Do you know how many peoples will be using internet and buying the things online on e commerce?
Online penetration of retail is expected to reach 10.7% by 2024 compared with 4.7% in 2019. Moreover, online shoppers in India are expected to reach 220 million by 2025.
Internet is growing very faster in India. Internet Users in India are increasing day by day very faster than any other country. The reason behind it is India is a growing / developing country. And India has very huge population as youth. And youth is now willing to do most of the things online, it can be learning online or teaching online or buying daily use or fashion or electronics goods online. People want to choose from thousands and also want to save time so they wish to order online. There is 464 Youth population in India.
Internet and E Commerce are well connected. Because if someone want to purchases something online then it is only possible when they have internet. Internet doesn’t mean that one must have an internet connection, but it can be mobile data. 464 Million Youth of India is the main reason for a huge hike of E commerce business in India by 2025. As per a study India will have 900 Million active internet users by 2025 right now it’s 750 Million. So this 900 Million user will be the main target for e commerce business in India.
Do you know the reason why E commerce have a bright future by 2025?
certain reasons why E commerce will have a good future by 2025 in India. Youth
population and Increasing Active Internet users are one of the main reasons
that E Commerce will have more bright future in India by 2025. Other than this
there are few more reason.
Good Education is making people to use technology and do more work in less time so people prefer saving time and order the daily use things by sitting at home while working. They don’t want to invest time on offline shopping. In Metro cities people get less time to go to the market and buy these daily use things. New fashion, Easy return, Free shipping, Faster Delivery, Compare the price , Choose what you really want to buy, are few main reason why people feel safe and easy to shop online. And you can also pay online, or Cash on delivery or Buy now pay letter credit, Easy EMI’s , No Cost EMI with 0 processing fee, So there are plenty of reason that people prefer buying online.
As most Indians have started shopping online rather than stepping outside their houses, the Indian e-commerce sector witnessed an increase. India's e-commerce festive sale season from October 15 to November 15 in 2020 recorded Rs. 58,000 crore (US$ 8.3 billion) worth of gross sales for brands and sellers, up 65% from Rs. 35,000 crore (US$ 5 billion) last year. According to Bain & Company report, India’s social commerce gross merchandise value (GMV) stood at ~US$ 2 billion in 2020. By 2025, it is expected to reach US$ 20 billion.
COVID-19 global pandemic and E commerce
In this pandemic situation when people were not allowed to come out from their home and not allowed to open non-essential shops. Even E-Commerce was not fully opened but still e commerce was open and they were delivering the orders regularly. E-Commerce was closed for starting 2-3 month for non-essential goods but letter on they opened it and started delivering the goods. This helped all the online shoppers to shop online sitting at home or office and be safe in this pandemic.
There is an old saying – “Every bad situation will have something positive. Even a dead clock shows correct time twice a day.”
So in this COVID-19 pandemic situation people started buying more online rather than going and buying offline just because to be safe and not to go outside and because outside shops and shopping malls were closed for a long time and if people need something then there was only one option and that was to buy online. So this pandemic made peoples to buy online. And the one who didn’t buy anything online before also brought something online in this pandemic.
The Indian eCommerce industry (sic) has witnessed a huge upsurge due to COVID-19 and there is substantial room for future growth,” said Phil Pomford, managing director of Asia Pacific, Worldpay from FIS.
Problem or challenges of E-Commerce in India
Every business has challenges and problems when we start it or when its going on. And E-Commerce also has the problems and challenges. There are few I have listed as below
How to buy online – Lots of people in India still have no idea how to purchases online and how to make online payment and all. And this is the main problem people see the product online and show the same pictures to offline shopkeeper and try to buy similar item from offline store. To resolve this problem online seller must create an video to make their buyer know how to make the online purchases. And we can find this on most of the E-Commerce websites.
Trust – Trust issue is very often and very good amount of people have doubts about how to and to whom should they trust while buying online. So for trust E-Commerce must be well known and designed in such a way where people can easily trust you like Easy Return and Cash On Delivery are the main option to make people to trust you.
Return and Fake Orders – This is a big challenge for the E-Commerce business as a starter. Because in India people do lots of the return. People do online shopping and then they change their mind and try to return it. It’s a common and big and main challenge. There are certain thing which we can do to stop unwanted return and this is a very big topic and I probably love to write on this topic in details in another blog. To reduce the return E-Commerce must upload original photo and complete details of the item they are selling and faster delivery.
Fake order is again and big and main challenges and each E-Commerce must have an internet team and terms and conditions to stop fake orders and it is very important because recently Meesho got Notice for having more Fake orders. So if you don’t want to get such notice and them make your system so powerful to find out fake orders and kick them off.
If you are planning to start an E-Commerce business right now then this is the best time to start as its very good time to start the E-Commerce in India and see yourself a successful businessman by 2025 when E-Commerce in India will become very popular and common and most of the people will have smart phone and internet and they will shop something online.