Times of India reports that the buying pattern of Indian consumers has changed with time, more so for the good of companies who run their business over the web. Alibaba, recently conducted a search over the web, the result of which turned out to be a pleasant surprise that ‘The Indian’ especially the Indian Entrepreneurs have started using the web as a medium to buy more of pre-used products. Figures are not always misleading, and I guess it is true when it is further stated that Searches for second-hand products by Indian B2B (business-to-business) buyers on recorded in November, 2009 were 280 per cent higher than 2008 representing an average monthly increase of 14 per cent. Sounds astonishing at a time when the market is just picking up.
Pre-used products which are scoring high over others majorly include cars, laptops, bikes and mobile phones. The surprising fact is that even non-consumer second-hand products, including used machines, rails, containers, tractors and generators are also in demand over the internet. True, some reasons are beyond logic, but the reason can be attributed to the more cautious spending habit of consumers in the soon ending recession phase.
The Internet Business to Business medium is actually a hit. The reasons for the same are as follows -
1. The Indian consumer is well aware of the price, brand, product details, reviews and also has the options available. And, to top it all, if he/she can get it within a few clicks what better. The ‘service at one’s doorstep’ is all that one wants at the end.
2. The Internet is highly value sensitive. Online buyers tend to think and research more about the value associated with it and not the price. The price will play an important role, but only in the days when we hear about the word ‘recession’. In times to come, you and me will care more about value, because the salaries and the disposable income will both be on a high.
3. With the increase in ‘Technology Optimists’, the online buying pattern will only increase. And, add to that the service available with credit cards and other finance facilities; the safety is the only thing which one needs to be alert about.
4. Not only are the products or brands being looked into; but the entire experience and ambiance of a shopping related website also matters. This has already been understood by a few retail players who are also into the online sphere and the trend will soon catchup.
Apart from all the above and more, the growth of E-Commerce is one of the biggest contributors providing a big boost to the Online Buying Process. Combine the better usage of factors such as Technology, Easiness, Price, Safety and Online Stores; and you have a herd which is constantly upgrading themselves to make the most out of it.
So, where does the future of online buying lie? The Answer lies in a term known as ‘Web Personalization’. In other words, the ability of a B2B seller to customize a product based on user preferences. Dell‘s online model is one of the cult examples. And, the day other B2B sites are able to come up and be in the competition zone, we can very well see the doomsday for brick and mortar business models; at-least for the netizens.
All I want to say is, let’s imagine a hassle free electronic world which only evolves on the web. Imagination is the first step towards success. Note the point.
Tapan
E-commerce success is purely based on volume.Unless the Indian consumers becomes web savvy the e-commerce industry will find it difficult to take off.With the proliferation of netbooks we can see some substantial changes in the ecommerce industry.
I also feel E -commerce will grow in days to come ..
Until have greater literacy, online business in India (especially B2C) will always remain abysmally poor.
An online company for instance sells Rs. 1 lac worth of goods in a year. The next year it becomes 3 lacs. It means a 200% jump!! So lets not fall into the trap of percentages either.
this article sucks.
you’ve based the whole article on a percentage increase without any clue about the absolute numbers.
not to mention the reasons for success points. wtf are technology optimists?!!!
It is a good story. I would love to see how is the growth rate at Indian e-commerce sites like Yatra, Ebay.in etc…