E-commerce order volume grew by 36 per cent in the last quarter of 2020, according to a report by Unicommerce and Kearney. The major segments which witnessed an upsurge in demand were Personal care, Beauty and Wellness (PCB&W).
In October to December 2020 period, PCB&W and FMCG & Healthcare (F&H) categories' volumes grew by 95 per cent and 46 per cent year-on-year (YOY) respectively, said the Q4- 2020 – E-commerce Trends Report released by Unicommerce and Kearney.
Tier 2 and 3 cities accounted for a 90 per cent YOY incremental volume and value growth, it said.
The report, which assessed the e-commerce growth in Q4 2020 with the sector-wise analysis, said brand websites reported a 94 per cent volume growth in fourth quarter of 2020 as compared to same period last year.
The last quarter of 2020 saw e-commerce grow by 36 per cent and 30 per cent YOY in terms of order volume and gross merchandise value (GMV) respectively, while the average order value declined by five per cent in Q4-2020 as compared to same period last year.
The growth accelerated in light of COVID-19 and the effects of lockdown led to a massive change in consumer habits with many new shoppers and sellers coming online, the report said. Electronics category witnessed 12 per cent YOY growth in average order value (AOV) in addition to 27 per cent YOY growth in volumes.
Fashion and accessories continue to be the largest segment by volume. It reported 37 per cent YOY volume growth but AOV declined by seven per cent YOY in Q4-2020 as compared to the same period last year.
FMCG & Healthcare is the fastest growing category in Tier I and metropolitan with 150 per cent-plus growth, said the report, which covered trends related to the overall e-commerce growth, region-wise consumer demand and direct-to-consumer (D2C) trends and how it affects the industry in the post Covid-19 world.
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