by The India fashion ecommerce market encompasses online platforms that enable buyers to purchase apparel, footwear, accessories and other fashion items. Key products include tops, bottoms, ethnic wear, kids wear, lingerie and sportswear. Ecommerce sites allow users to browse extensive product catalogs, read reviews, compare prices and make informed purchase decisions from the convenience of their homes. Popular sites offer specialized sections for men’s, women’s and kids fashion along with filters for size, brand, price range, ratings and new arrivals. Payment options include debit/credit cards, net banking, wallets and cash on delivery.
The India fashion ecommerce market is estimated to be valued at US$ 14 billion in 2023 and is expected to exhibit a CAGR of 34% over the forecast period 2023 to 2030, as highlighted in a new report published by CoherentMI.
Market Dynamics:
Rapid adoption of smart devices is expected to drive growth of the India fashion ecommerce market over the forecast period. Smartphone and internet penetration in India has increased substantially over the past few years. According to IAMAI, the number of active internet users in India reached about 830 million by 2022. Growing digitization and time-pressed lifestyles have made online shopping more convenient. Consumers can comfortably browse product catalogs, check sizes and read reviews from their mobile phones before placing orders. Attractive discounts, easy payment options and fast doorstep delivery offered by ecommerce fashion sites are luring more users to shift from brick-and-mortar stores. In addition, tier-2 and tier-3 cities are increasingly being targeted by major platforms through initiatives like vernacular interfaces and cash-on-delivery, thereby expanding the customer base.
Segment Analysis:
The India fashion ecommerce market is dominated by women’s wear which accounts for nearly 40% of the market share. Women’s wear is the largest sub-segment owing to rising fashion consciousness among women and increasing disposable income which allows them to spend more on fashion and apparel online. Growing awareness about latest fashion trends through social media further propels the demand for women’s wear on ecommerce platforms.
India Fashion Ecommerce Market Segmentation:
- By Product Type
- Apparel
- Footwear
- Accessories
- Beauty and Personal Care
- Jewelry
- Others
- By End User
- Men
- Women
- Unisex
- Kids
- Others
- By Price Range
- Premium (above INR 3000)
- Mid (INR 1000 – 3000)
- Economy (below INR 1000)
- By Category
- Ethnic Wear
- Western Wear
- Sportswear
- Innerwear and Loungewear
- Winterwear
- Formalwear
- Others
- By Retail Format
- Marketplace Model
- Inventory Model
- Hybrid Model
- Aggregator Model
PEST Analysis:
Political: The government of India has announced favourable policies to promote ecommerce and digital transactions in the country. Initiatives like Digital India encourage uptake of online shopping.
Economic: Rising internet and smartphone penetration coupled with growing disposable incomes has boosted online spending on fashion in India. The middle class population is adopting ecommerce for convenience and access to wider product selections.
Social: Younger population is heavily influencing fashion trends in India. Social media is promoting awareness about domestic and international brands. Users turn to ecommerce for latest styles.
Technological: Advancements like ramped up internet infrastructure, affordable smartphones and digital payments are powering technology adoption. Ecommerce apps with user friendly interfaces are attracting more customers.
Key Takeaways:
The India Fashion Ecommerce Market Size is projected to exhibit strong growth over the forecast period led by increasing internet and smartphone user base in India. The women’s wear segment continues to hold the largest share in the market due to rising fashion consciousness. The India Fashion E-commerce Market is estimated to be valued at US$ 14 billion in 2024 and is expected to exhibit a CAGR of 34% over the forecast period 2023 to 2030.
Regional Analysis:
Metros and tier I cities account for around 70% of the market currently owing to high internet penetration and awareness levels about online shopping. Tier II and III cities are emerging rapidly and companies are investing in infrastructures to tap into these markets. West and South India have emerged as leading regions in fashion ecommerce led by states like Maharashtra, Karnataka and Tamil Nadu.
Key Players:
Key players operating in the India fashion ecommerce market are Nykaa, Meesho, Jabong, Snapdeal, Limeroad, Trendin, Myntra, Ajio, Flipkart, Amazon India. Players like Myntra and Flipkart have established strong leadership in the mainstream apparel segment while Nykaa is a leader in beauty and personal care segment. Meesho has gained popularity as a social commerce platform for small sellers.
*Note:
1.Source: CoherentMI, Public sources, Desk research
2.We have leveraged AI tools to mine information and compile it
