importance of digital soverignty

The 5 Reasons Why Digital Sovereignty Has Become Vital for European Retailers

By Charlotte Journo-Baur, founder of WISHIBAM

In a world dominated by American and Chinese digital giants, a crucial question emerges for European retailers: are we destined to become mere tenants on foreign platforms that dictate their own rules?

With 72% of European e-commerce data now hosted outside the EU (Eurostat, 2024), this dependency is not just theoretical but a major strategic issue. Why is WISHIBAM’s vision of digital sovereignty an asset for European retailers? Here’s how merchants can regain control of their digital future, and why embracing sovereignty is both a regulatory imperative and a decisive competitive edge.

Sovereign Digital: A Strategic Urgency for European Retailers

Technological Independence from American and Chinese Giants: A Survival Issue

When I founded WISHIBAM, I quickly realized that most European retailers had unconsciously surrendered their digital sovereignty. The numbers are alarming: 72% of European e-commerce data is now hosted outside the EU, mainly on American or Chinese servers (Eurostat, 2024). This creates a structural risk for our commerce.

In practice, imagine you’re a retailer in France or Germany. Your customer data, purchase histories, pricing strategies—all could fall under foreign legislation like the American Cloud Act. I’ve met digital leaders from large brands horrified to discover their strategic data could be legally accessed by foreign authorities—without their consent.

This dependency goes beyond legal risk. It erodes margins as well. Marketplace commissions can rise to 20%, slowly choking profits. As one textile commercial director told me, “We’ve become addicted to these platforms for our sales volume, but each year, they take a larger share of our value.”

Beyond margins, the most insidious risk is the loss of ownership of the customer experience. When customers buy via global marketplaces, who really owns the relationship? A Forrester study (2023) found 67% of consumers associate their purchase with the platform, not the brand. This disintermediation threatens the very existence of traditional retailers.

Increasingly Demanding European Regulations: GDPR, DSA, DMA

Europe is addressing these risks with an ambitious regulatory arsenal. The GDPR was only the beginning; the Digital Services Act (DSA) and Digital Markets Act (DMA) further strengthen the framework.

The challenge? Most tech solutions used by European retailers weren’t built for these standards. Retroactive compliance leads to complex, fragile architectures. I’ve seen CIOs discover, during audits, that their stack exposed them to major risks, with fines reaching up to 6% of global revenue.

This is precisely where WISHIBAM stands out. Our platform isn’t retrofitted for European standards—it’s compliant by design. Every line of code, every data flow, was conceived from the start to meet EU requirements. No nasty surprises at audit time.

Turning compliance into a competitive advantage: Where others see GDPR as a burden, we’ve made it a core value. As one legal director put it: “With WISHIBAM, I sleep soundly, knowing we’re on the right side of regulation without sacrificing performance.”

WISHIBAM, Sovereign Technology Designed for Physical and Digital Commerce

A 100% European, Secure, and Ethical Infrastructure

In digital sovereignty, concrete technical choices matter. At WISHIBAM, we made a radical commitment: all our data is hosted exclusively in France on certified European infrastructure. This isn’t a detail—it’s a structuring choice.

This contrasts with industry norms: 78% of e-commerce solutions in Europe still run on US or Chinese clouds (ANSSI). The WISHIBAM difference? Total transparency, absolute control. The data belongs to the merchants, not us. Clients can export all their data at any moment with no proprietary lock-in.

Ethics guide our approach to algorithms too. Our recommendation and promotion systems are fully transparent and configurable. As a home décor e-commerce director told me: “For the first time, I truly understand how my site works. It’s no longer a black box.”

This translates into 18% higher conversion rates for WISHIBAM-powered sites, driven by consumer trust in local, privacy-respecting solutions.

An All-in-One Omnichannel Solution, Designed With and For Retailers

Digital sovereignty should never come at the expense of user experience or business performance. That’s why we developed an omnichannel solution tailored to European retailers’ unique needs.

  • Digitalization of 150+ city centers and malls across Europe
  • Online-physical integration: real-time stock sync, seamless Click & Collect
  • Loyalty features that reward local shopping

Example: In a major Italian shopping center, our solution drove 23% more in-store footfall within three months, thanks to a platform that let consumers browse local offerings online and visit stores physically.

WISHIBAM’s strength lies in its adaptability. A Spanish mall director told me: “Your solution actually understands the nuances of Mediterranean retail, while bringing global best practices.”

Built hand-in-hand with retailers: Every new feature is developed in partnership with on-the-ground merchants, tested in real life, then scaled up. This collaborative, artisanal approach drives real adoption and effectiveness.

A Lever for Competitiveness and Engagement for European Brands

Reclaiming Control Over Customer Relationships and Data

The modern retail battle is all about the customer relationship. According to McKinsey (2024), 40% of European consumers now prioritize a local, personalized experience. This is a historic opportunity for retailers who can blend strong local roots with digital excellence.

With WISHIBAM, retailers can create powerful local marketplaces without cannibalizing physical stores. Tech acts in service of each brand’s and territory’s unique identity—not generic platform rules.

Results speak volumes. An indie bookstore chain grew sales by 31% in one year by using our tech: better data-driven recommendations, in-store pickups, plus hybrid events.

Customer data becomes a strategic asset—controlled and leveraged, not exploited by outsiders. As a fashion brand’s marketing chief told me: “Before WISHIBAM, we felt we were feeding someone else’s algorithm. Now we’re growing our own customer capital.”

  • Average basket size up 24%
  • Loyalty rates 28% higher than the market average
  • Each customer touchpoint increases knowledge and strengthens future engagement

Promoting a More Sustainable and Fair European Model

Digital sovereignty also lets brands embody a European model of fair, sustainable commerce—an increasingly important market differentiator.

  • Shorter supply chains, fewer intermediaries
  • Support for local merchants and employment
  • Reduced carbon footprint (up to 68% versus global platforms)

This resonates with next-gen consumers. Deloitte (2023) found 62% of Millennials and Gen Z are willing to pay more for products from responsible sources.

As an independent Lyon retailer put it: “Thanks to WISHIBAM, my neighborhood shop now competes with digital giants. My customers love buying online and supporting local business.”

Ethics aren’t a side note—they’re a major driver of market differentiation, building loyalty among customers who care about impact, not just price.

Conclusion: Digital Sovereignty, Key to the Future of European Retail

Digital sovereignty is now a strategic imperative for European retailers. In a world where tech giants capture increasing value, regulation grows stricter, and consumers demand authenticity, brands must reassert digital control.

WISHIBAM embodies this path—a sovereign, high-performing digital solution aligned with the values of local commerce. Our 100% European infrastructure, ethical data approach, and omnichannel vision provide all the tools retailers need to thrive in the digital economy—without sacrificing identity or independence.

The results: increased store traffic, stronger conversion, better loyalty. Digital sovereignty isn’t defensive—it’s a force for growth and innovation.

The future of European retail will be shaped by those who defend their sovereignty while fully embracing digital innovation. At WISHIBAM, we’re proud to support brands on this essential journey—toward a more resilient, value-driven, and authentically European commerce.

FAQ: Digital Sovereignty and European Retailers

Why is digital sovereignty so important for European retailers today?

Digital sovereignty has become crucial because 72% of European e-commerce data is hosted outside the EU, exposing retailers to legal risks, loss of control over their customer data, and increasing dependence on third-party platforms. In an increasingly strict European regulatory context (GDPR, DSA, DMA), mastering one’s digital infrastructure is no longer optional but strategic.

How does WISHIBAM concretely guarantee retailers’ digital sovereignty?

WISHIBAM ensures digital sovereignty via a 100% European infrastructure with data exclusively hosted in France, which remains the complete property of merchants. Our platform is “by design” compliant with European regulations, with transparent and customizable algorithms, without any reselling of data to third parties.

What concrete commercial advantages can retailers expect from a sovereign approach to digital?

Commercial advantages include an average basket increase of 24%, conversion rates 18% higher than the industry average, and increased in-store traffic (up to 23% observed in some deployments). Data mastery also allows finer personalization of offerings and enhanced customer loyalty, with retention rates 28% higher than the industry average.

Is digital sovereignty compatible with commercial performance?

Not only is digital sovereignty compatible with commercial performance, but it amplifies it. WISHIBAM’s solutions have enabled retailers to increase their turnover by up to 31% in one year. This performance is explained by better customer knowledge, a smooth omnichannel experience, and a response to the expectations of 40% of consumers who now prioritize a local and personalized shopping experience.

How does digital sovereignty fit into a sustainable development approach?

Digital sovereignty naturally promotes a more sustainable business model by favoring short supply chains, local employment, and reducing the logistics carbon footprint (up to 68% reduction compared to global platforms). This approach meets the expectations of 62% of Millennials and Generation Z willing to pay more for products from responsible distribution channels.