Here are some insights on Indian Consumer Internet Industry:

Online Grocery: The online grocery market is largely dominated by FMCG & others category but Fresh is the anchor category for consumers

Online Grocery Market

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The online grocery market is largely dominated by ‘FMCG & others’ category. But the key reason for which consumers come to these platforms is ‘fresh’ category. The players are thus investing heavily in warehousing and delivery capabilities to ensure that good quality fresh products get delivered to the consumers on time.

Milk Delivery: The online milk delivery has an addressable market of $1.2 bn of which 8% is online

Milk Delivery Market

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The Indian dairy market is ~ $95 bn of which ~ $15 bn is in the top 6 metros. A large portion of target customers of online dairy products falls into the > INR 10 lpa income bracket within the top metros. With the population of top 6 metros being ~ 80 mn of which 5% earn more than INR 10 lpa, we have a 4 mn target consumer base. Assuming an average yearly spend of $ 300 for the > INR 10 lpa income bracket, we estimate an addressable market of $ 1.2 bn of which 8% is currently online.

Online Beauty: Offers & discounts is the top reason for buying beauty products online followed by wide selection and trust

Online Beauty Market

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The key reasons for which consumers buy beauty products online are offers & discounts, wide selection, trust on the seller and web/app experience. Consumers in metros and T1 cities want a good web/app experience and availability of the top brands they seek. While those in T2+ cities give more importance to the trust on the seller and customer support.

Ed-tech: The online supplemental education is a $65 mn market largely dominated by 6th-10th class courses

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The online supplemental education is largely dominated by 6th-10th class courses. Students usually try the free versions for 6-7 months before taking annual paid versions. The percentage contribution of competitive courses is highest in the JFM quarter as a huge number of student take short crash courses of preparation of competitive exams. While class 11th-12th courses are majorly taken in AMJ and JAS quarters.