Online sales to cross Rs. 52,000 cr. during festive season: ASSOCHAM
Online shopping defies slowdown, set to peak during festive season
Economic slowdown notwithstanding, the online shopping marts are going aggressive about marketing their merchandise expecting to rake in 40-45 per cent more in sales during this festive season, an ASSOCHAM latest study has said.
Being wooed by heavy discounts and combo offers, the consumers are expected to splurge about USD 8 billion (Rs 52,000 crore) during this season, beginning with Navratras, Durga Puja, Dussehra, Diwali and Christmas.
The merchandise being sold aggressively through online platforms include mobile phones, electronics, designer furniture, home decorations, clothes, accessories, jewellery, footwear etc. The big brands are in tie up with popular e-commerce retailers and hard selling through full page advertisements, internet and television, adds the paper.
As per the ASSOCHAM study, there would be more than a fivefold increase in revenue generated through e-commerce as compared to last year with all branded apparel, accessories, jewellery, gifts, footwear are available at a cheaper rates and delivered at the doorstep.
As the economy is not in pink of health, the e-commerce sales, at least in big cities would be at the cost of the brick and mortar bazaars, especially in regard to products like mobile phones, fashion wears etc.
ASSOCHAM Secretary General Mr. D S Rawat said, “the customer is connected 24x7 through their smart phones, tablets and other mobile devices which is leading to a gradual evolution of e-commerce into mobile commerce. Also, there is an issue of convenience which also leads to impulsive buying”.
About 50-55 per cent of consumers spend on buying clothes and goods in India between September and December during the festival season that includes Dussehra, Diwali and Christmas, adds the paper.
The report further said, consumers are turning to the internet savvy because of the fast and simple payment and delivery service.
As per the ASSOCHAM study, online shopping pattern has been changing in tier-I and tier-II towns, where the broadband internet connectivity has already penetrated. The most popular among the e-commerce websites - Snapdeal, Myntra, Flipkart, Amazon, Jabong etc have been doling out massive price cuts or discounts on purchase of popular brands of apparels, footwear, electronic goods, coinciding with the upcoming festive month.
One of the driving factors for the online shopping is the age profile of the consumers who are young between 15-35 years. This segment is quite a net savvy and enjoy doing new type of shopping experience, virtually from their desk top in office, lap tops at home or even android based phones.
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