The Multi-faceted Help E-commerce Offering to Businesses Big and Small
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The current e-commerce market in India that stands at $200 billion will surpass the trillion dollar mark by 2021 to value $1.2 trillion. The estimate has been provided by the Deloitte India and Retailers Association of India (RAI). The country has come a long way and has been growing by leaps and bounds, creating a platform for sellers hailing from local and hyper-local markets in order to reach out to masses. Apart from the big players, every nook and corner now sees micro businesses coming to the fore.
“Every economy goes through shifts and changes, and e-commerce has brought about another revolution in the economy which is to make the market a level playing field for the customers, irrespective of the location,” Anurag Dalmia, the Co-founder of Healthy Buddha says. The old notion of location being of utmost importance has been challenged and it seems to work and co-existing with the mainstream pretty much well. Further sharing his opinion about online businesses taking over offline businesses, he states, “A few years ago, there was a big debate on whether online will pip offline and which medium will eventually emerge as the mainstream. In my view, both are here to stay and co-exist, and rather than outdo each other one should view it as complimentary so that the drawbacks of each model can be addressed which will enhance the customer experience and engagement.”
Success of E-commerce
Ananda Mishra, who is the Founder of Grozip is excited about the present state of e-commerce space. Citing the frontrunners in the space he explains, “The increased access to the internet has opened new realms for the Tier 2 and 3 population of India and to leverage this new attraction to technology, several entrepreneurs have played their nickel in the game. The leading players of e-commerce in India, Amazon and Flipkart, recorded huge growth in their Tier 2 and Tier 3 shoppers in their November 2018 sale. While Amazon recorded more than 82per cent new customers from Tier 2 and below, Flipkart claimed to record over 50% of its sales coming from tier 2 and below markets.”
The sector has opened the portals to newer empires and has definitely nurtured some untapped and/or dormant corners. So, what are the things e-commerce has helped businesses with?
Local and Micro Businesses: The country has given birth to innumerable local and micro businesses. E-commerce has brought consumers and sellers closer together. It has helped micro-businesses, who are not geographically well-positioned and/or economically ill-equipped to operate seamlessly in the domestic and global markets.
Boosting Creativity: India is a country with talent and artistic skills. The lack of exposure compels many to drop their artistic ventures like painting and crafts to get into jobs that offer them stable revenue. But there is a good demand for these among the consumers. Handmade products like fashion accessories and home decors have had always been in all-time high demand. However, the consumers and providers couldn’t always have the perfect space to transact. Here E-commerce has helped many such talents to continue their creative ventures.
A look at E-commerce leaders like Amazon and Flipkart shows that innumerable small-sized sellers are now offering their creative creations through these stands. Even social media platforms like Facebook and Instagram are helping small-sized retailers to get all the focus they want in an inexpensive manner. The success is growing and helping in job-creation, breaking the stereotypical job patterns Indians are always used to. However, the artistic entrepreneurs need more support until the time all of them stop considering it as their extra source of income.
Affordability: E-commerce has made products readily available to everyone at more affordable prices than before. These online shopping brands with their round-the-year discounts & offers, easy exchange and returns attract the customers even more than the brick and mortar stores.
E-commerce Logistics Space: The growth of the e-commerce sector has helped the delivery and logistics space grow frantically. While more small players are regularly emerging in the space, the top e-commerce players like Flipkart and Amazon are trying their hands at building drones and robots to seamlessly deliver its orders to the customers. No wonder conglomerates like SoftBank have taken interest in the space and invested millions in logistics firm Delhivery.