A report by Boston Consulting Group (BCG) and Matrix Partners India has said that at 25 per cent, the fashion and apparel category is expected to have the highest share of online retail spending in estimated overall online retail spends of US $ 140 billion to US $ 160 billion by 2025.
In 2021, the category stood at 20 per cent of US $ 50 billion to US $ 55 billion.
Along with fashion and apparel, food and FMCG, and beauty and personal care are the categories expecting a higher share.
The pandemic accelerated digital penetration by 12–24 months across different sectors, which will boost the adoption of e-commerce in reaching a total of 350 to 400 million online shoppers spending US US $ 150 billion by 2025.
BCG and Matrix Partners India conducted proprietary consumer research, along with discussions with about 25 start-up founders and chief executives (CXO) to understand other trends such as the large proportion of new shoppers in online commerce being over 35 years old, women and from Tier-2+ cities.
The report suggested, driving sustainable growth at consumer technology companies from the 10 to 100 phase would require maximising customer lifetime value by expanding offerings, driving loyalty through customer retention, and focusing on cross-selling and up-selling.
Bharat Tex Special Report 2026 
