E-commerce in India is valued at $ 14 billion, and has a growth rate 33 per cent. It is staffed by youngsters from the prestigious institutions such as the IIMs and the IITs. Most ventures are just five years old. There are six companies which have a valuation of $ 1 billion plus. Still in terms of the areas catered to, the market is skewed. Most of the e-commerce, to the extent of 70 percent, consists of online travel business. The e-tailing comes second at 17 per cent, but growing very fast to catch up.

The global e-commerce market is valued at $ 1.5 trillion and has an annual growth rate of 20 per cent. The biggest share is that of the USA, followed by Asia-Pacific. The internet penetration and mobiles have fuelled this growth.

The Digital India initiative will boost e-commerce in India by roping in the rural and urban areas both. Mobile applications stimulate e-commerce growth, and in India start ups are working on this. E-commerce has to tie up with mobile wallet providers and banks to streamline the payment mechanism.

Though right now the growth is due to price incentives, in the long term it will be driven by efficiency and data.