Someone famously said, In USA Ecommerce is dessert, in china it is main course but in India It is a seven course meal.
The online gifting industry in India is indeed in nascent stage but it is directly proportional in terms of growth of Indian Ecommerce industry. With the impressive annual growth rate of more than 67% one can clearly comprehend the near future of this industry. Likewise of India’s legacy in services sector the gifting as product is also witnessing high and amazing growth on year on year basis.
Causes and current scenario of Gifting Industry in India: –
Despite of the fact that the high taxation on gifting items as being a luxury product, in the recent time we have seen substantial augmentation thanks to the growing purchasing power of the people. In a country with growing internet penetration, impressive IT skills of the people, high demand due to favorable demography, millions of mobile users, and improved communication network, all these factor have contributed this trend after all India is the third largest economy of the world (Based on PPP).
It is the unavoidable fact that whenever a country gets higher purchasing power, people start spending more on luxuries items such as costly health products, Gym and fitness center, buy premium cars, villas, as well as entertainment, travel and hospitality sector grow at exponential rates. Some components of gifting including home décor items, chocolates, sweets and dry fruit hampers, grooming hampers, gadgets and accessories all these components have to do a lot more with higher purchasing powers of the people.
5 Reasons which ensure the flourishing of Online Gifting Industry in India: –
- Easy accessibility of Internet: – The affordable data package, the affordable smart phones and growing penetration of Internet across the country is the most vital force that is pushing the people to opt for shopping on Internet. Recently with striking launching of Jio (Reliance powered) a new telecom player in the market has caused the drastic decrease in the data prices which in turns will definitely leads the people spend more time on the net (as it is cheaper now) and hence people will explore more and eventually some of them would like buy online new items and get it delivered on their doorstep.
- The addiction of Internet: – The trend of fast digitization of the things is bringing everything on the internet and hence people have to get connected to the internet for accessing emails to million dollar deals. Be it social media, news, emails, video calling, online exams and plenty more, for all you need to get connected with internet and at the end you find that you are an addict of this Internet. So in that case, even if you can fulfill your shopping needs at your street shop but nevertheless you would like to place your order online from a shop that is located thousands of kilometers away from you. But the magic happens when you realize that for street shopping you still have to walks 100 or 200 hundred meter but with an online gift shopping from a remotely located shop you get your things delivered at your doorstep. This is the real magic that makes the people habitual of using the internet for everything they need. The ecommerce including online gifting industry in India is being flourished with this addiction.
- Complete solution on the doorstep: – Like any other country, the success story of the ecommerce industry in India can easily be related to the fact that not only the shopper are choosing the online mode but the sellers are finding this mode more convenient. The improved communication network and fast growing logistic industries are giving another helpful hand to this trend. It is obvious if somebody is placing their order from their restroom or workplace, garden or amid of their journey thanks to the delivery networks. So the online shopping is making all the things delivered on your doorstep. Once Jeff Mender said
We live in an age when Pizza gets to your home before the police.
- Demography: – The world’s third largest economy (PPP wise) and second largest population are surely the greatest asset India ever have had if it is properly managed and given access to all the opportunities. With more than 350 million smart phone users, 100 million online shoppers, world’s fastest growing economy India is indeed the brightest market for any business community. In fact, the huge demography of India and hence huge demand is one of the leading factors that boost any business. If you see the things from seller’s perspective then again the cheap labor is favorable point you will love doubtlessly.
- IT skills: – For the success of your online business, you must have the accessibly to the IT skills or you will have to hire the professionals for the same, otherwise. And the entire global community is aware with the Indian legacy in IT outsourcing (Someone find it very annoying so he highlighted this issue during his election campaign), so the point is, we are successfully offering price competitive IT solutions which is again available for the domestic customers. Consequently, those in India willing to make online presence of their shops will be able to access affordable digitization services. And if a seller is getting things at lower prices, then the customers in turns find the things on lower prices and finally this scenario will leads to boost overall [ecommerce] Industry.
Article contributed by http://www.giftsbymeeta.com/