New Delhi: Boston Consulting Group (BCG) has projected India’s e-commerce market to grow from its current USD 120-140 billion to USD 280-300 billion by 2030. The report stated that while e-commerce is expanding, offline retail remains resilient, having grown at an annual rate of 13-14 per cent over the past four years.
The report mentioned that as per the current scenario, 5 out of 10 offline shoppers do their research through online platforms and gather information before making a purchase.
“Shoppers today move seamlessly between screens and stores, researching online, purchasing offline, and vice versa, based on convenience, trust, and need,” the Boston Consulting Group (BCG) report stated.
Integrating Online & Offline for Retail Success
Parul Bajaj, India Leader – Marketing, Sales and Pricing Practice at BCG, warned brands which are still treating online and offline as separate strategies, to fall behind in the race.
“Retail in India is becoming structurally multi-channel. Brands that treat online and offline as separate strategies risk falling behind. Those integrating both are scaling faster, innovating more frequently, and delivering stronger financial outcomes. The competitive advantage now lies in orchestrating connected consumer journeys across formats,” Bajaj said.
E‑commerce comprises e‑retail and e‑services, estimated at $75–85 billion and $45–55 billion respectively, and growth will be driven by e‑services with a forward CAGR of 20–22 per cent versus 16–18 per cent for e‑retail
India’ se-commerce sector, which comprises of e‑retail and e‑services, is expected to record a forward CAGR of 20-22 per cent. The e-retail sector is estimated at $75–85 billion and e-services is worth $45–55 billion.
The report said around 45 per cent of mobiles and 23 per cent of personal electronic devices are now purchased online. Also, around 30 per cent of travel and hotel bookings and 44 per cent of movie and event tickets are booked online.
“India currently has nearly 300 million online shoppers, a figure expected to reach 440 million by 2030,” the report said.
Importantly, e-commerce has expanded into rural sector of India at a good pace. The rural sector now accounts for approximately 30 per cent of these users. Women represent around 45 per cent of digital shoppers.
Kanika Sanghi, Partner and Director at BCG, noted, “India’s shoppers are becoming more diverse, with consumers using different formats depending on their needs and maturity. As the demographic mix of online shoppers becomes more democratic, platforms and brands must design simpler, safer, and more seamless experiences across touchpoints. The opportunity now is to reduce friction, build trust, and make multi-format journeys feel intuitive for every shopper.”
The Boston Consulting Group informed that people have been shifting towards category-focused platforms, which has a share of over 60 per cent in online spending.