India’s largest eCommerce enablement platform Shiprocket has released a report on the D2C market in India in collaboration with CII (Confederation of Indian Industries) and Praxis Global Alliance, a global management consulting and advisory services firm. As per the report, Direct to Customer (D2C) is a $12 billion market and is witnessing remarkable and rapid growth. The report states that several D2C brands in India have crossed INR 100Cr revenue in 3-5 years after the launch.
The latest report reveals that D2C brands are estimated to be $60 billion industry by FY27, registering a CAGR of about 40%. The numbers in the report are staggering, paving the way for a new model of e-commerce wherein brands choose to own and operate their own sales counters on the web. This notable trend has been reaffirmed by the fact that many D2C brands across the nation have crossed the INR 100-crore benchmark in revenue. On top of that, this revenue benchmark was only achieved in 3-5 years since launching operations.
The Average Order Value (AOV) on each product and a hefty gain in gross margins are the fundamental tailwinds that further foster this trend.
Saahil Goel, Co-Founder, and CEO of Shiprocket said, “With this report, our aim is to provide the first ever comprehensive deep dive of the D2C sector in India and its tremendous potential in the coming years.”
