The good fortunes seem to steady for the e-retailing scenario in India. After posting a healthy run at the recently concluded ‘The Great Online Shopping Festival’, multiple e-retailers are reporting significant merchandise sales according to The Internet and Mobile Association of India [IAMAI] latest Internet Watch Report.
Which segments have posted the best growth? While we may be forgiven to assume the ever-popular electronics segment to do well, it’s the Apparel & Footwear segments who are witnessing increased traction. The footwear segment grew by a whopping 71% & in terms of actual ‘virtual footfalls’. The sector witnessed enhancement from 3.11 Million visitors in November last year to 5.31 Million visitors this year.
In case of apparels, the branded apparel section got 56% more visitors as compared to last year. In terms of actual numbers, while last year 4.12 Million browsed through the virtual collection, over 6.4 Million frequented the e-shops selling branded apparels.
The online travel portals are doing well too. Data sourced from popular Online Travel Agents (OTA) revealed promising growth statistics. As compared to just over 1 Million tickets booked in November 2011, almost 1.5 Million tickets were booked online this November. Overall this sector has clocked a healthy growth rate of over 15% on a Year On Year (YoY) basis.
Are ancillary services benefiting at all? While merchandising & travel is indeed doing well, the ancillary online services like Matrimony & Job sites seem to be doing well in their own respective fields. While matrimony related websites posted an impressive growth of 55% on YoY basis, the job sites witnessed traction growing almost 1.5 times.
The Indian online scenario seems to be on the cusp of jumping in terms of traction & sales. However, with so much competition it will be tough for old veterans & new portals alike to compete. With ‘price’ still being the deciding factor to make a purchase online these e-ventures have very low profit margins & only have ‘Traction’ to boast of.
Image Courtesy | campaignindia