Gen Z now ~40% of India's e-retail shoppers, driving social-led, UPI-first buying: Bain-Flipkart

The 'How India Shops Online 2025' report shows Gen Z commands 1.5x its GMV share, with 70% discovering products via social media and 80-85% on Instagram. Platform-agnostic shoppers (50% use 5+ apps) are scrolling 40% less while 90% pay via UPI, over-indexing on lifestyle, beauty and electronics.

— FiledThu, 27 Mar, 2025, 23:06 IST·First seen Thu, 14 May, 2026, 21:43 IST·Source CNBC-TV18 · Retail

What happened

Bain-Flipkart 'How India Shops Online 2025' report shows Gen Z now ~40% of e-retail shoppers, platform-agnostic, social-media-driven, UPI-first, and

Key facts

  • 40% of e-retail shoppers
  • 1.5x GMV share
  • 50% use 5+ apps
  • 70% social discovery
  • 80-85% Instagram
  • 40% less scrolling
  • 90% UPI usage

Why this matters

With 50% of shoppers using 5+ apps, platform stickiness is eroding—pursue acquisitions or partnerships in social-commerce, creator-led discovery, and UPI rails to lock in Gen Z loyalty.

What to watch

  • Meta/Instagram launching native checkout or storefront expansion in India
  • Quick-commerce players adding beauty/lifestyle SKUs at scale
  • Creator monetization or live-commerce GMV disclosures from Flipkart/Myntra/Meesho
  • RBI/NPCI policy moves on UPI credit and merchant fees
  • Festive-season GMV split by age cohort in next quarterly reports
  • Reallocate marketing toward Instagram creators and live/short-video shoppable formats
  • Compress discovery-to-checkout flow with AI personalization and one-tap UPI
  • Prioritize lifestyle, beauty and electronics assortment and exclusives for Gen Z cohorts
  • Pilot UPI-linked credit/BNPL and gamified loyalty to lift AOV and retention
  • Build cross-app retargeting given low single-platform loyalty