Flipkart still leads in Indian festive sales!

While Snapdeal is often considered the third largest e-commerce platform after Flipkart Group and Amazon, new players such as Meesho and DealShare are catching up fast.

A recent report in local media Moneycontrol said that Flipkart has begun to target Meesho, which has received about $870 million in funding this year, as a major competitor, so much so that it has set up a team of 20-30 people to closely monitor its progress.

PGA Labs' holiday sales data is consistent with data released last month by RedSeer Consulting, which estimated that Flipkart Group had a 62% share of festive sales this year, with total GMV of $9.2 billion, up from $7.5 billion in 2020.

According to RedSeer, the country's overall online shopper base grew 25% from last year to 100 million in 2021. However, this still means that less than 10% of Indians shop online, suggesting there is still a lot of room for growth.

The number of online transacting users is expected to rise to 350 million by 2025, with the majority of shoppers coming from smaller cities in India.

Amid wider adoption of online services and digital payments, PGA Labs estimates that India’s e-commerce market will grow to $60 billion in the financial year (FY) ending March 2022.

PGA Labs expects Flipkart Group and Amazon India to capture 36.6% and 30% of the $60 billion market, with GMV of $22 billion and $18 billion, respectively.

Abhishek Maiti, Director, Competitive Intelligence and Consumer Insights, PGA Labs said, “Festival sales in 2021 continue to trend upward in terms of e-commerce sales.

“Like last year, Flipkart Group captured the lion’s share, or 60 per cent of sales, while Amazon was around 30 per cent, driven by continued focus on mobile as a category and innovative user engagement strategies.”

Flipkart

Remains the leader in Indian festive sales