60% Women Prefer Shopping Online, Power India’s E-Commerce Growth, Says Home Credit India Study

The e-commerce sector in India is witnessing a huge surge, and women are now leading the adoption of e-commerce. According to a study by Home Credit India, titled How India Borrows 2024, 60 per cent of women prefer shopping online on a regular basis, compared to the 52 per cent men. The trend recognises the increasing participation of women in driving digital shopping and fuelling the rise of technology-driven financial solutions.

The report highlights the shifting consumption patterns in India, with the volatility in e-commerce engagement in the recent past. Internet purchases went up to 69 per cent in 2021 before declining to 48 per cent in 2023. The sector recovered partially in 2024 and saw 53 per cent participation. Though offline purchase recovered partially, online trade remains a significant trend, especially among young people and females, the study says.

Ashish Tiwari, chief marketing officer of Home Credit India, said, “The digital shopping landscape in India is being redefined by women, who are not only leading online shopping adoption, but also influencing the transformation of embedded finance. Our How India Borrows 2024 study indicates that women are using digital tools with greater confidence, leveraging AI-driven assistance, and embracing more intelligent borrowing solutions to enhance their shopping experience. We believe this is a watershed moment, one that mirrors the growing financial empowerment of women and the need for frictionless, convenient credit solutions that keep pace with their evolving aspirations.”

Tier-2 Cities and Young Consumers Drive Growth

Women are not the only ones driving the online buying spree. The younger generations, the millennials and Gen Z, are also in the lead. The study found that 59 per cent of millennials and 58 per cent of Gen Z are online consumers, as compared to only 39 per cent of Gen X consumers. The difference in age demonstrates a rising utilisation of digital channels for consumption through retailing regarding convenience, ease of accessibility, and inclusive finance.

Geographically, the online shopping boom is not limited to metros. The Tier-2 cities have matched the metros and both of them have an online shopping adoption rate of 56 per cent. The trend is particularly dominant among the lower-middle-class pockets of eastern and southern cities, where the adoption rates are the highest. Kolkata leads the charge with 71 per cent of the online consumers, followed by Kochi (66 per cent), Hyderabad (64 per cent), and Chennai (60 per cent). These numbers indicate a growing digital presence across India’s economic and geographic landscape.

Embedded Finance Enhances Shopper Experience

Among the chief drivers of women’s digital shopping growth is the rising adoption of embedded finance solutions. Embedded finance solutions make borrowing easier and facilitate faster purchasing processes, thus making online payments smoother. The research highlights that 50 per cent of embedded finance-preferred borrowers believe that it makes their e-commerce experience better.

A huge 38 per cent of women borrowers from the lower-middle class prefer equated monthly instalment (EMI) cards, which are accompanied by faster disbursals and higher creditworthiness. Such

a preference for segment-specific credit products reflects growing trust towards digital lending vehicles, which increasingly consumers can bank upon in fulfilling their role in the online buy-sell business, the study said.

Trust in Digital Financial Tools on the Upswing

The report also indicated growing dependence on technology-driven financial services, notably among women and borrowers from metro cities. About 30 per cent of the survey respondents said they used chatbot-based financial assistance, while 26 per cent expressed confidence in loan facilities provided by WhatsApp. The increased use of AI-driven financial products signifies the general movement towards ease of finance and digital awareness, the study said.

The findings also signify more willingness on the part of women to attempt and depend upon online solutions for their finances, which also signifies a rapid development of India’s digital economy.

Bridging Digital Financial Literacy Gap

With the rise of e-commerce and online lending, financial literacy has stepped up to the fore in promoting prudent spending and debt accumulation avoidance. The research findings indicate that one out of every five women, is actively seeking financial education, specifically in areas of budgeting, application for loans, internet banking, and electronic payments.