Discover the Indian e-commerce market

In India, the e-commerce market is growing and pulling in new consumer demographics

India

General Information

  • Population 1,393.4 m
  • Population 15 + 1,036.1 m
  • Online Population 755.2 m
  • Area 3,287,263 km2
  • Currency INR
  • GDP 2,946.1 bn USD
  • GDP per Capita 2,114 USD
  • Card-based payments
  • Cash-based payments
  • Bank transfer
  • Wallets
  • Other
[{"label":"Card-based payments","value":"28"},{"label":"Cash-based payments","value":"9"},{"label":"Bank transfer","value":"12"},{"label":"Wallets","value":"45"},{"label":"Other","value":"6"}]
Banked population
  • India 83%
  • Asia Pacific 71%
  • World 67%
Credit card penetration
  • India 3%
  • Asia Pacific 13%
  • World 19%
Internet penetration
  • India 54%
  • Asia Pacific 60%
  • World 62%
Smartphone penetration
  • India 61%
  • Asia Pacific 71%
  • World 70%

The Indian e-commerce sector is forecast to grow rapidly. This is in part driven by the increase in internet connections from 622m in 2020 to 830m in 2021.

The popular payment method UPI is going international with agreements being signed with France, Singapore and the UAE. However, payments processing will remain in India.

After a year the Reserve Bank of India has lifted the ban on Mastercard onboarding new customers, after Mastercard showed compliance in following the Indian payment rules on storing payment systems data.

The Indian social commerce market is expected to grow by CAGR 62.4% between 2022 and 2028 to reach USD143,583.3m in 2028.

The most popular Indian e-commerce site in July 2022 was amazon.in with almost 303m visits. 

Future e-commerce trends (2021-2026)

E-Commerce market size forecast ($US billion)
2022 82.7
2023 97.9
2024 113.8
2025 131.4
2026 150.3
E-Commerce spending per capita ($US)
2022 61
2023 72
2024 83
2025 95
2026 108
E-Commerce spending as % of GDP
2022 2.5%
2023 2.6%
2024 2.8%
2025 2.9%
2026 3.0%

India

The E-Commerce Market

Top e-commerce segments

  1. Electronics & Media: 34%
  2. Fashion: 27%
  3. Food & Personal Care: 24%
  4. Toys, Hobby & DIY: 11%
  5. Furniture & Appliances: 5%

Cross-border e-commerce

  1. Cross-border proportion of total e-commerce – 29%
  2. Value of cross-border e-commerce – 17.7 bn USD
  3. Online shoppers who have shopped cross-border – 49%

Top 3 cross-border shopping origin markets

  1. US: 21%
  2. Australia: 14%
  3. China: 11%
B2C E-commerce Growth 20->21
  • India 32.4%
E-commerce % of total retail
  • India 6%
  • Asia Pacific 23.8%
  • World 20%
E-commerce completed on a mobile device
  • India 58%
  • Asia Pacific 59%
  • World 53%

The Credit Card Split

  • Visa
  • Mastercard
  • American Express
  • Local Schemes
[{"label":"Visa","value":"48"},{"label":"Mastercard","value":"28"},{"label":"American Express","value":"1"},{"label":"Local Schemes","value":"23"}]
  • E-commerce market size 68.3 bn USD
  • E-Commerce spending per capita 51 USD
  • E-commerce spending as % of GDP 2.3%

The information on our Insights pages has been compiled by us in cooperation with Datamatics and Wright & Brown. The data shown is partially owned by us and partially owned by GlobalData. © 2021 by PPRO Financial Ltd. No data and information can be used for any further publication without the explicit approval of PPRO.

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