Press Release

Shiprocket Projects $12 Billion eCommerce Opportunity for MSMEs in the Festive Season

Shiprocket, India’s 106th unicorn and leading eCommerce enablement platform, has released data insights projecting the Indian festive eCommerce market to reach $12 billion during the key months from October to December 2024. This represents a substantial 23% increase compared to $9.7 billion in 2023. The growth is largely driven by consumer demand in categories like fashion, electronics, beauty, and personal care, along with a surge in quick commerce, which alone is expected to contribute $1 billion in GMV.

 

Consumer Specific Trends: 84% of consumers make purchases based on AI-driven recommendations

Festive eCommerce growth in India is being fueled by the continued rise of digital penetration in Tier-2 and Tier-3 cities. Fueled by improved internet accessibility, rising disposable incomes, and enhanced digital literacy beyond Tier-1 cities, approximately 60% of online festive orders are expected to originate from non-metro areas.

 

Furthermore, AI-driven recommendations and social media influencers continue to shape consumer behaviour, particularly in the fashion and beauty categories, with 84% of consumers making purchases based on promotions or influencer suggestions. Additionally, insights reveal that around 55% of festive orders come from first-time shoppers. In contrast, weekend shoppers contribute significantly, accounting for approximately 27% of total festival sales, with Sunday accounting for around 13% and Saturday making up about 14%.

 

Growing Export Opportunities for Indian Merchants: Shiprocket facilitates $100 million in global eCommerce GMV

India’s eCommerce export market is presently valued at approximately $3-4 billion but is expected to surge to $200-300 billion by 2030, as MSMEs continue to tap into global markets and government initiatives, like DGFT, further enhance India’s export capabilities. Shiprocket’s data reveals an increasing global appetite for Indian goods during the festive season, particularly through platforms such as Amazon Global and Flipkart’s Global Stores. eCommerce exports have seen consistent year-on-year growth, with cross-border sales growing by 15-20% in 2023. MSMEs are seizing the opportunity to expand globally, with popular export categories including handicrafts, home décor, and fashion. Shiprocket currently facilitates approximately $100 million in global eCommerce GMV, with more than 3,000 merchants actively engaged in exports.

 

The Path Ahead for Indian eCommerce and Exports: Indian eCommerce exports to reach $200 billion by 2030

With the Indian government’s focus on boosting exports, particularly through eCommerce-driven channels, India is well on its way to achieving its goal of $200 billion in eCommerce exports by 2030. Shiprocket’s leadership in cross-border logistics and merchant enablement will play a pivotal role in helping Indian MSMEs expand their global footprint. As infrastructure and digital ecosystems continue to evolve, the contribution of eCommerce to India’s total exports, currently 4-5%, is expected to increase significantly,  positioning India as a global leader in digital trade.

 

“As we enter the 2024 festive season, the momentum for eCommerce continues to build across Bharat, particularly in Tier-2 and Tier-3 cities. At Shiprocket, we are proud to play a pivotal role in enabling merchants to meet this growing demand, not only within India but on a global scale. With the rise of quick commerce and the increasing global appetite for Indian products, we are excited to support MSMEs in tapping into this tremendous $12 billion opportunity. Our goal is to continue innovating and providing the tools necessary for businesses to scale and succeed both locally and internationally.” — Saahil Goel, MD & CEO, Shiprocket

 

Shiprocket’s Festive Season Performance and Merchant Growth:

Shiprocket has also experienced significant growth in its own order volume during the festive season. In 2023, the company recorded over 26.5 million orders during the festive period, contributing to its full-year order volume of 112.5 million. In terms of customer acquisition, Shiprocket saw a 15% increase in sellers joining the platform during the festive season of 2023, with over 15,000 new sellers onboarded during the surge in demand witnessed in the festive season.

To help merchants fully capitalise on the festive opportunity and embrace the surge in demand without stress, Shiprocket has introduced several solutions aimed at empowering both online and offline businesses. One of these key innovations is Shiprocket Quick, a hyperlocal delivery solution designed to help offline merchants meet customer expectations for fast, efficient delivery. With Shiprocket Quick, MSMEs can reach their local customers within minutes, ensuring that they stay competitive and capture the growing demand for instant gratification during the festive season. To help MSMEs seamlessly handle the high level of returns in the festive season, Shiprocket has heavily invested in its recommendation algorithm to ensure it accurately matches sellers with the best logistics partners, guaranteeing over 95% SLA adherence.

These launches reflect Shiprocket’s broader vision of continuously improving its tech stack to meet the growing needs of both consumers and businesses. Positioning itself as a forward-thinking partner for MSMEs, Shiprocket is actively empowering them with the tools to thrive in a competitive landscape and ensuring they are always prepared to seize new opportunities.

 

About Shiprocket

Shiprocket is India’s largest eCommerce enablement platform on a mission to empower the businesses of Bharat to scale their ventures by unleashing the true power of eCommerce. The platform helps the sellers at every step of their eCommerce journey, creating an operating system for direct commerce. Their stack of tech integrations enables shipping, fulfilment, customer communication and marketing tools as well as providers for SMEs, D2C retailers, and social commerce retailers in India.

 

Launched in 2017, Shiprocket is on a mission to create a seamless logistics data platform that connects retailers, carriers, and consumers across national and international locations. Shiprocket provides a technology stack to help retailers integrate their shopping websites on Shopify, Magento, WooCommerce, Zoho, and others with the platform’s multi-carrier API to manage orders, prints, and shipping labels. It also avails tracking information from multiple providers including managing Cash on Delivery (COD) orders and payment reconciliation. Shiprocket also offers state-of-the-art fulfilment solutions with more than 45 warehouses located across India. The technology stack provides a robust post-purchase experience to consumers resulting in higher engagement and lower RTO (failed deliveries). With 25+ courier partners on board, the brand permits pan-India as well as international shipping deliveries. Its shipping solutions are available across 24,000+ pin codes within India and 220 countries and territories worldwide.