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Development Status and Trends of Indian E-commerce Industry

The Development Status and Trends of Indian e-commerce Industry

India sits on a demographic dividend and has huge potential to become the world's second largest Internet market after China. But unlike China's development layout, India's population is mainly concentrated in second, third, and fourth-tier cities. Indian e-commerce consists of everything from, medicare, healthtech to consumer services and goods. Only 8% of India’s over 1.2 billion people live in first-tier cities. This means that foreign e-commerce companies must not ignore the Indian e-commerce sites business in more than four thousand small towns except first-tier cities. This is the key to the development of the Indian e-commerce industry.


At present, Indian e-commerce companies Flipkart, Amazon and PaytmMall are the most commonly used e-commerce platforms for Indian residents. 

According to statistics, in 2017, Flipkart accounted for 38.5% of the Indian e-commerce market, Amazon accounted for 29%, and PaytmMall accounted for 20%. 

However, there are still some obstacles to the development of domestic e-commerce and international e-commerce in India. 

In India’s urban and rural areas, because of the long-term failure to achieve sound development, the network infrastructure construction, financial service construction, and road infrastructure construction in the urban and rural areas of India are relatively backward. 

This means that the network support, online payment and there are obstacles in logistics. 

But whether it is an opportunity or a challenge for Chinese e-commerce companies to develop in India is mainly whether they can break through these obstacles and take the lead in the e-commerce market in India's second, third, and fourth-tier cities and achieve results.


Info-graphics on Indian Ecommerce Industry Trends

AllPay- Indian local aggregate payment helps Chinese independent sellers or APPs one-stop access to Indian local payments, and sells and collects payments to users throughout India. Buyers can choose any payment method to pay at will. 

After payment is successful, merchants can choose to settle Indian rupees or US dollars. In addition to e-commerce, overseas platforms in industries such as games, tool software, and tourism can also apply for local payments in India.


Which Indian E-commerce Platforms in the TOP 10 are worth doing?

According to data from Similar Web 2019, the Indian e-commerce market is almost dominated by the three comprehensive e-commerce platforms Amazon India, Flipkart and Snapdeal. 

The above three companies accounted for 53.32% of Indian e-commerce traffic and are the preferred platforms for Indian B2C/C2C e-commerce companies to settle in. 

Unexpectedly, India's e-commerce ranked fourth and fifth are actually AliBaba and two B2B e-commerce platforms called IndiaMart.


The reason is that in order to protect local businesses, India has loosely controlled the B2B model and provided relevant policy incentives (such as allowing 100% foreign investment under the B2B model, preferential investment for plant establishments, etc.), while setting strict restrictions on B2C transactions and foreign investment. Therefore, the B2B model is one of the options for brands to penetrate the Indian market.


2020 to 2021 Indian e-commerce platforms ranking


1. India Amazon

Average monthly visits: 366 million


In February 2012, Amazon entered the Indian market and launched the website. The site allows users to compare prices online, but cannot directly purchase goods. 

In June 2013, Amazon registered a private limited company named "Amazon India Ltd." in India as a subsidiary of Amazon India. 

Amazon India is headquartered in Bangalore, and they have offices in Chennai, Delhi, Hyderabad and Mumbai.


Logo of Amazon India e-commerce

In addition, in recent years, "offline retail" has also become an important part of Amazon's penetration of the Indian market. 

Physical stores will help users who shop online for the first time overcome anxiety and build trust, thereby increasing the possibility of users placing orders on its website.         


2. Flipkart

Average monthly visits: 222 million


Flipkart was established in 2007 and was mainly engaged in book sales. After more than 10 years of development, Flipkart has become one of India's largest e-commerce platforms on par with Amazon. 

Flipkart currently has more than 100 million registered users, more than 100,000 settled merchants, 21 logistics warehouses, and 80,000,000 products in more than 80 categories. 

In addition, Flipkart is headquartered in Bangalore, India, with offices in 32 cities across the country.


Logo of Flipkart India e-commerce

In May of 2018, Flipkart accepted a $16 billion investment from Walmart (accounting for 77% of Flipkart's equity). 

At present, Flipkart and its subsidiary Myntra (fashion e-commerce shopping) annual GMV (total website turnover) has reached 7.5 billion US dollars.



3. Snapdeal

Average monthly visits: 8.35 million


Snapdeal is a diversified online shopping platform that provides a variety of products from electronics and fashion to home and electrical appliances. 

It was established in 2010 and is headquartered in New Delhi, with offices in Mumbai and Bangalore.


Logo of snapdeal India e-commerce

Although Snapdeal's current monthly average traffic only accounts for 38% of Flipkart (the second largest e-commerce company in India), it has received multiple rounds of financing from well-known investors including Alibaba Group, Foxconn and SoftBank to promote its growth. Also, to compete for the top position in the Indian e-commerce field.



4. India AliBaba

Average monthly visits: 60 million


China AliBaba (Alibaba) is a global wholesale e-commerce platform leader. AliBaba has hundreds of millions of products in more than 40 major categories. 

It is known for helping small and medium-sized companies around the world expand overseas markets and is the preferred platform for cross-border goods trade. 

Logo of Alibaba India e-commerce

India is the focus of AliBaba's focus and claims that the country is the most important market after the Chinese market. 

AliBaba cooperates with many local SMEs and startups to consolidate its grasp of the Indian market.


5. IndiaMart

Average monthly visits: 43,400


Founded in 1999, IndiaMart is one of the largest B2B online markets in India and is AliBaba's biggest competitor. 

Logo of indiamart India e-commerce

IndiaMart allows manufacturers, suppliers and exporters to directly recommend their products through the platform so that their visitors can contact. 

Since 2014, IndiaMart has also launched its e-commerce retail platform Tolexo.


6. Myntra

Average monthly visits: 27,800


Myntra is a professional online fashion, home and lifestyle retailer in India. Myntra was launched in 2007, especially through its mobile application developed a powerful online business.

Logo of myntra India e-commerce

In 2014, Indian e-commerce company Flipkart acquired Myntra and consolidated its position in the fashion e-commerce field by acquiring rival



7. Firstcry

Average monthly visits: 16.1 million


As a professional e-commerce platform for children's clothing and baby care products, Firscry is a pioneer in e-commerce in India, offering products from thousands of brands. 

Firstcry has now expanded to franchise stores and now offers products through dozens of stores in many cities in India.

Logo of firstcry India e-commerce




8. Nykaa

Average monthly visits: 13,700 million


Nykaa is a beauty retailer that sells cosmetics, clothing and health products to Indian customers. Founded in 2012, Nykaa was originally a store specializing in beauty e-commerce, selling products of multiple brands. Since then, Nykaa has developed its own cosmetics line and opened multiple physical stores across India.

Logo of Nykaa India e-commerce



9. Telemedicine Platform

Average monthly visits: 7.55 million

This is a doctor online platform where doctors are available to render their treatment services through online mode. The company tries to keep this service HIPAA compliant. 

It is expert in remote patient monitoring and has changed the world of healthcare and healthtech. 

Telemedicine platform

Its future seems very bright as doctors like it  as it has copnceptualized telemedicine for private practice, and also helped local medicine stores to contend online medicine selling portals.

The treatment process is as easy as with a live doctor in front of you. People also use it for its video quality for video conferencing so it is becoming popular as a social media portal as well.


10. 1mg

Average monthly visits: 7.45 million

1mg is an online pharmacy and healthcare information website. 1mg was established in 2015 to provide online consultation, laboratory testing and medical information mining to better meet the needs of the Indian market and population, and to be able to guide visitors to the correct medicine or product in its store.

Logo of 1mg is an online pharmacy and healthcare information website


11. Paytm Mall

Average monthly visits: 5.9 million

Paytm is one of the most well-known online payment gateways in India and provides a diversified online market through Paytm Mall, selling products including men’s and women’s fashion, electronics and household goods, groceries and cosmetics, children and households, and cars and other vehicles. 

Logo of PayTM Mall

It allows third parties to use their Paytm platform to sell their products directly through their apps.

12. Gift Delivery Site

Average monthly visits above 100 thousand visitors

This is an e-commerce portal selling from shoes to stationary. It is based on the new concept on live interaction where ever needed so that the customer is fully satisfied. 

Logo of Gift Delivery Site

This is a really disruptive platform in the field of online sales and is pro-customer rather than pro-investors. Its basis is that when customers are happy they will in turn automatically result in investors happiness.

Exploration of this site is extremely and makes users feel satisfied as if shopping from their bed live at a shop still keeping the shopping fully in their own control rather than the sellers.


Note: Other popular websites such as BookMyShow (average monthly visits of “42 million”), MakeMyTrip (average monthly visits of “26 million”), Yatra (average monthly visits of “8 million”) and other popular websites sell online ticketing and travel products.

Therefore, this article did not include statistical data in the above ranking.



In-depth explanation of the Indian e-commerce pattern, entry strategy, e-commerce entry, warehousing and logistics, customs taxation, legal framework, payment pattern, consumer insights, marketing strategy and other multiple dimensions. Restore the entire process of cross-border e-commerce in India, and provide insights and help for your brand's overseas journey.

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