eCommerce Business Scope in India is undoubtedly going to increase in 2016. A recent report by the Internet and Mobile Association of India shows that, a fast paced growth of around 50% is to be expected in the coming 5 years. The main attribute to this growth is undoubtedly the rise of online travel businesses in India. Large strides have been made towards eCommerce success in India by these online travel websites (cleartrip, makemytrip, via etc).
Another significant contributor to the growth of eCommerce in India in the future is the e-tailing industry which largely deals in providing jewellery, apparel and kitchen appliances online. Websites like Flipkart, Myntra, Amazon, Snapdeal, Jabong etc are all examples of huge success of eCommerce in India. Due to these firms, India is one of the fastest growing eCommerce markets in Asia/Pacific with China investing as much. Many analysts believe that the advent of 3G/4G speed in net connectivity has been a major cog in the wheel for such a growth in this market.
Some market leaders and CEOs of the eCommerce industry have only positives to speak about the e-commerce growth in India.
Kunal Bahl, co-founder and CEO of SnapDeal believes that e-commerce sector has risen tremendously in India and that their success is proof of the rise in interest in online shopping.
Pwc India leader Sandeep Ladda believes that the e-commerce sector in India has seen unprecedented growth due to the advancements in mobile tech and that it will be the go to platform for e-commerce businesses in the future.
PayU co-founder Nitin Gupta also strengthens this point by Ladda as he says that 35 % of all transactions now happen through mobile phones which is triple that of the percentage in the last fiscal. He also added that the brick and mortar businesses will join hands with the e-commerce websites feeding off each other in a win-win situation and with online wallet, cashback and coupon websites becoming more and more popular in India, hassle free functioning is assured which will bring more success to e-commerce in India.
From the information we have gathered, major advancements for eCommerce Business Scope in India will be enhanced by:
1) Reduction in cost of broadband internet facilities to ensure more people come online.
2) Encouraging more domain registrations and letting e-commerce websites maintain them at cheaper rates (at least till they make substantial profits).
3) Encouraging innovative schemes such as the COD (Cash on Delivery) in a country where credit card use is not prominent shows how we have eased into this particular niche. A lot of the major e-commerce websites are based in India and consistency and reliability of these websites have shown the people how hassle free, shopping and availing services are.
4) Bringing internet facilities to the rural areas in India as it remains a largely untapped resource and the possibilities are endless for a major boom in the e-commerce industry, as India’s internet penetration is 0.5% of the population. If these e-commerce businesses are able to reach to these regions, their net value can only increase from the current values.
5) E-commerce can also spread to newer disciplines such as health services in these remote areas in India and help in offering health solutions to people who do not have the luxury of hospitals in their vicinity. This will certainly help once the rural areas are provided with internet facilities and will be a potential business prospect in the near future.
As India has been the heart of the e-commerce market in 2015 with a 70% growth in number of online shoppers from the previous year. The consumer base is expected to hit 100 million in 2016 and this ensures that any e-commerce venture would soon be in the green in India, as far as profits and growth are concerned.