Opening India’s Economy, Digitally
India’s e-commerce sector is moving at lightning speed – and the COVID-19 pandemic is accelerating growth all the time.
Online: a safe space for shopping
Throughout the pandemic, India has recorded some of the highest levels of collective anxiety. The nation is reverting to pre-pandemic habits with more deliberation and caution than many other economies – and this includes shopping habits. Online is here to stay.
Ways to keep customers coming back
Consumers have come to rely on e-commerce during lockdowns, so retailers must keep selling quality products at appropriate prices without compromising the customer experience. And online shopping needs to expand to the smaller Indian markets, so that all sectors of society can access and use it – not just the middle class. To keep customers coming back, Indian e-commerce businesses are predicted to start shifting their focus to boost customer base through loyalty and subscription programmes this year.
India’s buying habits are changing…for good
This is why the Indian e-commerce industry is expected to surpass the US to become the second-largest e-commerce market in the world by 2034. The sector is poised to reach US$99 billion by 2024 from US$30 billion in 2019, expanding at a 27% CAGR. Grocery and fashion/apparel are hotly tipped to be the key drivers of growth. Electronics, mobiles and appliances are also supercharging growth.
As more people start to trust online shopping, e-commerce will spread even further – and to more people from rural and regional locations across our continent.
Supply chains are stepping up
E-commerce is the future of retail, and that future is closer now that it has ever been before.
For more e-commerce insights for SMEs, check out our tips on how India’s SMEs are using e-commerce to stay afloat here. Follow us on our LinkedIn page here.