Pocket-sized loans are feeding online consumption, with demand coming from smaller cities and towns. Both of India’s leading e-commerce marketplaces cited small towns – and credit – for their success. The share of transactions using credit options grew by 70%, with a majority of these people living outside of big cities. For all its expansion, e-commerce will account for only 7% of India’s $1.2 trillion retail sales by 2021, according to Deloitte. This is the model that Mukesh Ambani, India’s richest man, might use to connect India’s 30 million small retailers with consumers.

Source: Economic Times October 10, 2019 03:35 UTC