Electronic commerce or e-commerce which means buying and selling of products or services over Internet or other electronic or computer networks has dramatically grown in India since the spread of Internet. Though e-commerce in India is at a very nascent stage compared to western world, if you compare it with last year it has grown over a large extent.
Bikky Khosla, CEO of India’s largest business-to-business (B2B) portal Tradeindia which is maintained and promoted by Infocom Network Ltd, recently made a statement that e-commerce transactions in India is growing at a rate of 30-40% and in expected to reach $100 billion figure soon.
Deeper penetration of Internet has broken various barriers and brought geographically diverse markets on a common platform. e-trading not only helps cut down costs in terms of manpower and time involved in transaction in the export-import business, but is environment friendly too.
Credit cards transactions, Railway and Airlines have played a vital role in e-commerce transactions in India. In near future, e-commerce is going to play a major role in multimedia, entertainment and fashion industry. Gucci Co. an Italian iconic fashion and leather goods label is eager to make its hold in India after growing strong in China.
Along with e-commerce mobile-commerce is also spreading among India users, specially in the banking sector.
The main concern for e-commerce in India is that Indian customers go for brand names along with discount offers in an online transaction. Also, they want to look and feel the product before making a purchase. Connectivity infrastructure is also to ponder upon. Once it is widely developed, we will be able to see involvement of e-commerce across all levels.
This post just made my day. I have my own li’l online store : http://www.opensourcedeal.com
You have no idea what an inspiration this post is.
I think Bikky Khosla’s $100 Billion figures includes both B2B and B2C e-commerce. There is no way B2C alone is going to be a $100 Billion in 2008.
Do you want to Trust Economic Times ? Here they reported TradeIndia did Rs 17 crore http://economictimes.indiatimes.com/Infotech/Online_businesses_gear_up_to_welcome_2008_with_a_bang/articleshow/2663570.cms
Now aggregating everybody I think $100 Billion [Rs 400,000 crore Size of Indian Budget 2/3 years ago] is a SUPER Exaggerated Figure.
@Raseel,
I visited your site and would like to know more that what “About Us” page lists out.
@flipkart,
Yes, but B2C’s segment on the pie chart will surely improve.
@Chetan,
Ya it seems big to me too… only time can tell the actual results.
Well…true that e-commerce in India has gained pace but despite that Indian users are somewhat apprehensive of shopping online.
I have visited almost all the sites working in India and one of the other reasons I could think of in terms of online shopping lagging behind in India is the layout of these sites. I would be a little more explicit.
Well…while trying out some these sites I had to face tremendous confusion for finding out the thing I needed. The cluttered layout of the pages and the confusing categories really knocked me out of patience. Besides all stuffs were dumped in a single category. I couldn’t get a full view of the product that I needed…give me one reason why I would buy from these sites…?
I feel a sorted out interface and detailed categories will help to solve these problems. And the sites have to read the customer’s mind or else the result will not be as positive we are assuming it to be !
For deeper insight into e-commerce in India visit- http://maketicklive.com/blogs/
@Rupesh I don’t know if I’m too late in commenting on this, but I just stumbled upon here again today. What would you like to know more about again ?
What an amazing post to read! It’s truly interesting how fast the e-commerce is catching up. I have even heard that in the public process e-governance has made a big impact. The online payment part of e-commerce is laying the foundation stone for a new chapter in Indian economy. I would like to share a url of an organization which has played a pivotal role in bringing e-commerce close to people who can be bracketed in non-bankable population of the country.
http://itzcash.com/
This has been pretty old but interesting to look back. 08 has come and gone. I am trying to find what the reality looks like. Total active users 50 million as per IAMAI press release (ppl who login once a month with 37 million urban). how many do you think do internet transaction ?
Everyone has to spend like $2000 to reach that figure. To be more conservative, if they do spend $10 (~500 rs) then it is half a billion. I have a feeling that the pie is lot smaller.