The Indian e-commerce market has shown signs of slowdown. According to RedSeer Consulting, the e-commerce industry in India which grew by 180% in 2015 crashed to mere 12% growth in 2016. The sector will now have to clock a 45% CAGR to reach a size of $80 billion by 2020 from the current level of $14.5 billion.
Flipkart, including Myntra, maintained its No. 1 position with a 45% market share, followed by Snapdeal (ex-Freecharge) at 26% and Amazon India at 12%. Paytm had a 7% share.
The number of connected individuals in rural India is expected to grow from 120 million in 2015 to roughly 315 million by 2020, an average increase of 30% per year. Rural India accounts for two-thirds of the country’s population, or 807 million people, and their migration to the internet will be a driving force behind the country’s e-commerce growth.