Report: E-Commerce in India to Grow More Than 500% by 2020
Sept. 8, 2015
Malls in India are in trouble and e-commerce is one of the main culprits, according to a new report from PriceWaterhouse Coopers and the Associated Chambers of Commerce of India (ASSOCHAM). E-commerce sales in India will grow from $17 billion this year to around $100 billion by 2020, a compound annual growth rate of 35 percent. Authors of the report said the increase comes at the same time shopping malls in the country are experiencing vacancy rates of 20 to 25 percent with the number of new store rentals dropping by 30 percent year-over-year.
“It is true that online shopping has shown handsome growth while the brick-and-mortar malls are witnessing slowdown,” said ASSOCHAM Secretary General D.S. Rawat. “The growth in e-commerce is impressive [due to] a low base and increasing penetration of the Internet.”
In 2016, according to the research, the average amount spent online per person will increase 72 percent after jumping 65 percent from 2014 to 2015.