As the country reels through the second wave of the Covid-19 pandemic, the eCommerce market is experiencing a boom. India is seeing a steady rise in eCommerce trends since the second wave struck – and a lot of it could benefit the industry. In fact, eCommerce is expected to grow up to $140 billion by 2025 – and we will all be here to see it.
5 E-commerce trends India has seen in the second COVID-19 wave
1. Growth of Retail business
With consumers restricted to their homes, retailers have integrated their online and offline operations to serve their customers better. Essential goods retailers are looking towards second-and third-tier cities for growth opportunities as they continue to lead the demand, according to a forecast.
On the other hand, non-essential retailers are taking a new approach. For instance, Patanjali, a consumer goods company, experimented with the “store on wheels” concept to reach the consumer at their doorstep. The sale of goods is done by taking a bus/truck stocked with goods around societies. Over time, It has gained huge momentum in the current situation.
A trend also suggests that Indian consumers are more likely to support local and small businesses following the second wave of COVID-19
2. Increase in hiring by logistics firms
eCommerce shipments in India are expected to grow four times by 2024. The emerging trend of online shopping has weakened traditional sales channels. Demand for shipment and delivery services needed for online shopping has jumped as the pandemic has expanded online sales and eCommerce to smaller towns. As a result, logistics companies have begun to hire tens of thousands of people in recent months. They also plan to employ more people even as the pandemic progresses.
“We have already hired 2,000-plus people across the cities of our presence and plan to add over 7,000 more people to build additional capacity,” said Grofers spokesperson
3. Improved D2C channels
D2C refers to direct-to-consumer channels where the products reach the customers directly, without any intermediaries. E-commerce and the D2C channel have been gathering steam in India amidst the pandemic as curbs make it challenging for companies to reach consumers through traditional offline channels.
Companies like ITC and Emami have been pushing their D2C channels within the country as the pandemic has increased the adoption of e-commerce in tier III and beyond towns.
4. Growth of digital wallets
Contactless payment is seen as a cleaner way to pay in-store while purchasing from E-commerce websites. Trends are in favor of those methods that have the strongest protection against fraud losses and give consumers a breakdown of their budget. When the customers were asked why they were doing so, several answers emerged:
- The pandemic and social distancing is the most significant factor impacting the change of payment methods.
- 12% of consumers say they are making more transactions with businesses they are unfamiliar with and do not want to share their financial details with the merchant.
- Another key point was that consumers are changing their online payment methods to keep better track of their spending.
These are the reasons contributing to the growth of digital wallets.
At Instamojo, We support various UPI modes. You can even add UPI payments to website or app in under two minutes. Simply create your Instamojo account, and start collecting payments.
5. Improved customized packaging
Extra precautions are being taken by e-commerce companies while packaging to ensure maximum hygiene and sanitation. E-commerce companies are taking this up as an opportunity to excite their customers with unique packaging to stand out from competitors. Durability and aesthetics are some attributes that e-commerce brands focus on to attract and retain their customers.
As more brands invest in e-commerce going forward as mobile e-commerce is expected to see a particularly strong increase. It is vital for businesses to understand these customer preferences and stay relevant accordingly in this second wave. This is why we believe that every business should have an online presence.
Here’s how you can use the eCommerce trends in India to your benefit
Every business is checking these trends to ensure they keep up with them to boose sales. In a nutshell,
- Sign up on the Instamojo platform
- Set up an online store (free/premium)
- Upload your products and services
- Spread the word, keep us posted
Or you could refer to this short and easy tutorial video to set up your eCommerce business seamlessly.
Set up your own eCommerce store with Instamojo today!