As per MRFR analysis, the India Immersive Technology in Retail Industry Market Size was estimated at 645.16 (USD Million) in 2023.The India Immersive Technology in Retail Industry Market Industry is expected to grow from 784(USD Million) in 2024 to 6,240 (USD Million) by 2035. The India Immersive Technology in Retail Industry Market CAGR (growth rate) is expected to be around 20.753% during the forecast period (2025 - 2035)
The use of India immersive technology in retail market is fast changing the shopping experience. Retailers are increasingly using virtual reality (VR) and augmented reality (AR) to provide compelling, interactive experiences for their customers. This trend is being driven by a growing need for individualized shopping experiences among Indian consumers, particularly the younger population, which values innovation and technology in their purchasing activities. Furthermore, the prevalence of smartphones and increased internet connectivity in both urban and rural areas encourages the incorporation of these technologies into retail strategy.Â
Key market drivers include increased investment in immersive technology by both startups and established businesses, driven by a competitive environment that requires distinction. The Indian government's attempts to develop digital businesses urge shops to look into these advanced technologies. Furthermore, the rise of e-commerce has led brick-and-mortar merchants to investigate immersive technologies to improve in-store experiences, thereby closing the gap between physical and digital buying. Opportunities in India's immersive technology landscape abound, particularly for firms that can use AR for virtual try-ons and VR for simulated shopping locations.Â
Immersive technology has the potential to be used for retail staff training and supply chain management optimization. Recent trends suggest an increase in collaborations between technology companies and retail brands to create customized applications, indicating a shift toward more targeted immersive solutions. As the retail industry evolves, the ability to leverage immersive technologies will undoubtedly play an important part in defining consumer engagement and loyalty in India.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
The burgeoning e-commerce sector in India is a significant driver for the India Immersive Technology in Retail Industry Market. The adoption of immersive technologies, such as augmented reality (AR) and virtual reality (VR), enhances online shopping experiences, allowing customers to visualize products before purchasing. According to the Ministry of Commerce and Industry, the e-commerce market in India is expected to reach USD 200 billion by 2026, growing at a compound annual growth rate of 27.9 percent.
Major players like Flipkart and Amazon are leveraging virtual fitting rooms and product visualization tools, transitioning traditional retail shopping into digital platforms. As consumers increasingly prefer online shopping, immersive technology will play a crucial role in engaging users and driving sales.
The increase in mobile and internet penetration in India serves as a foundational driver for the growth of the India Immersive Technology in Retail Industry Market. Reports indicate that, as of January 2023, India has over 1.2 billion mobile connections, and the internet user base has crossed 700 million. Organizations are aiming to capitalize on this trend by integrating immersive technologies into their marketing strategies.Â
For instance, Reliance Jio's significant investment in enhancing internet connectivity encourages retail businesses to adopt immersive solutions, which facilitate personalized shopping experiences directly via mobile devices.Enhanced mobile connectivity translates to greater accessibility of immersive technology among consumers, fostering market growth.
The Indian government has undertaken several initiatives aimed at promoting digital transformation across various sectors, catalyzing growth in the India Immersive Technology in Retail Industry Market. Programs such as Digital India, which aim to transform India into a digitally empowered society, are encouraging retailers to adopt modern technologies, including immersive solutions.Â
The Department for Promotion of Industry and Internal Trade reported that USD 10 billion has been allocated for initiatives supporting digital transformation.With established firms like Tata and Mahindra leading the way in technology adoption, retail sectors are increasingly digitizing operations and decision-making, propelling immersive technology applications in-store and online.
An evident shift in consumer expectations and preferences towards interactive and personalized retail experiences is significantly influencing the growth of the India Immersive Technology in Retail Industry Market. Consumers, particularly younger generations, are seeking more engaging shopping experiences that incorporate technology. A survey by the Retailers Association of India indicated that 65 percent of consumers prefer stores that utilize digital technology for enhanced engagement and personalization.
Brands like Myntra and IKEA have integrated virtual reality experiences to meet these expectations, creating a shopping environment that resonates with today's tech-savvy customers. As the trend continues, the reliance on immersive technology to provide seamless interactions will grow, thus driving market prosperity.
The Component segment of the India Immersive Technology in Retail Industry Market is critical for shaping the future dynamics of retail experiences, contributing significantly to current trends and innovations within the sector. As retailers increasingly lean towards enhancing customer interaction, the demand for Hardware has surged, which encompasses devices that facilitate virtual and augmented reality experiences. This includes consumer devices like headsets and interactive kiosks, which draw consumers into an immersive shopping environment, ultimately elevating their engagement. Software and Platform solutions are also paramount, as they provide the necessary applications and frameworks that allow retailers to implement immersive technology effectively, ensuring smooth operation and integration with existing systems.Â
Additionally, the Services segment plays a pivotal role by offering expertise in implementation, maintenance, and optimization of these technologies; many retailers depend on specialized services for seamless execution of immersive experiences. The growing penetration of the internet and increased smartphone usage in India act as a catalyst for the development of this segment. The Indian government's focus on digital initiatives is also fortifying the market, encouraging retailers to adopt technological advancements. As consumers become more accustomed to innovative shopping methods, companies are urged to invest in immersive technology to stay competitive. Moreover, the heightened consumer expectation for personalized and engaging retail experiences significantly drives this market's growth, as companies discover that immersive technology can effectively bridge the gap between e-commerce convenience and brick-and-mortar aura.Â
Challenges such as the initial costs of technology acquisition and insufficient consumer awareness about immersive technologies remain; however, the opportunities are vast. Companies are leveraging the rich data available through immersive platforms to tailor marketing strategies, thus enhancing customer reach and loyalty. Furthermore, as augmented and virtual reality technologies evolve, the potential for creating even more engaging and interactive environments continues to expand within the India Immersive Technology in Retail Industry Market. Collaboration among tech providers, retailers, and service experts will undoubtedly forge pathways for innovative solutions, driving growth in all component areas.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
The India Immersive Technology in Retail Industry Market is becoming increasingly vital as businesses leverage advancements in Technology to enhance customer engagement. Mixed Reality blends real and digital environments, providing immersive experiences that allow customers to interact with products in innovative ways. Virtual Reality creates entirely new environments, which help retailers simulate shopping scenarios, capturing consumer interest and increasing foot traffic. Augmented Reality overlays digital information onto reality, giving customers additional product insights and aiding in decision-making processes.
Additionally, 360 Film is gaining traction, offering customers a unique way to experience stories and product offerings through an immersive visual narrative. This diversity within the technology segment facilitates a more personalized shopping experience and reflects the growing demand for interactive solutions in the retail sector, driving customer satisfaction and loyalty. With the Indian retail industry increasingly adopting these technologies, it is clear that immersive experiences are essential for staying relevant in an evolving market landscape, responding to consumer preferences for engagement and innovation.
The Application segment of the India Immersive Technology in Retail Industry Market is experiencing significant evolution, driven by advancements in technology and changing consumer expectations. Training and Learning represent a critical area, providing immersive simulations that enhance employee onboarding and skill development, essential for the growing retail workforce. Emergency Services increasingly utilize immersive solutions to prepare staff for crisis management, ensuring a safe environment in retail establishments. Product Development benefits from immersive technology by allowing designers and engineers to visualize prototypes in real-time, fostering innovation and reducing time-to-market.
Sales and Marketing harness immersive experiences to create engaging customer interactions, enhancing brand storytelling and driving sales. Overall, the diverse applications within this segment highlight its pivotal role in transforming how retail operations function, aligning with broader trends of digital transformation in India. As businesses seek improved customer engagement and operational efficiency, the importance of each area within the Application segment continues to grow, reflecting a robust outlook for the market overall.
The India Immersive Technology in Retail Industry Market has seen significant developments driven by advancements in technologies such as augmented reality, virtual reality, and mixed reality. As retailers rise to meet the evolving consumer demands for engaging and personalized shopping experiences, immersive technologies have become a critical tool for enhancing customer interaction, boosting sales, and creating memorable shopping environments. The competitive landscape in this market is marked by rapid innovation and a race to integrate cutting-edge technologies into retail strategies. Companies are striving to leverage immersive experiences to set themselves apart, resulting in a dynamic and fast-paced market that is continuously adapting to consumer preferences and technological advancements.
Qualcomm has established a formidable presence in the India Immersive Technology in Retail Industry Market through its advanced hardware and software solutions. The company's strengths lie in its powerful processing capabilities, which enable high-quality graphics and real-time responsiveness essential for immersive retail experiences. By offering comprehensive platform solutions and development kits that empower developers and retailers alike, Qualcomm plays a pivotal role in facilitating the adoption of immersive technology. Its focus on partnerships with local enterprises allows for tailored solutions that cater to the unique requirements of Indian retailers, ensuring relevance and enhancing customer engagement. The technological prowess of Qualcomm not only enhances the overall shopping journey but also supports retailers in optimizing their operational efficiency and marketing strategies.Tech Mahindra has positioned itself as a key player in the India Immersive Technology in Retail Industry Market, leveraging its extensive expertise in digital transformation services to revolutionize the retail landscape.Â
The firm offers a range of key products and services, including augmented reality solutions, virtual shopping experiences, and interactive kiosks designed to enhance consumer interaction and decision-making processes in retail settings. Tech Mahindra's market presence is bolstered by its collaborations with leading brands, providing them with innovative solutions to navigate the complexities of an increasingly digital marketplace. The company’s strengths are reflected in its commitment to leveraging data analytics and AI to provide meaningful insights and personalized experiences for consumers. Recent mergers and acquisitions have allowed Tech Mahindra to expand its technological capabilities and service offerings, enabling it to deliver more comprehensive solutions tailored to the needs of the retail sector in India. Through its focus on innovation and customer-centric strategies, Tech Mahindra continues to make significant strides in shaping the future of retail in India using immersive technologies.
In recent developments within the India Immersive Technology in Retail Industry Market, companies such as Qualcomm and Tech Mahindra have been focusing on enhancing customer experiences through Virtual Reality (VR) and Augmented Reality (AR) applications. In October 2023, Reliance Industries announced an expansion of its digital retail initiatives, incorporating immersive technologies to create a more engaging shopping experience. Cognizant and Infosys have entered partnerships with retail giants to implement AI-driven console solutions, maximizing operational efficiency. Meanwhile, Samsung Electronics launched a new line of AR-enabled devices tailored for retail applications, allowing retailers to create interactive promotional campaigns.
Notable mergers and acquisitions include Accenture acquiring a technology firm in September 2023 to bolster its immersive technology offerings. In the past two years, NVIDIA has made significant strides in the market by providing advanced graphics solutions and AI tools to various Indian retail sectors, strongly impacting market growth. The overall market valuation for immersive technology in retail in India is projected to grow substantially, attributed to increased consumer engagement and business optimization strategies adopted by major companies such as Wipro, Tata Consultancy Services, and Microsoft, signaling a robust trajectory ahead for this innovative sector.
| Report Attribute/Metric Source: | Details |
| MARKET SIZE 2023 | 645.16(USD Million) |
| MARKET SIZE 2024 | 784.0(USD Million) |
| MARKET SIZE 2035 | 6240.0(USD Million) |
| COMPOUND ANNUAL GROWTH RATE (CAGR) | 20.753% (2025 - 2035) |
| REPORT COVERAGE | Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
| BASE YEAR | 2024 |
| MARKET FORECAST PERIOD | 2025 - 2035 |
| HISTORICAL DATA | 2019 - 2024 |
| MARKET FORECAST UNITS | USD Million |
| KEY COMPANIES PROFILED | Qualcomm, Tech Mahindra, Reliance Industries, Cognizant, Samsung Electronics, NVIDIA, Wipro, Infosys, Accenture, Siemens, Meta Platforms, Tata Consultancy Services, Microsoft, HDFC Bank, Zebra Technologies |
| SEGMENTS COVERED | Component, Technology, Application |
| KEY MARKET OPPORTUNITIES | Enhanced customer experience solutions, Virtual try-on applications, AI-driven personalized marketing, Augmented reality product displays, Immersive training and onboarding programs |
| KEY MARKET DYNAMICS | Rapid technological advancements, Increasing consumer engagement, Enhanced shopping experience, Growing adoption of AR/VR, Rising investments in digital retail solutions |
| COUNTRIES COVERED | India |
Frequently Asked Questions (FAQ) :
The market is expected to be valued at 784.0 USD Million in 2024.
By 2035, the market is anticipated to grow to 6240.0 USD Million.
The expected CAGR for the market is 20.753% from 2025 to 2035.
Major players include Qualcomm, Tech Mahindra, Reliance Industries, and Cognizant among others.
The hardware segment is valued at 250.0 USD Million in 2024.
The software/platform component is projected to reach a value of 2500.0 USD Million by 2035.
In 2024, the services segment is valued at 234.0 USD Million.
Key applications include virtual reality, augmented reality, and mixed reality in retail settings.
Regional factors such as urbanization and digital transformation significantly influence market growth.
Challenges include high initial investments and the need for technological infrastructure improvements.
Leading companies partner with us for data-driven Insights.
Kindly complete the form below to receive a free sample of this Report
Team Lead - Research she holds an experience of about 6+ years in market research and business consulting, working under the spectrum of information communication technology, telecommunications and semiconductor domains. aarti conceptualizes and implements a scalable business strategy and provides strategic leadership to the clients. her expertise lies in market estimation, competitive intelligence, pipeline analysis, customer assessment, etc.
© 2025 Market Research Future ® (Part of WantStats Reasearch And Media Pvt. Ltd.)
