Report: Online Fashion Industry in India Grew By 51 pc In FY21
The online fashion industry in India continues to grow amid the COVID-19 pandemic, with the sector an increase both in volume and value terms.
Ecommerce focused supply-chain SaaS technology platform Unicommerce, in a report titled Fashion E-commerce Report, stated that the online fashion industry continues to grow upwards with order volume growth of 51% and GMV (Gross Merchant Value) growth of 45% in FY21 as compared to the previous financial year.
It added that the growth of the segment is also because of the increased volume growth in Tier-II and Tier-III cities. Tier-II locations registered 118% volume growth, whereas Tier-III and beyond destinations registered 192% volume growth.
Kapil Makhija, CEO of Unicommerce, said,
“Fashion segment is one of the biggest contributors to the ecommerce industry of India with the highest order volume. This report sheds light on the changing consumer buying patterns and preferences, rising adoption of D2C and omnichannel and new segments in the online fashion space.”
Online Fashion Report
The report revealed that the brand websites have reported 66% order volume growth and 77% GMV growth in FY 2021, compared to the previous financial year.
Additionally, marketplaces have reported 45% order volume growth and 33% GMV growth for FY-2021 compared to websites.
FY 2021 witnessed the domination of women wear in the eCommerce fashion market and accounted for 50% market share and 30% order volume growth in FY 2021 compared to the previous financial year.
The kids wear segment saw over 200% order volume growth with market share significantly increased to 17% in FY 2021 from 3% in FY 2020, while the menswear segment maintained consistent growth with 37% order volume growth and 33% market share in FY-2021.
The report added that websites are driving fashion growth as fashion brands are investing aggressively to build a stronger direct to consumer presence. The rising adoption of the D2C model amongst fashion brands has helped them build a strong connection with consumers leading to higher growth.
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