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Electronics and apparel make up nearly 70 per cent of the e-commerce market, when evaluated against transaction value.1. The average selling price (ASP) in tier-2 and smaller towns is only marginally lower than in tier-1/metro cities. The e-commerce trend is gaining major popularity even in tier-2 and tier– 3 cities as they now makeup nearly half of all shoppers and contribute three of every five orders for leading e-retail platforms. More than 60 per cent of transactions and orders in India come from tier two cities and smaller towns. In 2021, digital wallets were the leading payment method for e-commerce transactions with a share of 45.4%Ĭlose to 100 per cent of pin codes in India have seen e-commerce adoption. With 830 Mn users, India is currently the 2nd largest internet market.
Sizewise envy retail drivers#
Young demography, increasing internet and smartphone penetration, and relatively better economic performance are some key drivers of this sector. Further, as of 2021, more than 348 Mn users were conducting online transactions, and nearly 140 Mn were shopping online. By 2030, it is expected to have an annual gross merchandise value of $350 bn. After a surge in digital adoption during COVID-19, the Indian e-commerce market is estimated to be worth over $55 Bn in Gross Merchandise Value in 2021. The Indian e-commerce industry has been on an upward growth trajectory.
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