Page 20 - index
P. 20
RESEARCH, ANALYSIS & TRENDS
The unstoppable and steady rise of
e-commerce in India
E-commerce in India has grown by 68% during the last willingness to make purchases on mobile devices is
three years, while in China and the United States it has remarkable. In fact, India’s status as a mobile-first mar-
only grown by 23% and 12% respectively. ket is reflected in its impressive retail m-commerce fig-
ures.
As one of the most populated countries in the world,
India is an important online market with currently more As said, the e-commerce revenue of India is also ex-
than 50 million online shoppers and this number is pected to increase, namely from 30 billion to more than
growing exponentially. There is a new Internet user eve- 120 billion dollars by the year 2020. The sector is grow-
ry 3 seconds, which means that every month nearly 1 ing at an incredible rate of 51% and is the highest in the
million Indians use the Internet for the very first time in world, pushed by a huge number of millennials and a
their lives in some way. young population as the driving factor of this growth.
Besides that, Indian online shoppers spent an average But despite the strong growth rate, retail e-commerce is
of $288 every year, so it is not a coincidence that e- expected to account for just 2.5% of total retail sales in
commerce in India is worth more than $22 billion today 2016 and 5.0% by 2020, according to an eMarketer
and expected to be worth over $100 billion by 2020. report, which puts India well behind China, where retail
e-commerce will constitute 18.4% of total sales in 2016.
It all started around 20 years ago (on August 15, 1995)
in India with the release of free internet that was em- Striking is the fact that compared to Western markets
braced quickly by the population and included in Indi- and China, that have seen slowdowns in their econo-
an’s daily lives. With an increase in the number of e- mies, India is expected to experience healthy GDP
commerce websites, diversification of small businesses, growth due in part to infrastructure investment and on-
and a growing internet penetration, India’s e-commerce going economic reforms. In addition, India has this
market is therefore predicted to increase exponentially massive population with a relatively young median age
in the coming 5 years. and as this cohort joins the labor force, they will also
add to the country’s new, expanding consumer class.
Anyway, the country differs from most developed mar- Besides that, mobile’s share of e-commerce will contin-
kets, where consumers are making the shift from desk- ue to grow over the next few years due to the imple-
top to mobile for shopping online, by skipping the desk- mentation of robust 4G networks by mobile carriers and
top phase altogether. the increasing working population and growing number
of middle-class households.
Although digital shoppers in India are increasingly ac-
cessing the web for the first time via smartphones, their DealSunny.com created a detailed infographic that
shows the incredible growth of e-commerce in India:
20 December 2016 - Customer Experience – Brand Experience goes Omnichannel
The unstoppable and steady rise of
e-commerce in India
E-commerce in India has grown by 68% during the last willingness to make purchases on mobile devices is
three years, while in China and the United States it has remarkable. In fact, India’s status as a mobile-first mar-
only grown by 23% and 12% respectively. ket is reflected in its impressive retail m-commerce fig-
ures.
As one of the most populated countries in the world,
India is an important online market with currently more As said, the e-commerce revenue of India is also ex-
than 50 million online shoppers and this number is pected to increase, namely from 30 billion to more than
growing exponentially. There is a new Internet user eve- 120 billion dollars by the year 2020. The sector is grow-
ry 3 seconds, which means that every month nearly 1 ing at an incredible rate of 51% and is the highest in the
million Indians use the Internet for the very first time in world, pushed by a huge number of millennials and a
their lives in some way. young population as the driving factor of this growth.
Besides that, Indian online shoppers spent an average But despite the strong growth rate, retail e-commerce is
of $288 every year, so it is not a coincidence that e- expected to account for just 2.5% of total retail sales in
commerce in India is worth more than $22 billion today 2016 and 5.0% by 2020, according to an eMarketer
and expected to be worth over $100 billion by 2020. report, which puts India well behind China, where retail
e-commerce will constitute 18.4% of total sales in 2016.
It all started around 20 years ago (on August 15, 1995)
in India with the release of free internet that was em- Striking is the fact that compared to Western markets
braced quickly by the population and included in Indi- and China, that have seen slowdowns in their econo-
an’s daily lives. With an increase in the number of e- mies, India is expected to experience healthy GDP
commerce websites, diversification of small businesses, growth due in part to infrastructure investment and on-
and a growing internet penetration, India’s e-commerce going economic reforms. In addition, India has this
market is therefore predicted to increase exponentially massive population with a relatively young median age
in the coming 5 years. and as this cohort joins the labor force, they will also
add to the country’s new, expanding consumer class.
Anyway, the country differs from most developed mar- Besides that, mobile’s share of e-commerce will contin-
kets, where consumers are making the shift from desk- ue to grow over the next few years due to the imple-
top to mobile for shopping online, by skipping the desk- mentation of robust 4G networks by mobile carriers and
top phase altogether. the increasing working population and growing number
of middle-class households.
Although digital shoppers in India are increasingly ac-
cessing the web for the first time via smartphones, their DealSunny.com created a detailed infographic that
shows the incredible growth of e-commerce in India:
20 December 2016 - Customer Experience – Brand Experience goes Omnichannel
