Online apparel sales continue to capture a greater share of India retail ecommerce sales. The apparel category, along with computers and consumer electronics, helped fuel the overall market growth, through ecommerce sales, an ASSOCHAM-PwC study said.
Apparel and accessories, as well as computers and consumer electronics account for the bulk of Indian online sales and stood at 39 per cent. This contribution is expected to grow to 42 per cent of total retail ecommerce sales in 2015, the study highlighted.
Average annual spending on online purchases is projected to increase by 67 per cent to Rs 10,000 from Rs 6,000 per person.
“2014 will go down as the year of e-commerce, while the coming year will be even more promising both for the consumer as also the entrepreneurs,” the Trade body said.
In 2014, about 40 million consumers purchased something online and number is expected to grow to 65 million by 2015 with better logistics and internet-ready devices fuelling the demand in e-Commerce.
Industry estimates that the total spends on warehousing and sorting centers could be as high as 3-6 per cent of top-line revenues, which totals to spend of US $450-900 million in warehousing till 2017-2020.
The sector is also projected to spend an additional $500-1000 million in the same period on logistics functions, leading to a cumulative spend of $950-1900 million till 2017-2020.
The Indian ecommerce industry is valued at $17 billion, growing at a compound annual growth rate of about 35 per cent each year and will cross $100 billion in the next five years, the study noted.