Asia Pacific is the largest region in terms of online retail sales, containing both the largest market, China, and the fastest growing, India. The region's total online retail sales in 2021 are expected to account for about one-fifth of total retail sales. By 2021, China would be the first trillion-dollar market, while also accounting for 80 per cent of all e-commerce sales in the Asia Pacific market. Overall, the largest online category is apparel, followed by consumer electronics and computers.

India has 460 million e-commerce customers and is also the world's second largest market for smart phones. Products that sell well elsewhere are not necessarily the best performers in India, with electronics, home ware, apparel, makeup and toys the five most in-demand categories. The market is also dominated by cash or cash-on-delivery transactions, which together account for 62 per cent of all online purchases.

In India the sector has had to contend with several significant obstacles, including legal impediments, a slowdown in venture capital funding, insufficient logistics resources and slow growth in the number of online buyers.

Retail remains largely commoditised within the Asia-Pacific region as well as being primarily dictated by price. In terms of building customer loyalty, discounts and frequent buyer incentives and loyalty programs are the most effective forms of long-term client retention.