Login

|

Register

Expandly Blog

Your First Move Into Europe: How to Choose the Right Market

European ecommerce is nearly $436 billion a year. Most US brands already have European customers. The question is which market to enter properly first.

In This Article

01 Why European expansion timing matters now
02 UK: the natural first market for US brands
03 Germany and Netherlands as your EU core
04 France: high reward, higher compliance requirements
05 Poland: the fastest-growing EU market

Key Takeaways

► UK, Germany, and Netherlands offer the lowest-friction EU entry
► UK and EU are separate registrations since Brexit
► France's EPR requirements demand early compliance planning
► Market selection determines how fast first EU revenue arrives

European ecommerce is generating close to $436 billion in annual online revenue, and US brands on Shopify or Amazon are already serving European customers via international shipping. The question isn't whether to expand. It's which market gives you the best return on a structured entry, and which ones to prioritize after that.

$436bn Estimated EU ecommerce revenue in 2025. The UK adds another $170bn+ as a separate market. Source: ECDB / trade.gov, 2025.

Three markets consistently represent the highest value, lowest-friction entry point for US brands: the UK, Germany, and the Netherlands. All three have ecommerce penetration rates above 80%, strong consumer spending across categories like health and wellness, home goods, and fashion, and logistics infrastructure that supports local fulfilment from the start.

The UK is the world's third largest ecommerce market and the natural first choice for most US brands. Language is a starting point, but market dynamics matter more. UK consumers have strong brand affinity for US products, Amazon UK is a proven early channel, and the compliance requirements are well-defined. One planning note: since Brexit, UK and EU VAT registrations are entirely separate. Brands that plan for both from day one save meaningful time further down the road.

Germany and the Netherlands form the operational core of the EU. Germany is the EU's largest ecommerce market. The Netherlands is the logistics gateway for the continent and the fastest EU country for VAT registration, typically 3 to 4 weeks. France surpassed €175 billion in online sales in 2024 and carries the most extensive Extended Producer Responsibility requirements of any EU market, covering packaging, textiles, furniture, toys and more. Budget for that compliance overhead before entering, not after. Poland rounds out the strategic picture as the fastest-growing major EU ecommerce market, with €43.4 billion in online sales in 2024 and double-digit annual growth projected through 2025.

  • UK: 3rd largest ecommerce market in the world. Separate from EU compliance. Strong consumer demand for US brands in fitness, beauty, and home categories.
  • Germany: Largest EU ecommerce market. VAT registration takes 10 to 16 weeks. EPR packaging registration is mandatory from day one, with no minimum threshold.
  • Netherlands: EU logistics hub with 3 to 4 week VAT registration. Strong ecommerce penetration and the gateway to pan-European fulfilment.
  • France: High-value market requiring full EPR compliance across multiple categories. Entry complexity is higher, but revenue opportunity matches it.

Expandly's Global Expansion Pathway (GEP™) starts with the Explore stage, identifying which markets match your product, your demand signals, and your compliance readiness. Getting that selection right determines how quickly you reach your first European sale.

Expandly helps US ecommerce brands expand into Europe — compliance, marketplaces and fulfilment, all handled. We’ve supported 2,000+ brands make the move.

  • Expandly AI guidance and alerts built into the platform
  • 17 years' experience, 2000+ brands expanded — Andy Hooper, Founder

The bigger picture

EU market selection the foundation of profitable expansion

Choosing the right first market isn't just a commercial decision. It determines your compliance timeline, your logistics setup, and how quickly you can be trading legally. The UK, Germany, and Netherlands form the standard starting combination for US brands because they balance revenue potential with manageable compliance lead times. Expandly's GEP™ begins with the Explore stage, mapping where your product demand already exists against where you can get compliant fastest. That sequencing is what turns a market entry plan into a first-sale date.

  • Netherlands VAT registration: 3 to 4 weeks. The fastest in Europe and the logical compliance starting point for EU entry.
  • Germany EPR packaging is mandatory from day one with no minimum threshold. Register before goods arrive at the warehouse.
  • Expandly's EU onboarding covers UK and EU compliance as a combined programme, so no market gets missed.

European Ecommerce Opportunity

EU ecommerce revenue is approaching $436 billion annually, with the UK adding another $170bn+ as a separate market. US brands with existing European demand can access this through structured, local-market operations rather than international shipping.

$436bn

estimated EU ecommerce revenue in 2025 (ECDB)

High-Penetration Entry Markets

The UK, Germany, and Netherlands all have ecommerce penetration rates above 80%. These are markets where consumers are already conditioned to buy online, making them lower-risk entry points for US brands launching European operations.

80%+

ecommerce penetration in UK, Germany, and Netherlands (ECDB, 2025)

Compliance-First Onboarding

Product compliance and VAT setup run in parallel from day one. From there, VAT registration, marketplace setup and EU-local fulfilment follow in the right order.

2,000+

brands expanded with Expandly

If this sounds like your world,
let's talk.

Expandly helps US ecommerce brands expand into Europe — compliance, marketplaces and fulfilment, all handled.

Self-Serve

Guided

VIP