Page 51 - Edelweiss India Conference 2022 FLIPBOOK

New Energy Digital Manufacturing Capital Markets Human Capital

Smartphone Users:
smartphones over the last 5–6 years, driven by availability of low-cost alternatives from
local as well as global brands. In 2020, smartphone users accounted for 34–38% of India’s
population in comparison to 64–68% in China. Easy availability of smartphones, ease of

have enabled Indians to embrace digital applications. By 2025, India is expected to have
750–850mn smartphone users, implying smartphone penetration of 52–59%.

Social Media Users: In 2020, India had a base of 300–350mn average monthly active
users on social media across platforms like Facebook, YouTube and Instagram. Users tend

users in their network or the celebrities and channels they follow. As a result, social media In 2020, India had a
base of 300–350mn
behavioural changes. average monthly

Maturity creeping in active users on social
media across platforms
The success of e-commerce can be attributed to shortening the supply chain and passing like Facebook, YouTube
and Instagram
prices than traditional channels, e-commerce has tasted huge success over the last few
years. Intense competition between e-commerce companies to grab higher market share
has also resulted in deep discounting, resulting in strong growth in initial years. While
e-commerce in India clocked strong growth until FY16, its growth tapered down as the
base expanded from a 70% CAGR over FY14–16 to a 27% CAGR over FY16–20. Going ahead,
e-commerce growth is estimated to fall under 20% for FY20–25 as the industry matures.

E-commerce growth in India

30 85

24 68

18 51
(USD bn) 12 34 (%)

6 17

0 0
FY15 FY16 FY17 FY18 FY19 FY20P
E-commerce in India YoY Growth Rate (%)

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