A joint study by Deloitte and ASSOCHAM, the Associated Chambers of Commerce of India says that the digital commerce market in the country is likely to touch $128 billion in 2017 , compared to $42 billion this year.
“Increasing mobile and Internet penetration, m-commerce sales, advanced shipping and payment options, exciting discounts, and a push into new international markets by e-businesses are major drivers of this unprecedented growth,” the study added.
The Times of India reports that there are about 930 million wireless subscribers in India with the wireless tele-density (connections per square kilometer) in urban areas in excess of 140 and with a huge potential in rural areas that have a tele-density of 44. A significantly large percentage of this subscriber base will be using mobile devices to access the Internet. This number is estimated at 235 million users as of September 2014 and growing rapidly. Additionally, online shoppers are expected to double from 20 million in 2013 to 40 million in 2016.
The study also pointed out that dedicated e-commerce laws are required to address issues in the sector’s legal and regulatory framework. It suggested that banks must play a leading role as ‘facilitators’ by offering cost effective cash management solutions, secure payment gateways and other relevant banking services reports Gadgets 360, an NDTV venture.