According to a report by Technavio, the size of the online fashion retail market in India is estimated to grow by US $ 22.97 billion from 2021 to 2026. During the forecast period, the market growth is expected to have a CAGR of 18.83 per cent.
The rise of social commerce is among the key trends influencing the growth of the online fashion retail market in India. With major players like Instagram, YouTube, Pinterest, Snapchat and Facebook, the social commerce platforms facilitate transaction-based social interaction and user experiences through their platforms.
Social commerce impacts a consumer’s decision-making by providing them with a wide variety of choices, shared user experiences and referrals. E-commerce and retail brands, through social commerce, can divert traffic to their websites and increase brand reach and customer trust.
Another factor driving the online fashion retail market growth in India is the rise in peneration of the Internet and smartphones in India.
The total number of internet users in India increased from 795.18 million people by the end of December 2020 to 825.30 million by the end of March 2021, as per the data provided by the Telecom Regulatory Authority of India (TRAI) in August 2021.
Many manufacturers of fashion-related products have started selling their products through their own websites in addition to third-party online retailers.
