and tech-savvy talent pool, an agile corporate culture, cost-effectiveness, and localization forms an ecosystem that drives experimentation to the forefront of business strategies. Romania stands out as an ideal setting where innovative ideas can take root and bloom for businesses looking to create and experiment in addition to outsourcing.
