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Posted on April 14, 2016


Posted by: Ascent Brand Communications Pvt Ltd

E commerce companies are exploring new markets in small town and rural area for sustainable growth

Living in 2016 has its own perks, one of it being the comfort to be expected in running the most menial of errands, for example, shoppin. Where majority of people are still weighing the pros and cons, about 38 million (approximately) Indians exploited the opportunity of online shopping in 2015. This number is expected to grow immensely in 2016 and reach up to 40 million. The benefits justify the increase as shoppers have the added benefits in the e-commerce arena, may it be clothing, travel or electronics.

1. ecommerce

Other than these advantages, many other trends have led to the growth of E-commerce markets in India. Increase in number of internet users has been the foremost contributors to this trend, with 27 percent of Indians having access to the web in 2015 and 34.8 percent using the web in 2016 (currently). A detail that has caught everyone’s attention about this trend is that thanks to mobile internet, the rural user base has expanded remarkably and added a sizeable market of about 80 million rural users to network.
The shocking surge came at a 99 percent in 2015 and is expected to continue in 2016, where internet will reach 106 million rural India users.

What this means for E-commerce Companies?

This increase has a manifold effect on the industry, just the reach alone has created ruffles. The experts say that internet increases education and awareness in the people, at the same time it also lights up the candles of strong desires. The more access people have to influencers, the more their needs expand. E-commerce giants such as Amazon and Snap deal have already identified the trend and starting to strategize to optimize it. The government has been more than supportive of these policies as it lines up with their mission.

What this means for E-commerce Companies

Here are few of the many reasons the country is welcoming this trend:-

2. ecommerce

No longer is Online shopping an urban myth for the villages, people are more open to experimentation now than they ever were. This change in attitudes means they risk in order to reap benefits of the ongoing developments. This is clear in the number of rural Indians opting for buying over the net. Even though only 0.9 percent of the total retail sales were online, it is no denying this is a positive news. From electronics to travel to clothing, people are exploring their options sitting in their homes. Do not be surprised if 5 years down the line, you find them using the same platform to sell their produce while many of us still be weighing pros and cons.



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