E-commerce industry expansion: Markets beyond the US

For many Indian e-commerce businesses, the United States has long been one of its major markets, receiving a significant share of India's exports. However, depending too heavily on a single market poses substantial risks in today's rapidly evolving global economy.

This is where the strategic concept of market diversification becomes necessary. 

Why look beyond the USA?

The US has long been a prime destination for Indian businesses due to its diverse consumer base and robust economy. However, relying solely on one market comes with risks, including economic fluctuations, policy shifts, and intense competition. To mitigate these risks, it’s important for Indian e-commerce businesses to consider expanding into other fast-growing markets.

Having a diverse e-commerce market strategy offers several key advantages, including:

• Reduced risk: Expanding into multiple markets helps cushion businesses against economic downturns, policy shifts, and market saturation in any single region.
• Increased revenue streams: Tapping into new customer bases unlocks fresh opportunities for significant revenue growth.
• Niche market opportunities: Emerging markets often have less competition, allowing businesses to establish a strong presence and achieve higher profit margins.
• Cultural affinity: The global Indian diaspora and international consumers with an interest in Indian-made items and the country’s culture present a valuable market for authentic products and experiences.

New e-commerce markets to explore

The global e-commerce industry is growing at a rapid pace, with consumers across the world increasingly turning to online shopping. For Indian e-commerce businesses, expanding into international markets presents a strategic opportunity for growth. Some of the countries to consider expanding to include:

1. Oceania

Oceania offers a promising landscape for Indian e-commerce businesses, with online shopping becoming an integral part of retail in Australia, New Zealand and Fiji. As digital adoption rises, businesses have significant opportunities to establish a strong presence in the region's expanding e-commerce market.

Australia

E-commerce has become a vital part of Australia’s retail sector, with a number of households shopping online and innovations driving further market growth, as reported by Statista. E-commerce platforms such as Amazon, eBay, and Temu dominate the market, attracting consumers with a diverse range of products.

Furthermore, the India-Australia Economic Cooperation and Trade Agreement (IndAus ECTA) provides a significant advantage for Indian businesses. According to the IBEF, this agreement enables duty-free access to a diverse range of goods, making Australia an even more attractive market for Indian e-commerce sellers.

b. New Zealand 

New Zealand’s e-commerce sector is rapidly expanding, with projections indicating that 83% of New Zealanders will be shopping online by 2026. This high adoption rate, combined with a strong demand for international products, makes New Zealand a lucrative market for Indian businesses.

Additionally, New Zealand’s established trade relationship with India enhances export opportunities. As reported by the Indian Briefing, key Indian exports to New Zealand include fish, apparel, and textiles, positioning Indian sellers to meet consumer demand in these sectors.

c. Fiji

Fiji, while a smaller market compared to Australia and New Zealand, is set to experience significant growth in its digital economy. The Government of Fiji recently announced their National E-commerce Strategy with the plan of increasing internet and mobile penetration to drive the adoption of online shopping from 2025 to 2029, creating new opportunities for Indian e-commerce businesses. Specifically, there is growing demand in Fiji for affordable consumer goods, clothing, and electronics, which Indian businesses can readily supply. 

Furthermore, the strong cultural ties between India and Fiji, with a substantial Indo-Fijian population, can serve as a valuable foundation for building trust and brand loyalty. Focusing on accessible pricing, reliable shipping, and culturally relevant products will be key for Indian businesses looking to establish a foothold in Fiji's developing e-commerce landscape.

2. Asia

Asia's booming e-commerce industry offers lucrative prospects for Indian businesses. Countries like Singapore and Japan are leading the charge, with high online shopping adoption rates and growing consumer interest in cross-border purchases.

a. Singapore 

Singapore is a digitally savvy market with a strong e-commerce presence. According to OSOME, a remarkable 62.8% of Singaporeans make online purchases every week, highlighting a thriving digital-first consumer base. The country is also witnessing a rise in direct-to-consumer (D2C) sales, offering Indian brands a chance to establish direct connections with customers and build brand loyalty. 

Moreover, India and Singapore share strong economic ties, with Singapore being India’s second-largest investor, according to the IBEF. This robust partnership opens doors for Indian e-commerce businesses to expand into Singapore’s thriving digital market.

b. Japan 

Japan is another high-potential market, with the number of e-commerce users expected to reach 93.9 million by 2029, as per Statista. Japanese consumers value quality, reliability, and efficient logistics, making it an attractive market for Indian sellers offering premium and niche products. With a well-developed e-commerce infrastructure, businesses can leverage established marketplaces and localized strategies to gain a foothold.

Furthermore, as India continues to strengthen its economic ties with Japan, increasing trade volume provides new opportunities for Indian sellers to enter the Japanese market and cater to its discerning consumer base.

3. Europe

Europe presents a compelling opportunity for Indian e-commerce businesses seeking to diversify beyond the United States. With a large, affluent consumer base and a sophisticated digital infrastructure, Europe offers access to markets with high purchasing power and a strong appetite for online shopping. 

a. England

While many European nations offer potential, England's e-commerce penetration rate of 84.7% in 2025, coupled with a significant and well-established Indian diaspora, creates a unique and favorable environment for Indian businesses. This established community provides a natural conduit for cultural products, fashion, and food items, fostering trust and familiarity. Furthermore, England's position as a global hub for business and finance offers access to a diverse and affluent customer base, broadening the scope for various Indian product categories

Diversification: Willingness to pay and less competition

One key advantage of exploring new markets is the potential to find consumers willing to pay more for quality products. In many emerging markets, consumers are increasingly seeking unique, high-quality goods and are often willing to pay a premium for them. Moreover, these markets often have less competition than the saturated US market, allowing Indian businesses to establish a strong foothold.

Products selling in these markets

India has long been renowned for its exquisite craftsmanship and high-quality manufactured goods, which continue to attract buyers worldwide. Some of the export categories that Indian e-commerce businesses can tap into include the following:

• Apparel: Handwoven fabrics, intricate ornaments, and artisanal home accessories infused with Indian artistry remain a top preference for international buyers. The demand for eco-friendly, handcrafted décor is particularly strong in global markets.
• Handicraft and home goods: Handwoven fabrics, intricate ornaments, and artisanal home accessories infused with Indian artistry remain a top preference for international buyers. The demand for eco-friendly, handcrafted décor is particularly strong in global markets.
• Electronics: India, the world’s second-largest mobile and consumer electronics manufacturer, has cemented its position as a key player in the global market, according to India Briefing. With a reputation for high-quality, cost-effective products, Indian electronics brands have immense potential to expand internationally and compete with leading global manufacturers.

Getting started with DHL: Your gateway to global success

Expanding beyond the USA and tapping into diverse e-commerce markets can unlock significant growth opportunities for Indian businesses. However, navigating international logistics requires reliable shipping solutions and a trusted service partner. That’s where DHL Express comes in.

With a global network spanning over 220 countries and territories, DHL Express offers tailored logistics services designed to support e-commerce businesses in reaching new customers worldwide. From seamless customs clearance and real-time tracking to fast and reliable doorstep delivery, DHL ensures smooth overseas shipping at every step.

By partnering with DHL Express, Indian e-commerce businesses can overcome logistical challenges, streamline global operations, and confidently expand into high-potential markets. 

Open a business account with us today to get started.

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