Online shopping through mobile phones may cross $40 million mark by 2016: study
Updated: Aug 11, 2015 01:42:54pm
New Delhi, Aug 11 (KNN) Online purchases made through mobile phones in India and are likely to touch 40 million in 2016 from the current level of 30 million, according to a study.
A study on ‘Law & Technology: Evolving challenge as a result of fraud in E-commerce sector,’ jointly conducted by ASSOCHAM and Grant Thornton revealed that an additional 200 million Indians will access the internet in the next three years, with majority of them coming online through smartphones.
Online travel dominates the Indian e-commerce market, while online travel contributes a smaller share to the global e-commerce market. Online travel accounts for nearly 71 per cent of the e-commerce business in India. This business has grown at a Compounded Annual Growth Rate (CAGR) of 32 per cent between 2009 and 2013. E-tailing, on the other hand, accounts for only 8.7 per cent of organized retail and a minuscule 0.3 per cent of total retail sales.
The paper also said that a significantly low (19 per cent) but fast-growing internet population of 243 million in 2014 is an indicator of the sector’s huge growth potential in India. This indicates the potential of internet use in India and as internet penetration increases, the potential of growth of the e-commerce industry will also increase.
The Indian e-commerce market is estimated to grow at a CAGR of 63 per cent to reach USD 8.5 billion in CY 2016. Growth in the penetration levels of mobile and internet and increased consumer demand will drive this growth, it said.
India’s current dynamics are similar to what existed in China then - growing broadband penetration, acceptance of online marketplaces, and lack of physical retail infrastructure in many places.
The number of smartphone users in India is projected to exceed 200 million, ranking next to the US as the world’s second largest smartphone market by 2016 due to increasing penetration of affordable smart mobile devices in the country.
With the growing number of smartphone users and major e-commerce players, number of users relying on App-based platforms will eventually increase in the near future, noted the joint study. (KNN Bureau)
A study on ‘Law & Technology: Evolving challenge as a result of fraud in E-commerce sector,’ jointly conducted by ASSOCHAM and Grant Thornton revealed that an additional 200 million Indians will access the internet in the next three years, with majority of them coming online through smartphones.
Online travel dominates the Indian e-commerce market, while online travel contributes a smaller share to the global e-commerce market. Online travel accounts for nearly 71 per cent of the e-commerce business in India. This business has grown at a Compounded Annual Growth Rate (CAGR) of 32 per cent between 2009 and 2013. E-tailing, on the other hand, accounts for only 8.7 per cent of organized retail and a minuscule 0.3 per cent of total retail sales.
The paper also said that a significantly low (19 per cent) but fast-growing internet population of 243 million in 2014 is an indicator of the sector’s huge growth potential in India. This indicates the potential of internet use in India and as internet penetration increases, the potential of growth of the e-commerce industry will also increase.
The Indian e-commerce market is estimated to grow at a CAGR of 63 per cent to reach USD 8.5 billion in CY 2016. Growth in the penetration levels of mobile and internet and increased consumer demand will drive this growth, it said.
India’s current dynamics are similar to what existed in China then - growing broadband penetration, acceptance of online marketplaces, and lack of physical retail infrastructure in many places.
The number of smartphone users in India is projected to exceed 200 million, ranking next to the US as the world’s second largest smartphone market by 2016 due to increasing penetration of affordable smart mobile devices in the country.
With the growing number of smartphone users and major e-commerce players, number of users relying on App-based platforms will eventually increase in the near future, noted the joint study. (KNN Bureau)
Loading...
