19 Mar Top 6 E-Commerce Trends In India To Concentrate 2021
Despite the pandemic, India’s ecommerce industry advanced substantially in 2020. Let’s take a look at some of the major developments that will shape the industry in 2021.
Without a doubt, the year 2020 will be remembered as a year that changed the world in almost every way. The year has been a rollercoaster ride for industry, with numerous shocks, widespread confusion, and a recently relaunched revival phase.
However, some industries, such as ed-tech, ecommerce, and others, have had an unusually successful year. Despite significant transitions, the ecommerce market triumphed against all odds in this especially difficult year.
eCommerce Business Model
The e-commerce business industry has mainly used four styles of Ecommerce business models. If you’re considering starting an online eCommerce company but aren’t sure where to begin, here are some general categories to consider.
Each has its own set of advantages and challenges, and many businesses operate in several categories at the same time.
Knowing which box your big idea belongs in will enable you to think more creatively about your opportunities and challenges.
1. B2C – Business to consumer.
2. B2B – Business to business.
3. C2B – Consumer to business.
4. C2C – Consumer to consumer.
1. The Growth of Online Sales Is Unstoppable
Despite quickly recovering from the lockout, India’s online retail growth lagged behind that of the United States and China. A new storey may be written in 2021.
Despite quickly recovering from the national lockdown and the most profitable festive sales season ever, India’s online retail sector struggled to match the growth of ecommerce in established and much larger markets such as the United States and China this year.
According to Forrester Research, ecommerce revenues are expected to grow by just 7-8 percent in 2020, compared to nearly 20% in China and the United States, whose governments made full use of contactless purchasing options to shore up the economy even while imposing shutdowns to combat the Covid-19 outbreak.
“We were not as fortunate as other nations. Since we lost a lot of momentum during those three months (of the lockdown), and the companies weren’t ready to offer critical products, ecommerce growth was less than 10%,” said Satish Meena, senior forecast analyst at Forrester Research.
The total profits of the ecommerce industry as a whole are expected to be about $33 billion for the calendar year.
2. Mobile payments users in India to surge 5 times
According to a study by RedSeer Consulting, the number of mobile payment users in India will increase fivefold, from 16 million to 80 million. By FY25, mobile payments will account for 3.5 percent of total digital payments in the country, worth Rs 7092 lakh crore, up from 1% now.
Inclusive government policies and increased participation by MSMEs are driving the growth of digital payments. “There has been a major focus from the government with several initiatives underway to boost sector growth,” according to the consulting firm.
COVID acted as a catalyst in terms of driving growing digital wallet share, especially in Tier 2+ cities, as smartphones and internet penetration propel consumption across the world. According to the paper, “this has directly contributed to increased use case for mobile payment modes (both UPI and Wallets) due to seamless integration with online platforms.”
With the continuous increase in both frequency and user base, wallets will continue to play a key role in its development.
3. Content-driven Commerce will Grow
In the list of existing eCommerce trends 2020, content-driven commerce is not a new entry. However, reaching consumers at different stages of the consumer journey has become a top priority for marketers.
Around 80% of marketing professionals claim they would increase their use of content-driven strategies to drive further conversions, according to a survey conducted by World Media Group and published by eMarketer.
What are the benefits eCommerce brands expect from content-driven campaigns?
- Improves search engine visibility
- Demonstrates your domain expertise
- Increases repeat business through brand stories
- Strengthens customer loyalty
- Brings quality store traffic
- Engages your potential customers
- Reduces the bounce rate of your online store
4. Quick Product Delivery Will Become Essential
Same-day delivery is another top online shopping trend in India for 2021.
The time between placing an order and receiving delivery will shrink even further, and in most cases, same-day delivery will become necessary to remain competitive in particular categories and regions. Most consumers despise having to wait longer, and faster shipping options are at the top of their wish list while shopping online.
And this is a difficult requirement for retailers to meet. Its implementation would ensure that your shopping portal receives more traffic than before. With this as a baseline assumption, companies providing delivery services should anticipate increased demand, and players with large delivery networks will be the next million-dollar companies in India.
We wrapped up 2018 by revealing the top four global eCommerce future delivery trends for 2019. And here they are:
All four of these methods will help you produce your goods quicker, which will increase your conversions. However, given the infrastructure available in India, it remains unlikely to get any of them there.
To ensure the safety and protection of your customers’ money, you must provide fast turnarounds, hassle-free returns, and flexible refund policies.
5. Voice-based search and online shopping are both possible.
Customers’ shopping habits have changed as a result of eCommerce, and online purchases are rapidly increasing. Voice-enabled searches, which are very common and widely used for online shopping, take it a step further and make digital shopping simpler. Amazon’s Alexa, Apple’s Siri, Samsung’s Bixby, Google Assistant, and Microsoft’s Cortana are just a few examples of great virtual assistants that are extremely competitive with voice queries. You can now order groceries, call a taxi, listen to music, and get any details you need using voice search.
People who own voice-activated speakers use them on a regular basis, according to 72% of them.
In recent years, voice-activated shopping has gained a lot of traction. Experts expect a further increase in demand for voice-driven user experiences as goods become more widely available on the internet. Voice commerce is projected to grow to more than $80 billion per year by 2023, according to Juniper Research, based in the United Kingdom.
6. The digital transformation will be adopted by B2B.
Digital transformation is the first priority for B2B company owners in terms of B2B eCommerce trends 2021.
With the rise in smartphone adoption, we’re seeing a shift in India’s eCommerce customers toward digital payments rather than cash-on-delivery business models.
Conversely, the eCommerce industry, which began as a customer purchasing behaviour, is now making strong inroads into the B2B market.
According to Forrester Research, launching and managing B2B eCommerce sites will save B2B business owners up to 90% on revenue, service, and operating costs.
And providing these conversion-oriented platform features will become a prerequisite for B2B eCommerce success.
B2B/wholesale selling with a B2C-like digital experience would increase market share, business growth, and lower costs. The B2B segment would benefit from increased tempo, predictability, and profitability.
Manufacturers and traders will use business intelligence (BI) and other advanced technologies in the future to anticipate what customers require before they ask.
They’ll even respond by immediately fulfilling orders, with the entire order process being automated.
So are you the next one?