Major Trends that emerged in Indian e-Commerce sector in 2016

Vishwavijay Singh, Co-Founder, Salebhai
Sunday, January 29, 2017
Vishwavijay Singh, Co-Founder, Salebhai
Headquartered in Ahmedabad, Salebhai seeks to fulfill the requirements of migrant populations across India and abroad. The entity serves as a portal of discovery for authentic regional specialties such as sweets, snacks, dry fruits, bakery items, chocolates, condiments, handicrafts, paintings, handloom goods.

The Indian e-Commerce sector witnessed steady growth in 2016 and opened opportunities for several market players across multifarious industries. Driven by the rise in number of internet users across India, this sector has managed to broaden its reach across a wider consumer spectrum, and is expected to continue its growth streak during the upcoming year as well.

According to a report by Indian Brand Equity Foundation (IBEF), India’s Business to Business (B2B) e-Commerce market is expected to reach $700 billion by 2020, while the Business to Consumer (B2C) e-Commerce market is projected to be worth over $102 billion by 2020. The report also stated that the industry is touted to gain more than 530 million shoppers by 2025, led by faster internet speed on reliable telecom networks, faster adoption of online services, and better variety & convenience offered by e-Commerce platforms.

Apart from being one of the fastest growing industries in the country, the Indian e-Commerce space witnessed the emergence of various trends that dominated the market in 2016. Following are the four major trends that transformed the Indian e-Commerce industry in 2016:
Increase in online buyers and repeat customers – These days, it has been observed that people are getting more accustomed to buy most things online. Be it clothes, accessories, groceries, or other products, online buying has now become an integral part of an individual’s monthly purchase plan, leading many e-retailers to acquire repeat buyers. Some e-Commerce market players have even witnessed a 50 percent rise in sales via repeat buyers, and have been able to add more than 1500 customers every month.

More variety in products offered – The e-Commerce space in India also witnessed several customers buying a host of different products that were previously not available for purchase on online platforms. With more and more players modifying their business model to satisfy every demand of their customers by offering unique products on their platform, consumers began to leave behind any apprehensions they had regarding such products. Driven by this trend, the range of products being bought online increased immensely during 2016, and is expected to continue further in the upcoming year.

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