e-shopping catching up in smaller cities
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e-shopping catching up in smaller cities

By SiliconIndia   |   Tuesday, 26 June 2007, 07:00 Hrs
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Pune: Two and three tier cities in India are increasingly using cyberspace for shopping, reported Business Standard. According to the report, non metros or the rural towns account for 35 percent of the share of the online orders of the jewellery brand Adora.

Organised retailers entering the e-commerce space are seen as one of the positive factors for the growth of cyber sales. Moreover companies are giving a wide variety of payment options like credit card, demand draft, cheques, net-banking cards and mobile payment gateways.

ASSOCHAM estimates the ecommerce space to grow at 150 percent to touch Rs 5000 crore in 2007-08 from 2200 crores in 2006-07. Though metro?s constitute 45 percent of the overall shopper? base, the upcoming towns and small cities with a population greater than 20,000 people also account for 55 percent.

Deepa Thomas, manager Corporate Communications, e-Bay told BS that out of two million registered across 670 towns 50 percent of the buyers come from B and C tier towns like Tripura and Agartala.

The Juxt Constult report states that despite the growth, the active online buyers among the active online users are terribly low at nine percent.

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