India may have one of the largest online populations in the world, but when it comes to online shopping, the country is still warming up. A recent study by McKinsey & Company shows that out of 850 million internet users, only around 20 to 25 percent are actually buying products online. Compare that with places like the U.S. or China—where over 85 percent of people with internet access are active online shoppers—and it’s clear there’s a long runway ahead.
But that gap is closing, and fast. India isn’t just borrowing from global e-commerce trends—it’s building its own playbook. Take the explosion of “quick commerce” services, which promise deliveries in under an hour. What started as a novelty is quickly becoming the norm in urban centers.
As of the financial year 2023, e-commerce still made up less than 10 percent of total retail sales in India. But that number is expected to jump to 15–17 percent by the end of the decade. The growth isn’t just about more people shopping online—it’s about how they shop and what they’re buying.
Innovative models like social commerce (shopping via apps like WhatsApp and Instagram) and instant delivery platforms already make up more than 15 percent of India’s e-commerce space. By 2030, their share is expected to cross 25 percent.
What’s more, online platforms are venturing beyond the usual mix of groceries and gadgets. Many are adding services like home repairs, health consultations, and beauty appointments—pushing the definition of “e-commerce” into entirely new territory.
