The Indian e-commerce market is "booming", and these two giants are in constant competition!

While many people's impression of India is still "stereotyped, small in scale, and low in demand", the potential of the local e-commerce market has completely exploded and is showing a strong growth trend.

The latest data shows that India's e-commerce market is currently worth $70 billion, accounting for about 7% of the country's retail industry. It is expected that by 2030, this figure will soar to $325 billion, ranking third in the global online retail industry. At the same time, India's digital economy will reach about $800 billion, and 500 million buyers are expected to participate in e-commerce transactions.

Digging deeper into the reasons for the rapid development of India's e-commerce market, we can find that this is inseparable from the continuous expansion of the country's Internet penetration rate. As of now, India has 881 million Internet users, and it is expected that by 2025, 87% of households will have access to the Internet.

In addition, the number of smartphone users in India is also increasing and will reach 1.18 billion by 2026, which will further drive the growth of its economy.

Based on this situation, the number of online shoppers in India continues to increase, and it is expected that between 2019 and 2026, urban areas will have 263 million online shoppers, and rural areas will be slightly lower, estimated to reach 88 million. During this period, the compound annual growth rate is about 22%.

Faced with the huge development potential of the Indian market, many e-commerce platforms have begun fierce competition to seize resources, including Amazon and Walmart, the two major e-commerce giants.

It is understood that Amazon entered the Indian market in 2013 and gained a large market share through its unique marketing methods. According to Nielsen Media's research data , 68% of Indian consumers prefer Amazon when shopping online, and nearly half of them believe that Amazon is the most trustworthy.

Faced with such pressure, Walmart was unwilling to be at a disadvantage and spent $16 billion to acquire Indian e-commerce giant Flipkart in 2018. In early February this year , Flipkart launched a logistics service of "same-day delivery of multiple products", which greatly reduced Amazon's previous advantage in logistics.

In order to ease the pressure and consolidate its position in the Indian market , Amazon also launched a low-price website called "Bazaar" in March this year to enter the low -end market more quickly . It is understood that the prices of products on this website are all below 600 rupees.

Despite this, Amazon has not been able to maintain its top spot in the Indian e-commerce market. According to a report by research firm Bernstein , Flipkart's user base grew by 21% year-on-year at the end of last year , while Amazon lagged behind at only 13% . This undoubtedly proves that Walmart has become a strong competitor to Amazon.

In general, the Indian e-commerce market has a large number of consumers and has broad room for development . In the future, whether it is Amazon or Walmart , if they want to maintain their leading position in the market, they need to continue to innovate and optimize services to enhance their own advantages .

Indian Market

Amazon

Walmart