India’s ecommerce sector saw steady growth in 2025, with Monday emerging as the top day for average order volumes, prepaid orders becoming more common, and delivery times improving across the country, according to a report based on ClickPost’s dataset. The analysis covered 635.22 million orders processed over 23 months, from January 2024 to November 2025.
Order volumes increased by 13.5 per cent year-on-year (YoY), while the average order value rose 21 per cent YoY. Analysts attribute part of this growth to the implementation of GST 2.0 in September 2025, which reduced tax rates on electronics, appliances, and fashion items, encouraging higher spending on big-ticket products.
Prepaid orders accounted for 41 per cent of all transactions in 2025, up from 32 per cent in 2024. Metro markets led with a 46 per cent share, while Tier 2 cities showed the fastest growth, reaching 40 per cent prepaid usage. Even Tier 3 markets saw prepaid adoption at 34.5 per cent, reflecting a gradual increase in consumer trust.
Delivery speeds also improved, particularly in Tier 3 cities, where orders were delivered about 29 per cent faster than the previous year. Tier 1 markets, in comparison, recorded a 7.1 per cent improvement. On-time deliveries rose to 36 per cent from 28 per cent in 2024, while overall delivery issues declined by roughly 4 per cent.
Return rates, long considered a challenge for online retail, fell from nearly 29 per cent in 2024 to under 22 per cent in 2025. The main reasons for returns remained largely unchanged, with customers citing change of mind, wrong size or fit, and products not as described.
The report notes that 2025 marked a shift in how ecommerce operates in India. Rather than relying on promotional spikes or sale events, online shopping became more routine, supported by predictable delivery and product experiences. Analysts highlight that operational improvements, particularly in Tier 2 and 3 cities, helped maintain consistent order fulfilment and consumer confidence.
