Last mentioned: Mar 18, 2026
Projected Milestone
E-commerce reaches 11% of retail; D2C market hits $60 billion; MSMEs drive 50% of growth.
McKinsey Analysis
Report identifies MSMEs as the primary engine for the next wave of digital retail growth.
Current State
E-commerce represents 6% of total retail; D2C market valued at $10-12 billion.
A new McKinsey & Company report projects that India's e-commerce retail share will nearly double to 11% by 2030, with MSMEs driving half of that expansion. The shift is characterized by a move toward unbundled digital solutions and D2C channels, which are currently growing three times faster than traditional marketplaces.
A McKinsey & Company report reveals that India's MSMEs will drive nearly 50% of the nation's e-commerce expansion as digital retail penetration climbs to 11% by 2030. The shift is characterized by a rapid move toward direct-to-consumer channels and unbundled digital solutions that bypass traditional marketplace dominance.
India's e-commerce penetration is projected to nearly double to 11% of total retail by 2030, with MSMEs driving half of that expansion. A structural shift toward unbundled digital services and D2C channels is challenging the dominance of traditional marketplaces.