India's e-commerce market went up to $23 billion in 2015 from $17 billion in 2014 and it is expected to touch $38 billion by 2016, says ASSOCHAM
The Dollar Business Bureau
Indian e-commerce market is likely to grow by 67% in 2016 to reach $38 billion from the current level of $23 billion, a study has said.
Increasing internet and mobile penetration, growing acceptability of online payments and favourable demographics have provided Indian e-commerce players the unique opportunity to connect with their customers, said the study conducted by the Associated Chamber of Commerce and Industry (ASSOCHAM).
“With buying trends witnessing a significant upward movement in 2015 due to aggressive online discounts, rising fuel price and wider and abundant choice will hit the e-commerce industry in 2016,” it said.
In 2009, India's e-commerce market was worth about $3.8 billion. “It went up to $17 billion in 2014 and to $23 billion in 2015 and is expected to touch whopping $38 billion mark by 2016,” the industry body said.
Releasing the paper, D S Rawat, Secretary General, ASSOCHAM, said, “Mobile commerce (m-commerce) is growing rapidly as a stable and secure supplement to the e-commerce industry. Shopping online through smart phones is proving to be a game changer, and industry leaders believe that m-commerce could contribute up to 70% of their total revenues.”
Stating that mobiles and mobile accessories have taken up the maximum share of digital commerce market in India, ASSOCHAM said that in 2015, 78% of shopping queries were made through mobile devices, compared to 46% in 2013.
Around 60-65% of total sales are being generated by mobile devices and tablets. The figure is 50% up as compared to the last year and the trend is likely to continue, the report said.
On the segment-wise demand, the paper said that apparel segment, with almost 69.5% increase over the last year, witnessed the highest growth rate in 2015, followed by electronic items(62%), baby care products (53%), beauty and personal care products (52%) and home furnishings(49%).
In 2015, 78% of shopping queries were made through mobile devices, compared to 46% in 2013
January 02, 2016 | 04:00pm IST