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E commerce market size in India – Demand, Trends & Forecast

Code: MTA4260 Publication Date: Jun 2025

What is the India E-commerce Market Size?

According to ÂÌñÉç internal database and industry insights, India E-commerce market is expected to experience growth with a CAGR of 10.6% during the projection period.

The rise is being driven by several factors such as increased smartphone penetration, adoption of digital payments, and the increased preference for convenience and quick purchases.

Key Growth Factors

  • Rapidly growing expectations of customers with quick commerce (Q-commerce).
  • Expansion of grocery, fashion, and electronics online.
  • Growth of digital wallets and UPI is making the checkout experience simpler for customers.
  • Retailers are quickly adopting omnichannel and selling through digital storefronts.
  • Increasing internet penetration and with an emphasis on mobile first shopping habits.
  • Increase in first time online shoppers coming from rural areas.

India E-commerce Market Trends

India e-commerce industry is poised for dynamic evolution in consumer interactions with deeper integration of AI for personalization, hyperlocal delivery systems, and live commerce formats. Over the next few years, sustainability, regional languages, and vernacular videos will be the key growth drivers for how consumers engage online than ever before.

Leading Companies in the India E-commerce Industry

  • Amazon India
  • Flipkart Internet Pvt. Ltd.
  • Reliance Retail (JioMart)
  • Meesho
  • Nykaa
E commerce market size in India : FAQs
It is pushing retailers to adopt a digital strategy and offer a better customer experience to remain competitive.
High mobile dependency, diverse linguistic landscape, COD preference, and hyperlocal logistics make India’s e-commerce ecosystem distinct.
Millennials, Gen Z, and rural internet users are significantly contributing, along with increasing female participation in digital shopping.
Yes, many platforms are transitioning to eco-friendly packaging, carbon-neutral deliveries, and ethical sourcing to attract conscious consumers.
6W monitors the market across 60+ countries Globally, publishing an annual market outlook report that analyses trends, key drivers, Size, Volume, Revenue, opportunities, and market segments. This report offers comprehensive insights, helping businesses understand market dynamics and make informed decisions.
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