E-commerce retail market share in India 2022, by segment

In 2022, the smartphone segment of the Indian e-commerce retail market accounted for 33 percent of the total market share in India. This was followed by electronics and appliances with a market share of just over 20 percent.

The internet boom

Reliance Retail leads the telecommunication revolution Supported by it’s subsidiary, Jio, founded in 2007 offering very cheap packages for mobile internet and sim cards. Competitors like Bharti Airtel could hardly keep up, but finally adapted, offering similarly cheap packages. Affordable internet made it attractive for all social groups to explore the possibilities of the world wide web. The digitalization of government services through the Indian government’s initiative for a digital India, further pushed the usage of internet in India.

From internet user to online shopper

The triumphant advance of the internet in India entailed not only a new means of communication but also new opportunities for the market. Alongside the expansion of internet usage, the penetration of online shoppers increased. Although cash-on-delivery was a popular means of payment for online shoppers, digital payment methods expanded. Another expansion was pushed by the coronavirus pandemic in 2020. Due to the nationwide lockdowns, contactless online shopping appeared to be a safe alternative.