iNDICA NEWS BUREAU
Despite several setbacks this year, India’s internet industry is expected to grow and could reach $5 trillion by 2030, a Redseer report showed on Monday.
With 780 million internet users, India has the second largest internet user base in the world.
“As digital continues to play a significant role, India’s Internet GMV (not valuation) will grow to nearly $1 trillion by 2030, equivalent to $5 trillion in public and private market capitalization, according to market intelligence firm Redseer Strategy Consultants.
The average Indian spends about 7.3 hours a day on his smartphone, one of the highest in the world.
“Time is spent on online messaging, social media, YouTube streaming, OTT content and short-form video. Interestingly, but not surprisingly, the majority of online users come from Tier 2 cities and beyond,” the report notes.
There is a new trend in content consumption where time spent on user-generated content is 2 times that of platform-generated content.
The sharp rise in digital consumption and increasing digital penetration in Tier 2 and beyond cities are the primary growth drivers responsible for the growth of India’s digital advertising ecosystem.
The report said that with an increase in the flow of consumers from Tier 2 and beyond cities that embrace short video commerce, India is likely to witness a massive increase in digital ad investment instead of driving sales.