Indians’ Digital Spends May Reach $100 Billion By 2020
Women over the age of 35 to drive digital spends in India.
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The availability of cheaper smartphones and data in the country is likely to cause Indians’ digital spends to reach $100 billion by 2020.
The key drivers will be more Indians logging online to shop or book their air or railway tickets and hotels, opting for financial services online, and also watching online content on platforms like Netflix or Amazon Prime, according to a report by Boston Consulting Group and Google.
E-commerce products apparels, accessories, consumer electronics and consumer durables, food and grocery market is estimated to reach $40-$45 billion by 2020 from $18-20 billion in 2017.
However, Indians are only one-third of the spending levels in China and one fourth of the U.S., according to the report.
Currently, only 20 percent of Indian shoppers spend a significant amount of their total spends online.
A two-and-a-half times increase in the number of women over the age of 35 years from smaller towns will be the drivers of growth as the infrastructure improves. The report states that more than $750-billion investment is expected over the next five years in infrastructure sectors, especially transportation.
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