TRANSFORMING E-COMMERCE: THE CRITICAL ROLE OF DIGITAL TRANSACTIONS

Abstract

The paper examines the role of technological advancements which facilitate the rise of e-commerce in India by emphasising particularly on Digital Transaction.  Digital transactions, ranging from credit cards and mobile wallets to foreseeable technologies such as crypto currencies, have transformed online buying and selling. Convenience, greater security measures, worldwide reach, and improved customer experience have all been highlighted as key drivers of the growing number of online transactions that have expanded the growth of e-commerce. The research relies on secondary data from credible sources such as RBI annual reports and IBEF report and statistics, covering the period 2013-14 to 2022-23 and appropriate statistical tools were used to examine the link between digital transaction volumes and E-commerce market share. The study supports the hypothesis that digital transaction volumes directly and significantly impact e-commerce market share. Furthermore, the findings also indicate that the e-commerce market has been expanding rapidly in the past few years and reached its saturation. However, India is likely to expand its market share much faster rate in comparison to the global e-commerce market due to its continuing digital transformation. The research states that digital payments are a crucial enabler of e-commerce growth, driving both market expansion and consumer engagement.