India's e-commerce industry set to grow 84% by 2024, says report

Affle’s MAAS, a unified mobile advertising platform, and Sensor Tower (a US-based mobile app store marketing intelligence company) have jointly studied the key factors that accelerated e-commerce adoption in India and Southeast Asia in the recent past, and how Covid-19 has shaped shopping behaviour. Their findings are summarised in the report, The Dawn of the New-Age Shopper in the New Normal.
 
Daily active users for shopping apps
 
In India, daily active user (DAU) growth in top shopping apps accelerated in the past three quarters, after Club Factory’s removal from app stores dampened growth in mid-2020. The top 10 apps averaged more than 7 million DAUs apiece in Q2 2021, up 18 per cent year-on-year.
 
 Covid boost
 
Accelerated by the pandemic, the Indian e-commerce industry is set to grow by 84% to $111 billion by 2024. Similarly, Southeast Asia is on its way to record an annual growth rate of 22%, reaching $146 billion by 2025.
 
Avg downloads for top 5 shopping apps
 
Shopping app installs in India showed strong y-o-y growth in July and August 2020, and remained above 2019 levels into 2021. Shopping app installs surged again in July 2021, surpassing 80 million that month, up more than 15 million month-on-month. Meesho alone contributed more than 12 million downloads, up 3.7 million month-on-month.

 

Avg retention among top 10 shopping apps
 
Day 1 and day 7 retention for the top shopping apps in India reached their highest average since 2020 in Q2 2021. Longer-term retention for the top shopping apps in India peaked in Q3 2020. While retention decreased in the following quarters, it still showed positive growth year-on-year.
 
Source: Research by Sensor Tower