India’s commerce Is Now AI-driven, Hyperlocal And Bharat-Led, Reveals Shiprocket-KPMG Report
Quick commerce is not urban-focused anymore—its a country-wide habit, with more than 50% of users ordering five or more times a month.
India's online commerce is experiencing a seismic change fueled by rural internet expansion, the D2C trend, and swift AI adoption, finds the Made for Bharat, Powered by AI report by Shiprocket and KPMG. Unveiled at Shiprocket's marquee event, Shiprocket SHIVIR 2025, the report captures the way India—with 886 million internet users (55% rural)—is not only transforming but spearheading the commerce revolution globally.
With UPI now contributing 84% of retail digital payments, the D2C market is expected to reach $100 billion this year, making India the world's second-largest in D2C funding. Quick commerce is not urban-focused anymore—its a country-wide habit, with more than 50% of users ordering five or more times a month.
Setting a big milestone, Shiprocket introduced Shunya.ai, India's first sovereign, multi-modal AI engine designed for MSMEs. Hosting 9+ Indian languages and locally hosted, Shunya.ai automates cataloging, marketing, and fulfillment—yielding 40% time saved in pilot tests.
Top Trends
- AI Revolution: 96% of marketers indicate improved sales through AI personalization; 98% of users consume content in Indian languages.
- Quick Commerce: Expected to grow 75–85% in 2025, reaching $5B GMV.
- Rural Rise: 488M rural users now account for 55% of India's internet base; kirana stores are becoming "phygital."
- Digital Payments: UPI had 11,761 crore transactions of value ₹180.24 lakh crore in FY25.
- Enterprise AI Surge: 59% of large Indian enterprises now have AI; 77% of startups are investing in AI and blockchain.
India's commerce is being revolutionized by three pillars: omnichannel availability, hyper-personalization, and AI-based operations—reinventing Bharat as the world's hub for digital innovation.
