India will contribute 13% of Amazon's global sales by 2023: Report

After dominating its home market, US-based e-commerce platform has spread its footprint aggressively in other international markets.

India, which is one of the five major markets for the company, is said to drive its international sales and contribute to 13% of Amazon global sales and 4% of total sales by 2023.

The company continued investment in India will help it grab 35% of India online retail sales, said a report by RBC Capital Markets.

Indian market is estimated to offer $18 billion revenue opportunity for US e-comm giant.

Till last year, Amazon claimed to have about 30% of e-comm market share, trailing behind only Walmart, which has 44% market share.

Among the 10 APAC nations, India e-comm sales are expected to be the second-fastest.

As per the RBC, the growth will be driven by the rising rate of smartphone adoption, rapidly growing middle class, influence of its young population and growing penetration of e-commerce players.

Amazon India, ever since its entry in the Indian market in 2013, has invested around $6 billion and continue to invest further despite the govt recently changed the FDI regulations.

Amazon India spokesperson said that the company continue to invest in technology and infrastructure to enable our growing seller network to have access to domestic and global markets. Amazon main focus is on bringing more shoppers online, he added.

India e-comm penetration is still in single digit about 6%, and could reach up to 9.5% in the next four years, as per an estimate.

Whereas international markets, including the US, UK and Germany had 14%, 17% and 11% penetration respectively.