In a latest report published by the Wall Street Journal, authors Aditi Malhotra and Eric Bellman explain why India could become the next ecommerce giant. Below is a summary;
- Only about 20% of Indians have access to the Internet today. This number is expected to rise quickly with the proliferation of cheap smartphones in the market.
- Less than 1% of Indians shop online. In comparison, China was at this same level about 7 years ago.
- Currently, only 8% of India’s retail sales come from modern trade channels, compared to 20% in China.
- 85% of Indians live in small towns with population of less than 500,000. There are typically few or no modern trade channels available in such locations.
- Around 14% of Indians access the Internet through smartphones today. The report forecasts that number to rise to 40% in the next 3 years.