Online user investment is anticipated to increase to almost USD 100 Billion by the end of 2020. This will almost 2.5x growth that will be led by increment in travel and hotel, e-commerce, digital media, and financial services, claims a report. People in Indian currently invest almost USD 40 Billion via digital payments. “Possibility exists for digital payments to increase 3x to USD 100 Billion from almost USD 40 Billion by the end of 2020,” the Boston Consulting Group’s report in association with the search behemoth Google claimed this week.
E-commerce for goods such as consumer electronics, accessories and apparel, food and grocery, and durables is expected to be the largest ingredient with the size of the market expected to cross USD 40–45 Billion by the end of 2020, from almost USD 18 Billion currently. Digital transactions for hotel and travel is expected to cross USD 20 Billion by the end of 2020 from the present USD 11 Billion; financial services to cross to USD 30 Billion from the present USD 12 Billion; and digital media to cross USD 570 Million from USD 200 Million, as per the report.
Online consumers has increased almost 2x in 4 years to cross 430 Million consumers currently, driven by cheaper data, cheaper smartphones, and more local language or mobile-specific content, it claimed. The report further claimed that new users and women from non-tier 1 towns and shoppers above age of 35 will boost this development.
It also predicts that by the end of 2020, the female consumers will elevate 2.5x and older users will grow over 3x in comparison to the present. “With the enhancement of infrastructure, online shopping will start in the countries from cities further than metros and together it is anticipated to include over 50% of the entire online user base by the end of 2020,” it claimed.