Indian e-retail market expected to grow to $140 bn by FY26: Bain & Company

The pandemic was a watershed moment for India's e-retail market, driving a 12-month acceleration in e-retail penetration, which was at 4.6 per cent by end of FY21

E-Retail has particularly been a boon during the Coronavirus (Covid-19) pandemic after the setbacks caused by widespread disruption (for consumers and small businesses) and loss of jobs. In the future, the e-retail market is expected to grow to $120–140 billion by FY26, increasing at approximately 25 per cent–30 per cent per annum over the next 5 years, according to the report ‘How India Shops Online 2021’ by Bain & Company in association with Flipkart.

The growth will be led by smaller towns that account for four out of five new shoppers. In addition to small towns, women and older shoppers have