The approach to life market, at the moment valued at $130 billion, is about to develop at a compound annual development fee (CAGR) of 10 per cent–12 per cent, based on the report titled ‘E-Styling India: Decoding India’s On-line Style and Way of life Purchasing Tendencies’.
The report highlights that vogue constitutes roughly 80 per cent of the present market, with magnificence and private care (BPC) making up the remaining.
- Additionally learn: Rising demand for magnificence and private care drives enlargement for e-commerce gamers
Notably, the e-lifestyle section, dominated by vogue, comprising 75 per cent of the market, and equipment and girls’s attire are anticipated to develop quicker than different vogue segments.
The e-lifestyle market in India is poised to develop from $16–$17 billion in 2023 to $40–$45 billion by 2028; enabled by the easing of short-term inflationary pressures, mixed with structural and beneficial demand shifts, similar to an increase in earnings, development of fashion-forward, digital native Gen-Z shopper base in addition to improve in demand for organized/ branded merchandise.
Magnificence and private care (BPC) has turn out to be extra mainstream with 16 per cent penetration in 2023 and is anticipated to develop barely quicker over the following 5 years.
Regardless of this fast development, India’s on-line way of life market nonetheless has appreciable room for penetration. At present, solely about 13 per cent of the approach to life market is on-line, in comparison with 35 per cent+ in additional mature markets just like the US, China, and Germany. By 2028, this determine is projected to extend to 18 per cent–22 per cent.
“India’s e-lifestyle market has come of age in the previous couple of years, with a various shopper base – 2 in 3 internet buyers are from past prime 50 cities, 1 in 2 are from non-affluent segments, and 1 in 3 are Gen-Z. There nonetheless exists large penetration headroom. 1 in 5 {dollars} spent on way of life will likely be on-line”, mentioned Shyam Unnikrishnan, Accomplice at Bain & Firm.
The report sheds mild on the evolving demographics of internet buyers in India. Two-thirds of those consumers hail from past the highest 50 cities, with half belonging to non-affluent segments.
Moreover, one-third of internet buyers are Gen Z, a gaggle recognized for his or her fashion-forward and digital-native behaviour. This demographic alone accounts for 25 per cent of the e-lifestyle market, contributing $4 billion in gross merchandise worth (GMV).
One of many standout traits recognized is the fast rise of the trend-first vogue market. This section, characterised by a big assortment and quicker refresh cycles, is anticipated to develop eightfold, reaching $4–$5 billion by 2028. Consequently, the web share of trend-first vogue is projected to extend from the present 30 per cent–35 per cent to 50 per cent–55 per cent.
- Additionally learn: India’s booming D2C magnificence market
The report additionally emphasizes the pivotal function of way of life merchandise as a gateway class for first-time e-commerce consumers. In 2023, over 175 million prospects shopped for way of life merchandise on-line, with a mean of 6–7 transactions per yr. Notably, 40 per cent–45 per cent of those consumers made way of life merchandise their preliminary on-line buy.
India has been a core marketplace for prime world manufacturers—90 per cent of the highest 50 world manufacturers are already current in India, and half of those manufacturers have over $30 million in income from India operations.
Over the previous yr, greater than 60 world manufacturers have launched or deliberate launches, spanning scale, area of interest, luxurious, and new-age segments.
“Three in 5 world manufacturers have entered India through the web channel up to now yr and we’re proud to have contributed to the launch of a few of these world manufacturers within the nation. A well-rounded and high-decibel launch, facilitating simpler discovery, entry to intel concerning the wants of Indian fashion-forward customers and Myntra’s attain to 99 per cent of serviceable pin codes are among the many key elements enabling the scale-up of the worldwide manufacturers within the sub-continent”, mentioned Nandita Sinha, CEO, Myntra.
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