India’s E-Commerce Market Size Likely To Expand To $111 Bn By 2024: Report

The report stated that India’s social commerce gross merchandise value (GMV) is expected to reach USD 20 billion by 2026, with a potential reach of USD 70 billion by 2030

The India e-commerce market size is estimated to be USD 75 billion in 2022 and has the potential to expand to USD 111 billion by 2024 and USD 200 billion by 2026, with a compound annual rate growth (CAGR) of 20 to 22 per cent, as per a data released by InGovern Research Services.

The report stated that India’s social commerce gross merchandise value (GMV) is expected to reach USD 20 billion by 2026, with a potential reach of USD 70 billion by 2030.

It said that the Indian e-commerce industry has been driven by increasing mobile phone adoption. 

As of 31 October 2022, there are 1,143 million mobile connections with 625 million urban and 518 million rural connections.  

Amazon and Flipkart account for more than 60 per cent of the Indian e-commerce market.

Amazon India has over 10 lakh sellers on its e-commerce platform. Amazon started in India in 2013 with 100 sellers and has grown to be the preferred online destination for sellers across India. 

Also, Flipkart, a marketplace, hosts 4.2 lakh sellers on its platform. 

“For long a duopoly, there is now increasing competition from new entrants like Meesho, Nykaa, etc and Indian giants like the Tata group and Reliance group who are slowly increasing their presence in e-commerce,” it said.

Notably, the Indian e-commerce industry is controlled by stringent regulatory measures to prevent monopolistic and anti-competitive behaviour and control unfair trade practices.

“The online retail market in India is estimated to be 25 per cent of the total organized retail market and is expected to reach 37 per cent by 2030,” as per the data.