E-commerce market is projected to surge 84% to $111 bn by 2024, says FIS
India’s e-commerce market is expected to grow dramatically as a result of the pandemic. The market is forecast to increase by 84 per cent by 2024 to $111 billion, according to a new report by financial technology firm FIS.
It is driven by mobile shopping, which is projected to grow by 21 per cent annually over the next four years.
The 2021 Global Payments Report by Worldpay from FIS, which examines current and future payments trends across 41 countries, found that global trends in digital commerce accelerated under the pandemic. Countries, including India have seen a shift in consumer behaviour caused by Covid-19, and new payment trends are shown to be on the rise.
“The Indian e-commerce industry has witnessed a huge upsurge due to Covid-19 and there is substantial room for future growth,” said Phil Pomford, managing director of Asia Pacific, Worldpay from FIS. The e-commerce capability is no longer limited to just traditional websites, and physical retail has blended with the digital world.
“The shop floor is now in the palm of our hands and consumers expect the same hassle-free and convenient shopping experience whether they are purchasing in app, through their social feeds or in the real world,” said Pomford.
The merchants will be well-positioned to be successful if they put customer experience at the heart of the checkout process. “Those who position themselves with digital payments capabilities will be well-positioned to capture the next wave of growth in the retail and eCommerce market in India,” said Pomford.
Regarding e-commerce payment trends, The FIS report found that in India digital wallets (40 per cent) followed by credit card (15 per cent) and debit card (15 per cent) were the most popular payment methods online in 2020.
Buy Now, Pay Later is the fastest growing online payment method in the country. Currently, only 3 per cent of the market, based on the analysis, it is projected to increase to 9 per cent by 2024.
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