Knowing the Indian eCommerce Markets Electronic commerce or eCommerce refers to all kinds of buying and selling of products or services using the electronic systems like the Internet and other computer networks. People in India have now turned to buying almost everything ranging from books, lifestyle accessories, electronic equipment, beauty products and even household items from the online shopping websites. The introduction of Smartphones and tablets in the Indian market as well as easy available of internet increased the online shopping throughout the years. We consider the Indian eCommerce as one of the keenest business areas and start our eCommerce categories in blogging by this article. The availability of more quick and easy payment options like credit and debit cards and most welcomed Cash on delivery and the faster adoption of Smartphones and tablets was a boosting factor in the growth of online stores. Why to consider the nature of Indian Society One of the factors that determines the online purchasing process is the adoption of this new technology in the Indian society. The introduction of online shopping in the Indian society must consider the willingness of Indian customer purchases. Online purchases are seen to be welcomed by the age groups under 35 and it is estimated that India has about 828 million at that age group. Cash on Delivery is the preferred payment method in India which are seen to be welcomed and performed by 80% of online payments. Indian consumers have practices seeing and buying, so a quick transform by homely buying will take time. It was found out that 75% of online payment are done in the travel related purchases like buying airline tickets, railway tickets and hotel bookings. The other important shopping sections include mobile recharges, books, fashion and jewelry, home and kitchen, beauty products, watches, perfumes etc. The Indian Internet Usage Growth and Penetrations We now look how the internet usage has grown in India recently. The penetration rate of India is low compared to USA or UK, but it accounts to be large in number. The internet user base calculated in the last year (2012) June month accounts to be 137 million. This figure involves 99 million from the urban parts and 38 million from the rural part of India. The arrival of smartphones and 3G also increased the internet users. It was found out that India will posses 450 million smartphone users and 100 million 3G users by 2015. Currently the broadband internet usage is growing at the rate of 20% annually. View the growth of internet users in India. in the Year Users in Millions 1988 1.4 2000 5.5 2002 16.5 2004 39.2 2006 40 2008 80 2010 100 Sources: ITU, C.I. Almanac. IAMAI, IWS The Indian eCommerce Market size and Growth The Indian e-commerce market is seen to expand very greatly. In the year 2009 the market raised a stunning $2.5 billion and was increased to $6.3 billion in 2011. The figure is seen to rise to $14 billion in the last year (2012) and expecting to rise to $125 to $250 billion by 2024-25. With over 10 million online shoppers, we see a growth rate of 30% increase. While the India’s retail market figure was $470 billion in 2011 and is expected to rise as far as $675 Billion by 2016 and $850 Billion by 2020. Similarly the India’s e-tailing market made sales of $600 Million in 2011 and is expecting $9 Billion by 2016 and $70 Billion by 2020. The same market in China accounted $20 billion in 2008, $120 billion in 2011 and expecting $200 billion by 2020. These figures really concludes that the coming years will witness more investments and sales The Important Marketing Approaches Needed There are various methods by which you can market your Ecommerce firm; of which the major ones include writing and giving ads as blogs, forums, at search engines and some online advertising site like Google Adwords. The emergence of social networking also have proven that it is a successful way for aggressive marketing. Seeing the increased growth rate Google themselves have made partners with many shopping websites in India like MakeMyTrip, SnapDeal, FlipKart etc. We will soon post a blog post on How to Market an Indian eCommerce Web Store.
Posted on: Sat, 10 Aug 2013 18:52:36 +0000
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