The Indian e-commerce market is on the rise and has no intention of looking back. Recently another e-commerce website Shopclues became a part of the elite Unicorn club. This industry was evaluated at around $23 billion by Associated Chambers of Commerce and Industry and this year it is expected to reach the record-breaking $38 billion, with an overall growth of an astonishing 67%! The e-commerce industry had a late and slow start in our country, with only $3.8 billion in 2009 and now an expected $38 billion 7 years later. Though the initial years were a little sluggish, but now the increase has been exponential.
There is a list of multifarious reasons responsible for this sudden spurt of growth in this sector. One of the major reasons for this increase is that people have started accepting that these online shopping platforms are easy to use and reliable, thus finally breaking the mind block that held people back in the past. In general, there is a change in the mindset of people regarding shopping in the two-dimensional world, which has been positive for the industry.
The major reason for this boom is the increasing availability and penetration of internet in the Indian market. Currently, India holds the second position with respect to the number of smartphone users in the world. And with an increase in both smartphones and internet many more people than before now have access to these e-commerce websites and hence the spike.
Another reason for this prolific growth is that the humongous amounts of discounts being given by these websites that even if someone is not used to buying things online, seeing such low prices they can't help but buy in from one of these websites. This sale and discount strategy has become huge now, with giants like Flipkart coming up with events like "Big Billion Sale", where even if one doesn't need anything they end up buying things online. This a very good strategy to lure customers into the world of online shopping and this seems to be working pretty well.
Seeing all this growth and their customers being taken away by these stores on the internet, many wholesale retailers and shop keepers have decided to keep up with the changing times and apart from having stores they have gone online as well. Not wanting to be left behind they too have taken to the world of online shopping.
These are just a few reasons for this immense growth in the e-commerce industry and the predicted growth that is yet to happen. As long as the internet keeps knocking on more doors and smartphones keep flooding the market, this industry will keep on seeing such good numbers and results.