The booming ecommerce market in India has attracted VC’s to fund the next Indian ecommerce success story. Several Indian ecommerce startups like Flipkart, Myntra, snapdeal & others have already made a big name in Indian ecommerce space. Many are planning for expansion, M&A & others to gain new markets.
Accel Partners India has brought out a study on the ecommerce in India & how it is shaping up.
1) Online shopping of physical goods in India, will grow to $8.5Bn in 2016. Number of online shoppers in India will more than double to 40M. The study doesn’t take into consideration travel, ticketing and food ordering.
2) Last year saw the rise of fashion category – fashion e-commerce GMV doubled since 2012.
3) People are becoming more comfortable in ordering higher priced items online.
4) 35% of Online GMV in 2016 will be influenced by Women.
5) Tier 2 cities growing faster in ecommerce adoption. Potentially 40M shoppers between ages of 19 – 24 years, will start spending money online
6) Last year there was a big jump in average order value with new categories like jewellery, home decor & others.
With the era of dotcom boom over, social media & networking is playing a key role in the new startups. With Indian economy booming, several VC’s are investing in India. This has led to a boom of startups in India & several tech startups are doing well. SOme of the top Indian startups are snapdeal.com, flipkart.com, redbus.in, myntra.com, yebhi.com & others. Some of these startups are also advertising & promoting on social media websites & TV. This has led to job creaion in startups also. Even the international media is also focussing on Indian startup story. Will India ever produce the likes of facebook, twitter & others which have a huge international following.
With the rising income & internet access, more & more Indians are shopping online. This has led to a rapid growth of the e-shopping sites in India. Also the group buying sites have attracted more people to find deals online.Some of the sites are naaptol.com, snapdeal.com, dealsandyou.com, letsbuy.com & others. This has also resulted in more job opprtunities for ecommerce technologies. Social media is also fuelling the growth of e-shopping in India as users discuss about the reviews. Users are checking for reviews online before buying a product or service. Recent reports have also noted that rise of social media in consumer service is helping develop better rapport with customers.
Group buying has become a popular way of buying products or services. This was popularized by groupon.com. Group buying helps save money on the products. Many are available at half the price. There are several Indian group buying sites & they provide the service in many metro & non metro areas. Usually you have to make a purchase using credit card or cash on delivery is also available. Condition is like minimum of 5 people should buy to activate the offer. Some of the popular are taggle.com, snapdeal.com, koovs.com, dealsandyou.com, mydala.com, sosasta.com & others.