Quick commerce to contribute $1B in GMV during festive season: Shiprocket
Shiprocket sees quick commerce and consumer categories to drive festive demand, projecting the Indian e-commerce market to grow 23% to $2 billion in 2024.
Ecommerce enablement platform expects quick commerce to drive demand this festive season and contribute $1 billion in gross merchandise value (GMV), the company said on Thursday.
Shiprocket projects the Indian festive ecommerce market to grow 23% during the key months from October to December 2024 to $12 billion compared to $9.7 billion in the previous year. It expects this growth to be driven by consumer demand in high traction categories like fashion, electronics, beauty, and personal care. AI-driven recommendations and social media influencers are significantly influencing consumer behaviour in fashion and beauty, with 84% of consumers purchasing products based on promotions or influencer suggestions.
The festive ecommerce growth is also being driven by growing digital penetration in Tier II and Tier III cities, which is fuelled by improved access to the internet, rising disposable income, and enhanced digital literacy, said a statement by the company. It sees 60% of online festive orders to originate from non-metros this year.
The country’s ecommerce export market is presently valued at about $3-4 billion, but is expected to surge to $200-300 billion by 2030, particularly helped by micro, small and medium enterprises (MSMEs) that continue to tap into global markets and government initiatives like the Directorate General of Foreign Trade (DGFT).
Global appetite for Indian goods during the festive season has significantly increased, and is catered to by Amazon Global and Flipkart’s Global Stores. Some of the popular export categories include handicrafts, home décor, and fashion. Shiprocket currently facilitates about $100 million in global ecommerce GMV.
To help merchants capitalise on the demand this festive season, Shiprocket introduced innovative solutions, including Shiprocket Quick—a hyperlocal delivery service for offline merchants. It allows MSMEs to deliver to local customers within minutes, enhancing competitiveness during the season of instant gratification. Additionally, Shiprocket has improved its recommendation algorithm to match sellers with optimal logistics partners.
