E-commerce has been one of the fastest developing industries over the past decade. India is an unconquered fruitful plain for potential e-commerce development. As per to eMarketer’s most recent forecast, ecommerce sales in India will climb 31.0% this year to reach $32.70 billion. “That growth rate will trail only China and Indonesia in Asia-Pacific,” the report added. Adding to this, eMarketer said that with increasing internet penetration, India’s e-commerce sector will be worth $71.94 billion by 2022.
This growth has been empowered by Flipkart, Amazon and Paytm Mall who have been venturing into new sectors, including grocery. This investment along with India’s young population as well as rising internet and smartphone use and expanding middle class, have added to a developing number of digital buyers.
From 2010 to 2016, the level of internet users has gone up from 7.5% to 34%. This will ascend to over 50% by 2026, the report said.
As per report released by UN, with 356 million 10-24 year-olds having largest youth population India is ready to include new online shoppers in the next 15 years. With high discretionary income both in urban and rural areas changing consumer demographics has turned into the main thrust in ecommerce development.
The internet penetration and the number of broadband users are expanding. India Inc. has pumped a lot of money into spectrums and building telecom infrastructure to provide 4G internet to the population.
M-business is a major contributing component with expanding mobile internet connectivity and smart phone user growth which is absolutely a reason of accomplishment of the sector. The growth in mobile app market is so high that all ecommerce companies are ending their undeniable websites to mobile platform.
Launch of digital wallets like Mobikwik, Pockets, Airtel money is also reason towards ecommerce growth of India. These platforms has gained a level of confidence among shoppers and is finding rapid acceptance.
India has a huge network of vendors and providers who are ready to team up with ecommerce companies to pitch their products. Ecommerce has given a vent to small and medium enterprises who find it tough to reach customers to investigate the market and grow their reach.