Trends in Online Shopping in India
Online shopping is a big rage among Indian consumers. It is no secret that more and more Indians increasingly prefer the various e-commerce stores for shopping. From clothes and gadgets to books and toys, Indians have taken to online shopping like fish to water. Increased internet penetration and the plethora of online stores have contributed to this trend. Let’s have a look at what the statistics say.
Rise in Online Shopping
According to a recently published research report, online shopping rose by 83% in the year 2016 and Indian online shoppers shelled out a whopping Rs 58,370 crore on online shopping from other countries. 53% of the online shopping was done using dedicated websites while its applications accounted for 29% of the shopping. Social media sites came third with 10%.
Men vs Women
Indian men beat their women counterpart when it comes to online shopping. Men use online stores for shopping 3 times more than women. However, women continue to dominate the conventional retail stores.
Cross border shoppers
It has been estimated that 53% of Indians shop more from other countries using the online medium during the Diwali season while the figure is 55% during Christmas. In the year 2016, 13.8 million cross border shoppers in India spent an average of Rs 42,400. Cross border shopping by Indians across various categories are as follows:
- Clothing, footwear and accessories- 54%
- Cosmetics and beauty products- 42%
- Consumer electronics- 43%
It has also been estimated that cross border online shopping by Indians would grow by 85% this year.
Preferred mode of payment
Cash on Delivery is the most preferred option among Indians. Cash on Delivery ensures that one does not have to pay until the product is delivered right at the doorstep. This is much appreciated by Indians because it gives more control over online transactions. It has also been seen that the option of COD makes the user more inclined to purchase the product.
The role of discounts
It is a known fact that Indians simply love discounts. The online shoppers in India are mainly interested in the discounts that an online store is offering instead of the shopping experience that it provides to the customers. 92% of the internet traffic leads to conversion if the online store is offering some good discounts.
The top online stores
Flipkart, Snapdeal, Shopclues, Amazon, Jabong and ebay are some of the online platforms which dominate the Indian e-commerce sector. However, Flipkart is the online platform that made online shopping popular in India. Flipkart is also the most popular e-commerce company in India with 74% of the Indians preferring it to Amazon, Snapdeal and others. Flipkart initially started as an online book store but now has expanded to include almost anything under the sun.
Time of online purchases
A survey has shown that 60% of the online purchases are made during the business hours i.e. between 9am and 6pm. This is an indication that online shopping has become an integral part of the day-to-day lives of people in the country.