Total revenues from e-commerce in India will touch $52 billion by the year 2022 according to a report by affiliate marketing firm Admitad. The speculated growth in India’s e-commerce revenues has been attributed to the potential surge in internet users across the country. Moreover, consumer demand is also expected to grow significantly in the upcoming years.
As of 2017, the total e-commerce revenue in India amounted to $25 billion. The average growth in revenues is projected to be 20.2% per year until 2022. The data revealed that 37% of the country’s population are internet users and 14% of these users made online purchases on a regular basis.
By the year 2021, the percentage of internet users in the country is expected to increase to 45%. Among these internet users, 90% of them are expected to make online purchases.
The report also provided various details about the purchase patterns of consumers in India. About 56% of these online purchases were made through desktops. Smartphones, on the other hand, accounted for about 30% of the e-commerce revenues. The report also noted that 57% of Indians purchased through ‘cash on delivery’ mode, while debit cards and credit cards accounted for 15% and 11% of the purchases, respectively.
In India, mobile penetration is expected to reach 54% by the year 2020. In terms of e-commerce revenues, smartphones are expected to contribute over 70%. In the coming years, it is expected that e-commerce will grow significantly even in semi-urban and rural areas across the country.
Though only 37% of the Indian population are internet users, India is currently the second largest in terms of internet and smartphone users. The global leader in internet and smartphone usage is China. As of 2017, 53% of the Chinese population were internet and smartphone users. It was estimated that 42% of the country’s population made regular online purchases.