: India becomes global investment hub for digital shopping #finance #StockMarketNEWS #Business Indo-Asian News Service New Delhi With the backing of global investors for e-commerce companies,

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India becomes global investment hub for digital shopping #finance #StockMarketNEWS #Business
Indo-Asian News Service

New Delhi

With the backing of global investors for e-commerce companies, India has become the second-largest global venture capital investment hub for digital shopping companies in 2021 after the United States.

The Indian e-commerce segment registered a whopping growth rate of 175% and reached billion from billion in 2020.

The U. S. which attracted billion investments came first followed by China at third position with billion and the United Kingdom at fourth position with billion according to the London & Partners analysis of Dealroom. co investment data.

The data also indicates that the U. S. and India are two of the world’s leading hubs for digital shopping companies with high levels of global investmentand unicorns.

The reason for this kind of investment may be attributed to increasing demand for online purchases during a series of lockdowns across the world during the Covid-19 pandemic.

Within India, Bengaluru was on top globally with billion worth of Venture Capital (VC) investments in digital shopping in 2021, followed by Gurugram at No. 7 with billion and Mumbai at No. 10 with billion.

The data also shows that Bengaluru ranked number five among cities with the potential for future unicorns, justbehind London.

Three of the 15 global cities with the highest count of current unicorns are in India Bengaluru at No. 6 with 19 unicorns in 2021 (up from three in 2020, Gurugram at No. 7 with 13 unicorns (up from 3 in 2020) and Mumbai at No. 14 with 7 unicorns.

London is the leading European hub for digital shopping investment, with a record billion raised by digital shopping companies based in the capital in 2021.

Overall, global venture capital investment into digital shopping more than doubled in 2021 following a significant consumer shift to e-commerce platforms during the pandemic. The total global VC investment for 2021 stood at a record 0 billion, up from billion in 2020.

India’s e-commerce market is likely to surpass 0 billion in transactional value, a study by FIS, an American financial technology company, forecasts. Between 2021 to 2025 the ecommerce market is expected to grow by 96%, the growth driven by an increasing shift towards digital payments, according to the 2022 Global Payments Report by Worldpay from FIS, which offers a snapshot of the global payments landscape.

Riding on the global sentiment, Indian consumers are relying more on mobile commerce than desktop ecommerce. Globally, the transaction value from mobile devices accounted for 52% of all e-commerce spending in 2021.

In India, consumers preferred to use digital wallets 45% of the time, over debit, credit and charge cards for e-commerce payments, a trend common in Asia Pacific countries including China, Indonesia and the Philippines.