Home / Knowledge / News / Apparel/Garments / 'Indian e-commerce market to touch $38 bn in 2016'
'Indian e-commerce market to touch $38 bn in 2016'
Jan '16
India's e-commerce market is likely to touch $38 billion in 2016, a huge 67 per cent jump over the $23 billion revenues for 2015, according to a study by Assocham.

The industry has witnessed an unprecedented growth of 52 per cent over 2015 and has emerged as one of the fastest growing sectors. “Increasing internet and mobile penetration, growing acceptability of online payments and favourable demographics has provided the e-commerce sector in India the unique opportunity to companies connect with their customers”, the Assocham paper said.

With the buying trends during 2015 have witnessed a significant upward movement due to aggressive online discounts, rising fuel price and wider and abundant choice will hit the e-commerce industry in 2016.

Releasing the paper D S Rawat, Secretary General of Assocham said, India's e-commerce market was worth about $3.8 billion in 2009. 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.

On the other hand, 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 per cent of their total revenues.

The paper reveals that Mumbaikars topped online shopping in India in 2015. Mumbai was flowed by Delhi, Ahmedabad, Bangalore and Kolkata in their preference for online shopping in 2015.

“The customer is connected 24x7 through their smart phones, tablets and other mobile devices which is leading to a gradual evolution of e-commerce into mobile commerce and there is an issue of convenience which also leads to impulsive buying,” Rawat said.

The browsing trends, which have broadly shifted from the desktop to mobile devices in India, online shopping is also expected to follow suit, as one out of three customers currently makes transactions through mobile phones in Tier-1 and Tier-2 cities. In 2015, 78 per cent of shopping queries were made through mobile devices, compared to 46 per cent in 2013, said Rawat.

According to the Assocham paper, the highest growth rate n e-commerce in 2015 was in the apparel segment at almost 69.5 per cent over last year, followed by electronic items at 62 per cent, baby care products at 53 per cent, beauty and personal care products at 52 per cent and home furnishings at 49 per cent.

The most important contributing factor to the rapid growth of digital commerce in India is the increasing use of smartphones. Mobiles and mobile accessories have taken up the maximum share of the digital commerce market in India, the paper said.

Almost 45 per cent of online shoppers reportedly preferred cash on delivery mode of payment over credit cards (16 per cent) and debit cards (21 per cent). Only 10 per cent opted for Internet Banking and a scanty 7 per cent preferred cash cards, mobile wallets, and other such modes of payment.

Must ReadView All

Apparel/Garments | On 26th Oct 2016

SGS develops 4C chemical management model for apparel

SGS, a leading inspection, auditing, certification, testing, and...

Textiles | On 26th Oct 2016

Platinum Equity acquires International Textile Group

International Textile Group (ITG) has been acquired by Platinum...

Textiles | On 26th Oct 2016

Whitehouse & URI Business Centre start RI textile network

Senator Sheldon Whitehouse and the University of Rhode Island...

Interviews View All

Dinaz Madhukar
DLF Emporio and DLF Promenade

‘Each event and promotion is planned out keeping in mind the business of...

Angelina Francesca Cheang

'Consumers in the age-group 21 to 38 are driving the activewear trend'

Saket Garg
Garg Corporation

The biggest challenge is lack of skilled workforce and competition from...

Kai Poehler
Voith Paper GmbH & Co. KG

The glass mat industry is growing by five to eight per cent annually. Kai...

Mohammad Hassan
Biax Fiberfilm

About one in every 20 patients picks up an infection while hospitalised....

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Silvia Venturini Fendi
Fendi s.r.l

"Yes, my confidence and positive attitude are my strengths and should be...

Igor Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

Ritu Kumar
Label Ritu Kumar

‘Classics will return’ "There are a lot of people wearing western clothes ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies

October 2016

October 2016

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Browse Our Archives


Advanced Search