Supply chain issues and challenges in the Indian e-retail sector

Abstract

The Indian retail market was estimated to be around Rs. 25286 billion in 2012-13, 7% of which is the organized retail at Rs. 1767 billion and the share of online retail is 0.5% at Rs. 139 billion. [Figure 1]. However, the online retail market is expected to rise from 7% of the organized retail market (2012-13) to around 18% in 2016, and the share in the overall retail market to be above 1% by 20161. This steep growth trajectory of online retail in India is also reflected in the CAGR of 56% for the previous 5 years and is expected to continue at around 50%-55% for the next 3 years as well. The online retail market size in India is estimated at Rs. 139 billion is expected to reach Rs. 504 billion in 2015-16.