However, the growth pattern in FY23, and likely going forward as well, is different wherein the ‘regular shoppers’ i.e. “Over the last three years new users who are willing to try e-commerce throughout the country have increased and non-metro users account for a large share of the total user base in FY23.

The average dollar spend per shopper stagnated at $273 in FY23, even as inflation ran high in the year.

However, shoppers spent less in the year. Redseer said the monthly shopper base was likely to grow at around the same pace, as it did in FY23, as the market matured. While that was an increase of 30 percent YoY, the pace was slower than the 43-percent jump that it registered in FY22 over FY21. Thanks to the price pressures, even the monthly shopper base increased at a slower pace to reach around 65 million in FY23, from 50 million in FY22. “Overall consumption growth has been tepid in recent quarters owing to inflationary concerns yet e-tailing (is) better placed than offline,” the report added. “The e-tailing market in India has been slowing since the pandemic to grow GMV at 22 percent in FY23 to reach $60 billion,” said Mrigank Gutgutia, partner at Redseer, a consultancy firm. For e-commerce companies such as Flipkart and Amazon, while GMV is a reflection of the total value of goods sold, their revenues are only the fees/commissions earned from sellers during that period. It may sometimes be the same as revenues depending on the type of business.

Simply put, GMV is the total sales over a period of time. However, the pace of YoY growth slowed sharply to 22 percent in FY23 when the GMV increased to $60 billion. And then the GMV further increased by around 36 percent year-on-year (YoY) to $49 billion in FY22. After growing at over 35 percent during the pandemic years, the rate of increase in e-commerce gross merchandise value (GMV) slowed in the previous financial year (FY), the analysts at Redseer said.Į-tailing GMV grew by about 44 percent from $25 billion in FY20 to $36 billion in FY21.

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