Consumer spending in India is expected to exceed $4T by 2030: Shiprocket
The extensive consumer survey also inferred that nearly 80% of consumers prefer shopping at online marketplaces. Fashion and accessories (48%) stood first, followed by electronics (32%), and groceries (30%).
Consumer spending in India is expected to exceed $4 trillion by 2030, growing at a CAGR of about 10%, owing to the massive domestic consumer expenditure and consumption market, suggests a report by .
The logistics company launched a detailed trends report titled eCommerce in the New Bharat and its Future on Friday.
The report added that consumer spending on food, housing, apparel, personal care, transport, and communication categories is expected to increase nearly 2x by 2030. Evolving consumer habits, high internet penetration, a strong local consumer ecosystem, and technological innovation in consumer products are the main catalysts driving the growth of these categories, it added.
It cited UPI as the most preferred prepay option (57%), followed by credit cards (31%), and other payment options like wallets, net banking, and debit cards. (12%).
The extensive consumer survey also inferred that nearly 80% of consumers prefer shopping at online marketplaces. Fashion and accessories (48%) stood first, followed by electronics (32%), and groceries (30%).
“At Shiprocket, we commend the spirit of entrepreneurs and small business owners who drive innovation, provide job opportunities, and promote economic progress. We believe in the power of MSMEs and are committed to empowering them with our tech-driven solutions and being their Partners in Growth," said Saahil Goel, CEO, and Co-founder, Shiprocket.
"The report will assist MSMEs in their business growth by helping them in decoding their consumers and leveraging the insights to improve their business," he added.
Over 52% of Indian consumers cited ‘quality’ as their most basic expectation from any online shopping site, followed by trust and price point. The report also revealed that almost two-thirds of Indian consumers (68%) and 55% of international consumers prefer WhatsApp updates for tracking their online order status.
On the brand front, it stated that 40% of brands believe all channels (marketplace, website, social media) combined together drive maximum sales for them rather than only one channel.
In terms of the challenges, 38% of brands face issues with efficient logistics (both domestic and international).
“At ONDC, our aim is to transform the Indian ecommerce landscape, and we strongly believe that MSMEs will play a key role in developing the future of the Indian economy. It is critical for any business to understand the consumer psyche, and this report will assist MSMEs in understanding their consumers' thought processes, allowing them to make better business decisions in the future,” said ONDC MD and CEO T Koshy, who also attended the event.
The company, at its event Shiprocket SHIVIR 2023 in New Delhi, also launched five new offerings—Brand Boost 2.0, ONDC, Shipping 2.0, Shiprocket Engage+ WhatsApp Suite, and Shiprocket Promise—to strengthen its tech stack.
Edited by Suman Singh