Introduction
Imagine yourself in 2000, and you are reading a blog about future technologies such as video calls. Under the scope of ecommerce section, you will be ready for 90 minutes of grocery delivery to your home, home delivery of phones. This phone can help you connect with your friend via video in another country at a fraction of the cost.
You would have felt not less than a sci-fi movie. But it all became true now in just 20 years. So, what if I said we would no longer have big shopping malls to shop for goods, and everything would be virtual. Probably you don’t have to leave your room for anything including work, leisure or fun. The world is about to go meta.
Importance of E-Commerce in India
India is a country of 1380000000, 1.3 billion people just next to China at 1.4 billion. The majority of the crowd is young, between 20 – 30. What does it mean to with the scope of ecommerce?
Remember the last time you went out shopping in a mall to buy your favorite speakers, but the local retailer next to your house could not match the price of online ecommerce retailers like Amazon or Flipkart. Then, you ended up buying from Amazon to save a few hundred.
Now, imagine this situation happened to all the 20-30 age young people in the country and everyone starts buying online. Yes, all the 800 million young people in the country have started to buy online, and that’s the scope of ecommerce in India.
According to Statista, this is the current market size of ecommerce in India.
What is e-commerce? Explain its scope?
Ecommerce is a process of buying and selling goods/services without involving physical presence or cash but using an electronic medium like the internet and computers. Considering the internet and smartphone penetration, the scope of ecommerce is vast in India. Currently, ecommerce transactions contribute to 0.91% of India’s GDP.
What is the scope of e-commerce in the present scenario?
It considers the youth of the country’s online shopping pattern and a run behind the virtual world. It looks like a vast scope with enormous opportunities to grow and make money using e-commerce.
Related Content: 15 Untold Secrets on How to Make Money Online in India
Scope of Online Shopping
Online shopping is a simple shopping process for goods and services via the internet and smartphone/computers. If you have to go to a mall and find clothes for yourself, you probably need more energy and money than shopping for your favorite goods or services.
The scope of online shopping is vast as an ocean, and the question is, are you ready for fishing in this ocean.
Nature of E-Business
The nature of e-business is to perform business transactions that involve buying and selling goods or services through an electronic medium.
What are the benefits of E-Commerce?
Top 8 benefits of E-Commerce to Sellers
- Reduced operations cost
- Wider reach
- Increase in product margins
- Less workforce
- Complete automation
- Less human invention
- Less space required to start
- Ability to expand
Top 8 benefits of E-Commerce to Buyers
- Better price
- More options to choose
- Shop from anywhere
- Gifting becomes easy
- Delivery at doorstep
- Privacy
- Transaction records
- Ease of shopping
How do e-commerce companies make money?
There are three revenue sources for an ecommerce company to make money.
1. Commissions on goods sold.
2. Advertisement revenue from brands
3. Savings on bulk shipping
Future Scope of Online Shopping
We have discussed all the benefits and the current scope of online shopping. Let’s look at the most crucial part, the future scope of online shopping.
Here is the list of 5 things that online merchants are trying to fix in the future.
- Connecting all the Kirana shops under one roof
- 20 Minute delivery
- Drone-based delivery
- Reduced delivery cost
- Product catalog and uploads
What are the three types of e-commerce?
The following are the three types of e-commerce
B2C – Business to customers e-commerce
D2C – Direct to customers e-commerce
B2B – Business to business e-commerce
Related content: How to Sell on Amazon in 5 Easy Steps
Ecommerce Future in India
The Indian E-commerce market is expected to grow to US$ 111.40 billion by 2025, via India Brand Equity Foundation.
Investments and Developments that contribute to the ecommerce future in India. Some of the significant developments in the Indian e-commerce sector are as follows:
- In September 2021, CARS24, India’s leading used car e-commerce platform, has raised US$ 450 million in funding, comprising a US$ 340 million Series F equity round and US$ 110 million in debt from various financial institutions.
- In September 2021, Amazon launched Prime Video Channels in India. Prime Video Channels will give Prime members a seamless experience and access to various popular video streaming services.
- In September 2021, Bikayi, a mobile commerce enabler, raised US$ 10.8 million in a Series A funding round led by Sequoia Capital India.
- Flipkart, India’s e-commerce powerhouse, announced in July 2021 that it had raised US$ 3.6 billion in new funding from various sources, including sovereign funds, private equities, and Walmart (parent company).
- In June 2021, Flipkart added a new fulfillment center (FC) in Dankuni, West Bengal. The FC is spread over 2.2 lakh sq. ft. and can create ~3,500 direct jobs.
- In June 2021, Grofers, the grocery delivery start-up, reportedly entered the unicorn club after raising US$ 120 million from Zomato, the food delivery platform.
Conclusion
In short, the scope of ecommerce is enormous in India. If you plan to start, I have a perfect start designed for you. You will get a 100% ROI in 6-10 months, depending on what product you plan to sell online.
If you have any questions, please ask in the comments section. I would be happy to answer them.
Don’t forget to check out my Amazon Seller Masterclass course module. This action-oriented course will help you get started with your online. Also, book a consulting call with me, Leo Prabhu, your Amazon seller coach. I am determined to get a tone of value for your money, and my mission is to launch 1 Lakh new Amazon sellers by 2025.
