The year of 2012 had a great year of revelation for online shopping in India. The online and e-commerce earnings reached to the whopping level of 14 billion dollars. And this earning levels, it will be expected to further rise in 2013.
The functionality and price cost saving features of online shopping have les to shift the attention and interest of more and more companies selling good and products through internet route providing a good number of discount and offers to the customers.
One of the reasons for this rise in internet economy in India is increased internet availability and more and more payment options for e-commerce sector in India. Along with electronics the jewellery, home, kitchen appliances and lifestyle accessories as watch and perfumes were sold extensively in past year.
However, the travel sites were the king of this online selling frenzy having more than 60% chunk of this online shopping to their share. The online sale figure just doubled from $6.3 billon in 2011 to $14 billion in 2013 and expected to touch the figure of %38 billon in 2015. There are more that thousand e-commerce websites operational in India.
E-commerce site would focus more on loyalty programs and better customer care in order to increase their margins and profitability. The core to the revolution to the e-commerce in India, would be going to cost optimization by the means of warehouse and logistics management enabling companies and firms to do a bulk of profitable business. The previous year saw the coming of ‘jungle.com’, the Indian version of Amazon.com
While players like eBay and IndiatimesShopping have been around for a while, one saw many more portals mushrooming in 2012. An important entry in the Indian market was that of one of the world’s largest online retailer — Amazon.com. The website launched the desi version as ‘Junglee.com’. Even the shopping sites like Flipkart, Snapdeal, Homeshop18 and Makemytrip, partnered with Google India to provide discounts to online shopper for selling the goods and commodities.
The reasons like rising internet penetration, increased spending power, availability of multiple payment methods as credit/debit cards, cash on delivery, combined with faster adoption of smartphones and tablets giving boost to online sales and selling opportunity. There were about 137 million internet users in India and that even are expected to grow by leaps and bonds in coming years. And the segment of online shopping will rise from tier 2 and tier 3 cities in future.