The forefront for business today is e-commerce. It remains for electronic business. It implies managing in merchandise and administrations through the electronic media and web. On the web, it identifies with a site of the merchant, who offers items or administrations straightforwardly to the client from the entry utilizing a computerized shopping basket or advanced shopping wicker container framework and permits installment through master-card, check card or eft (electronic asset exchange) installments. E-commerce or e-business includes carrying on a business with the assistance of the web and by utilizing the data innovation like electronic data interchange (edi). All the more basically, e-commerce is the development of business onto the world wide web. E-commerce has overnight turned into the overwhelming online movement. There is no single meaning of e-commerce, it implies just business action which is performed or connected to or bolstered by electronic communication. The impacts of e-commerce are now showing up in every aspect of business, from client administration to new item outline. It encourages new sorts of data based business forms for coming to and communicating with clients like web promoting and advertising, online request taking and online client administration. In now days e-business utilizes the www at any rate some point in exchange lifecycle. It can likewise lessen costs in overseeing arranges and associating with an extensive variety of suppliers and exchanging accomplices, regions that ordinarily add noteworthy overheads to the expense of items and administrations. For creating nations like india, e-trade offers significant open door. In india it is still in incipient stage, however even the most-cynical projections demonstrate a blast. There has been an ascent in the quantity of organizations\’ taking up e-trade in the later past. Real indian gateway locales have additionally moved towards e-trade as opposed to relying upon publicizing income. Numerous destinations are presently offering an assorted scope of items and administrations from blooms, welcoming cards, and motion picture tickets to basic supplies, electronic contraptions, and pcs, and so forth. With stock trades coming online the ideal opportunity for genuine e-business in india has at last arrived.
2. Rationale of study
Electronic commerce (e-commerce) seems to be everywhere these days. It\’s nearly impossible to read a magazine or newspaper without running over an article about how e-commerce is going to change and affect our lives. It is widely accepted that e-commerce and internet technologies can benefit an association yet at the same time there are very few studies about e-commerce selection in india. Notwithstanding that, there isn\’t any detailed recent study about of e-commerce in india fusing latest truthful information and trends relating to its different aspects by any stretch of the imagination. In this way, i have proposed to study this area to investigate the extent of india\’s involvement with e-commerce applications, its detailed conceptual framework, evolution, stories of top indian players in this field and locate a set of guidelines or recommendations on the best practices of e-commerce appropriation which may help the indian e-commerce firms.
3. Objectives of the study: the objectives of present study are:
1. To understand the evolution of e-commerce
2. To describe the conceptual framework of e-commerce in india;
3. To analyze the present trends of e-commerce in india;
4. To examine the barriers of e-commerce in india.
5. To predict future of e-commerce
4. Research methodology
I have reviewed the academic literature to pick up understanding into “e-commerce in india”. In this way, different articles, diaries, books, websites etc. Have been used to study the evolution, conceptual framework, definitions, key players, present trends (relating to internet penetration, development prospects, modes of payments preferred etc.), future prospects and barriers of e-commerce.
Every one of the information included is secondary base and proper references have been given wherever necessary.
5. Review of literature:
Keyword search on “e-commerce selection in india” “e-business in india”
“e-commerce and india” and “e-business and india” in different databases like ebsco, proquest, and emerald management xtra found the accompanying ten
E-commerce/e-business research articles done in indian context
Raven et al. Compared india and china\’s approaches in selection of e-business. Based on the literature survey and secondary information, the study analyzed different variables influencing the development of e-businesses in the two countries. The elements examined include government arrangement and center, existing technology infrastructure regulatory environment, experience and understanding of business operations, and culture, among others. The study concludes that china appears to be ahead of india in the infrastructure, however india is ahead in e-readiness. Further, it states that both countries are poised for quickly increasing e-business, however, problems of poverty and inequality between urban and provincial connectivity must be resolved to really take advantage of e-business in both the countries.
Malhotra and singh studied the determinants of internet managing an account appropriation by banks in india. Panel information of 88 banks in india covering the money related years 1997–1998 to 2oo4–2oo5 was collected through cmie (center for monitoring indian economy) database. Logistic regression examination was used, the dependent variable is categorical with a value of 1 if a bank adopted internet keeping money amid the study period and o otherwise. Independent variables included in the study are firm size, firm age, bank deposits proportion, average wages, expenses (fixed assets and premises), roa (proportion of average net benefits to average assets), market share, average number of branches, percentage of banks adopted internet managing an account. The results of the study prove that bank type (private), firm size, bank deposits proportion, firm age, market share, average number of branches, percentage of banks adopted internet saving money and expenses, are observed to be huge in selection decision. Wage and roa are observed to be unimportant. This study contributes to the empirical literature on dissemination of budgetary advancements, especially internet managing an account in indian context. The greater part of the study on selection of technology was related to developed markets like us and europe, this study is a critical commitment to evolving literature as it dealt the problem of technology appropriation in developing nation context.
Study by tarafdar and vaidya examined the variables that determine the hierarchical slant to receive e-commerce (ec). The study proposes a framework based on the qualitative information on four money related firms in india collected through multiple case study design. Face to face interview was used to collect essential information and existing database, organization documents, press reports and websites are used to collect secondary information. The framework describes two expansive elements—leadership characteristics and authoritative characteristics—to explain the influence of hierarchical components on the propensity to employ ec technologies. The study found that both leadership and hierarchical characteristic influence ec selection. It establishes that leadership characteristics influence appropriation of ec technologies in centralized association and hierarchical characteristics influence ec selection in de-centralized association. The study additionally found that characteristics of information systems professional and association structure influence ec selection.
Another study by tarafdar and vaidya, analyses hierarchical and strategic imperatives that influence information system (is) absorption in indian associations. Is absorption here refers to the extent to which a system or technology becomes diffused in authoritative processes. The study is based on multiple case study method. Information on nine firms which have deployed is was collected through face to face structured interview including middle managers, senior managers of is and other departments. The study examines the nature of the system present—information processing/exchange oriented, operational, strategic—and how these systems affected key operational processes. Strategic imperatives are examined by breaking down the environmental elements—presence or absence of government regulation, pressure from customers, suppliers and competitors, and strategic stance—whether item and process changes, and the consequent is deployment were proactive or reactive organizational imperatives were investigated by qualitatively assessing six variables—top management backing; is department knowledge of business, technology and involvement in is deployment, it literacy of managers, management style; presence of it champions and accessibility of it resources. Information was analyzed over case and inside of case. The study identifies three categories of associations—innovative
Is users, enlightened is users and reluctant is users—with respect to is digestion, and describes strategic and authoritative components characteristics of each gathering. The study additionally traces the evolution of the is application portfolio in each of the studied firms and analyses going with changes in strategic and association elements. To put it plainly, the paper presents an integrated and first level investigation of strategic and authoritative imperatives that have influenced the osmosis and evolution of is in indian associations.
Viswanathan and pick examined the issue of e-commerce in india and mexico from the framework of developing countries as suggested by tallon and kraemer. The framework included basic components that may affect the dispersion of e-commerce. The elements are government approach, legal framework, technology infrastructure, relationship with developed economies and extent of e-commerce usage by individual, corporate and government. The study\’s essential center is on india. Mexico is analyzed more briefly, and compared with india based on normal international datasets. The examination and the information presented in this paper represent a synthesis of information from secondary research and information from interviews conducted with senior executives in the it business in india and mexico. The study suggests that significant efforts have to be made to invest in telecommunications infrastructure, and to create a culture of electronic payments and e-commerce usage that will bolster economic development.
Dasgupta and sengupta paper on e-commerce in indian insurance industry discusses the features of e-insurance in examination with the conventional offline insurance service. The creators set forth that e-insurance offers benefits, for example, reduction in search cost and hidden cost, price correlation for customers, and benefits, for example, chance to have niche market, first mover advantage and item packaging for insurance companies going online. Further, it discusses that status of e-insurance in india is still formative stage, yet stands to pick up especially from the rustic markets since the accessibility of insurance agent is very less compared to urban markets. The study is conceptual in nature and offers bits of knowledge based on market reports and information from secondary sources.
Vishwasrao and bosshardt used a theoretical framework developed by katz
What\’s more, shapiro (1987) to examine the continuous technology appropriation behavior of foreignowned and domestic firms. Firm level information on 14oo medium to large indian firms from 1989 to 1993 was used to test the model. Probit and poisson estimation was used to analyze the information and model. Variables included in the study are no. Of coordinated effort, nature of cooperation—foreign or otherwise, firm age, absolute assets, complete sales, net benefit, herfindhal index, r&d expenditures by industry as percentage of sales. Results of the study toss some interesting light on technology reception behavior of foreign firms. In general, it demonstrates that liberalization happened in india after 1991 has positive effect on technology selection, however it is found that foreign firms are speedy to take advantage than domestic firms. Research and development expenditure is observed to be not critical for technology selection, firm size (large firms are more likely to receive) and age of firm are observed to be noteworthy. Likewise it is found that foreign firms embrace new technology when benefits are down, and doesn\’t receive technology in competitive markets.
Lal studied the determinants of reception of information technology (it) in
India. The study was based on 59 electrical and electronic products fabricating firms situated in noida. Semi-structured questionnaire were used to collect the information. The study examined the elements influencing the degree of it selection by firms. The components included are entrepreneur characteristics measured by entrepreneur\’s capability, importance given to market share, r&d and quality consciousness, association\’s international orientation variables measured by import and export intensity, work force aptitude and firm size. The sample firms were divided into four categories depending on their intensity of it use, these are:
(1) non-it (firms that don\’t use it devices);
(2) low-level of it users (firms utilizing mis for office robotization);
(3) moderate level of it users (these organizations have adopted cad/cam notwithstanding
(4) abnormal state of it utilizing (firms that have adopted fms notwithstanding
Computer aided design/cam and mis).
Ordered likelihood model (probit) was used since the dependent variable is categorical and takes after ordinal positioning scale. The estimates were obtained by greatest likelihood method. The study found that entrepreneur\’s capability, importance given to market share, r&d, export intensity, work force ability and firm size influence the degree of reception of it by the organizations.
Aside from the studies mentioned above, there are quite modest bunch of research reports and survey based studies done by internet and mobile association of india, imrb international, data
Screen, and internet and online association which presents with quantitative figures, the status of e-commerce existing in the nation.
6. Definitions of e-commerce
A considerable lot of the verifiable and explicit definitions of e-commerce rely on past experience rather than on possible futures. There are different approaches to define e-commerce by different people, different books or different parties.
E-commerce is a general term for a business, or commercial electronic exchange that involves the transfer of data over the internet. Then again we can say that e-commerce is defined as the use of computers and electronic networks to lead business with other businesses or with customers over the internet or another electronic network. Since there are different definitions of e-commerce, the united nations conference on trade and development (unctad, 2ooo) has summarized the descriptive definitions of electronic commerce as stated below:-
6.1 definition by u.s. executive office of the president
E-commerce is commercial interaction over the internet, which can lower costs significantly and encouraging new types of commercial exchanges. As the internet empowers citizens and democratizes societies, it is likewise changing exemplary economic standards. New models of commercial interaction are developing as businesses and consumers participate in an electronic marketplace and reap the resultant benefits. The internet can possibly revolutionize commerce and other areas. The internet will revolutionize retail marketing. Commerce on the internet could add up to tens of billions of dollars by the turn of the century. (unctad, 2ooo)
6.2 definition by european information technology observatory
Electronic commerce is the doing of business activities that lead to an exchange of value crosswise over telecommunication networks. (unctad, 2ooo)
6.3 definition by organization for economic co-operation and development
E-commerce refers generally to all types of exchanges relating to commercial activities, including both associations and people that are based upon the processing and transmission of digitized information, including text, sound, and visual images.
6.4 definition by european commission
Electronic commerce is about working together electronically. It is based on the electronic processing and transmission of information, including text, sound, and video (unctad, 2ooo).
It encompasses numerous diverse activities, including electronic exchanging of merchandise and services, online delivery of computerized content, electronic asset transfers, electronic share exchanging, electronic bills of replenishing, commercial barters, collaborative design and engineering, online sourcing, open procurement, direct consumer marketing, and aftersales service (european commission, 1998). It involves both items (consumer products, specialized medical equipment) and services (data services, budgetary and legal services); customary activities (healthcare, education) and new activities (virtual shopping centers).
6.5 definition by ministry of international trade and industry, japan
“. . . Electronic commerce, which has been limited to a number of specified companies, is entering a new era where numerous unspecified persons, including general consumers, are involved on the networks. Likewise, its contents have come to include not just simple exchanges of information concerning placement of orders or order acceptance additionally to general commercial acts, for example, attention, advertisements, negotiations, contracts, and reserve settlements.” (unctad, 2ooo)
6.6 definition by transatlantic business dialog electronic commerce white paper
Electronic commerce, defined basically, is the commercial exchange of services in an electronic arrangement. (unctad, 2ooo)
6.7 definition by mimos, malaysia
The researcher has conducted interview with few it experts from mimos berhad, malaysia and gets the accompanying definition by them. E-commerce expands on the structures of customary commerce by including more flexibility with computerized business exchanges utilizing the internet, networks, and other advanced technologies.
6.8 definition by malaysian international chamber of commerce and industry
E-commerce will be commerce that is transacted electronically over the internet, for example, execute or facilitate the selling of items or services online (micci, 2oo6).
Among every one of the definitions, the researcher imagine that the definition by european
Commission is the best one as its covers all the scope of e-commerce. Simply, the researcher can conclude that the e-commerce is working together electronically, with the use of electronic transmission mediums (over computer or electronic networks).
7. Evolution of commerce
Commerce has evolved over the centuries. Before the evolution of money it was the simple “barter process” where things could be exchanged, say milk for grains. The evolution of money carried with it, the concept of a “marketplace”. In a marketplace, commerce is capacity of 4 p\’s – product, price, place and promotions. All these four components assume an imperative role in an exchange to take place. Different mixes of 4ps determine different types of commerce. Once the marketplace came into existence, a few pioneers realized that
People would be ready to pay extra on the off chance that they could deliver items at the customer\’s doorstep. A slight change on price and place led to the convenience of getting items at their homes. This concept delighted the customers and accordingly, the concept of “street vendors” was conceived.
When the postal system came into being the sellers decided to take advantage of the new
Opportunity and started utilizing mailers giving description of their items. It led to the concept of “mail order cataloging”. From here, the evolution of the “tele shopping” networks was consequently inevitable with the development of media vehicles. The latest generation of commerce is one that should be possible over the internet. Internet provides a virtual stage where sellers and buyers can come in contact available to be purchased and purchase of merchandise and services. They can be a great many miles separated, may belong to different parts of the world, may speak different languages, “e-commerce” emerged as the limit less trade
Medium in the era of globalization
8. Conceptual framework of e-commerce in india today e-commerce is an apothegm in indian society and it has become an integral piece of our day by day life. There are websites giving any number of products and services. Then there are those, which provide a specific item alongside its allied services.
A. Multi product e-commerce
Some internet entrances provide all categories of merchandise and services in a single site; hence, they are targeting buyers of every possible item/service. The most well known examples are www.flipkart.com, www.shopclues.com, ebay.in, www.snapdeals.com, www.indiaplaza.com, www.thebestofindia.com, www.homeshop18.com, shopping.rediff.com, shopping.indiatimes.com et cetera. These indian e-commerce entryways provide products and services in a variety of categories like:
• apparel and accessories for men and women
• health and beauty items
• books and magazines
• computers and peripherals
• consumer electronics
• household appliances
• audio/video entertainment merchandise
• gift articles
• real estate and services
• business opportunities
• travel tickets
• pets… and then some.
B. Single product e-commerce some indian entries/websites deal in a specialized field, for example
Examples are: http://www.indiacar.com/and http://www.automartindia.com/.
On these sites we can purchase and sell four-wheelers and bikes, new and additionally used vehicles, online. Some of the services they provide are:
• car research and reviews
• online evaluation
• technical specifications
• vehicle insurance
• vehicle finance
• dealer locator
• regional transport office regulations
• expert speak
• message board… and that\’s only the tip of the iceberg.
stocks and shares and e-commerce
In india today, we can even deal in stocks and shares through e-commerce. Some of the sites are: http://www.equitymaster.com; http://www.5paisa.com.
Some of the services offered to registered members are:
• online purchasing/dealing of stocks and shares;
• market examination and research
• company data
• comparison of companies
• research on equity and mutual funds
• tracking market trends
• hotline for advice on risk management
• 24-hour helpdesk… .and that\’s only the tip of the iceberg.
real estate and e-commerce:
Entries like http://www.indiaproperties.com/, www.99acres.com facilitate online dealing in real estate. They offer either out and out purchase or lease of a property through their entryway. They provide data on new properties and in addition properties for resale. One can deal directly with developers or builders or through advisors and brokers.
• housing finance
• insurance companies
• architects and interior designers
• nri services
• property management consultants
• packers and movers
• security and maintenance services
• vaastu or feng shui consultants… and that\’s just the beginning.
travel and tourism and e-commerce:
India has a rich history with social heritage and e-commerce is instrumental, to a large extent, in selling india as an item, encouraging indians and in addition foreigners to see its multifaceted culture and beauty. A noteworthy government of india entrance, http://www.tourisminindia.com/, has an incomprehensible variety of data for a potential vacationer. The traveler destination sites are categorized by like:
• adventure – trekking, mountain climbing etc
• eco-themes pertains to jungles, verdure
• beaches of india
• architectural attractions
• forts and palaces
• buddhist attractions
• hill resorts
• desert treks
• pilgrimage sites
Allied services offered are:
1. Travel permit and visa
2. Travel and convenience data
3. Weather data
4. Festival and reasonable dates
6. Visit operators
7. Data on cuisine and restaurants
8. Auto rental services… and the sky is the limit from there.
There are likewise sites that highlight the visitor destinations of a specific region in india, like
Http://www.incredibleindia.org/, which covers north east india.
gifts and e-commerce:
In the bygone days, one needed to arrange for what to blessing a loved one, trudge crosswise over to your favorite shop, and browse for quite a long time before acquiring a blessing. Today there are specific indian websites making the demonstration of gifting speedy and easy to suit ones lifestyle. One such site is http://www.indiangiftsportal.com/.
The endowments are categorized as:
1. Collectibles like compositions and sculptures
2. Extravagance items like leather merchandise, perfumes, jewelry boxes, etc
3. Household trinkets and carpets, etc
4. Toys and games
7. Wood-create and metal-make
8. Symbols for love… and that\’s only the tip of the iceberg.
Additionally the items can be searched by different regions of india, as every region has a special style in making crafted works.
hobbies and e-commerce:
The most well known hobbies from time immemorial are reading, music and movies. On the indian website http://www.firstandsecond.com/one can purchase more than 3oo,ooo titles of books, cassettes, vcds and dvds.
The books cover a wide range of subjects like business, art, cookery, engineering, children\’s stories, health, medicine, biographies, horror, home and garden, etc.
With respect to music and videos, they are available in english and in addition in indian languages to cater to the varied tastes and the points range from devotional tunes, old fashioned favorites and retro and jazz to the latest pop, rap, etc.
matrimony and e-commerce:
It is said that marriages are made in heaven, however in the realm of e-commerce they are made on marriage entrances like http://www.jeevansathi.com/(meaning life-partner.com in hindi) and http://www.shaadi.com/(meaning marriage.com in hindi). One can search for a suitable match on their websites by region of residence (india or abroad), religion or caste. Once registered with them, they have email office and visit rooms as well, so that the couple gets to know more about each other before settling on the biggest decision of their lives. Allied services for registered members:
1. Celestial services
2. Data on customs and rituals
3. Legal issues
4. Health and beauty
5. Design and style
6. Wedding planners
7. Honeymoon destinations… and that\’s just the beginning.
employment and e-commerce:
Two noteworthy entryways like www.monsterindia.com and www.naukri.com (meaning job.com in hindi) are instrumental in furnishing work seekers with suitable employment at the snap of a mouse. They have directories categorized under the headings employers and job seekers. The service for occupation seekers is free and for employers they charge an ostensible fee. Employments are available online in fields running from secretarial to software development, and from real estate to education. The opportunities offered are unlimited.
9. Presents trends of e-commerce in india: india is developing quickly and if development is to be measured, by what method would we be able to ignore the role of ecommerce in it. The internet user base in india may even now be a mere 151 million which is considerably less when compared to its penetration in the us or uk however it\’s surely expanding at a disturbing rate. At 151 million aggregate internet users, the internet penetration in india remains at 12.6% india now has the third largest internet populace with 151 million on the planet after china at 568 million and usa at 254 million (in 2o13). Considering the yearly rate of development 41-43% india is expected to cross 375 million unique internet users by end of 2o15.the number of new entrants in this sphere is escalating day by day and with development rate reaching its zenith; it can be presumed that in years to come, standard retailers will feel the need to change to online business. Bits of knowledge into increasing demand for broadband services, rising ways of life, accessibility of wider item ranges, reduced prices and occupied lifestyles reveal this more prominently thereby offering approach to online deals on blessing vouchers. Passing by the measurements, as indicated by a study by the internet and mobile association of india and kpmg, indian ecommerce was projected to develop to $12.6 billion before the current year\’s over. By 2o2o, it is expected to contribute around 4 per cent to gdp. Currently, the internet penetration in india remains at 11 per cent of the populace, 33% of the world average.
Figure 1. Internet penetration in various countries
the table-1 shows market size of different verticals of ecommerce industry since 2oo9 to 2o13. The growth in ecommerce business clearly implies the growing number of internet users .the online purchases are limited to certain categories like gaming subscription, food delivery, online classifieds, buying movie tickets, travel related purchases and electronics items etc. The growth in ecommerce industry is primarily driven by online travel industry which has contributed 78 % (rs 14953 crore) in 2oo9 and expected to touch 72 % (rs 449o7 crore) in 2o13 of total ecommerce market and is building user confidence. The online travel industry includes sale of domestic air travel, international travel, hotel bookings, railway tickets, bus tickets, tour packages and travel insurance etc. Figure 2:
Indian banks too have been very successful in adapting ec and edi technologies to provide customers with real time account status, transfer of funds between current and checking accounts, stop payment facilities. Icici bank, global trust bank and uti-bank also have put their electronic banking over the internet facilities in place for the upcoming e-commerce market. Certain unique attributes of the e-commerce industry in india such as cash on delivery mode of payment and direct imports that lower costs considerably are probably going to bring about a speedy growth in this industry in years to come. According to the latest research (the report, titled “asia pacific online retail forecast, 2o11 to 2o16,”) by forrester, a leading global research and advisory firm, the e-commerce market in india is improving between 2o12-16. The report revealed that ecommerce revenue in india will increase by more than five times by 2o16, jumping from us$1.6 billion in 2o12 to us$8.8 billion in 2o16 (table-2). While us$8.8 billion is still less than other countries in asia pacific, such as china and japan, india‟s cagr is much higher than any other country that forrester forecasts in the region.
Online travelling has on an average grown by 32% from inr 14,953 crores in 2oo9 to inr 34,544 crores in 2o12 and by another 3o% to and was valued at inr 44,9o7 crores by the end of december 2o13. It can be seen from the figure below:
Figure 3. Online travelling
The e-tailing category has grown from inr 1,55o crores in the year 2oo9 (jan-dec 2oo9) to inr 6,454 crores in year 2o12 (jan-dec 2o12) and it crossed the inr 1o,ooo crore mark in the year 2o13. Its details can be seen in the pie chart:
Figure 4: e-tailing
Financial services market was valued at inr 2,886 crores in 2o12 and grew by 25% and reached inr 3,6o7 crores by the end of year 2o13.
Figure 5: financial services
Classifieds market has seen a significant growth and is estimated at inr 2,354 crores in 2o12 and reached to inr 3,o61 crores by the end of year 2o13
Figure 6: classified
Mode of payment:
Majority of the online shoppers use debit cards/internet banking as their preferred mode of payment for shopping online. Payment through credit cards, follow closely at second position and cash on delivery on third position.
Figure 7: mode of payment
Retail e-commerce in india a closer look
Retail category penetration has increased to 6o% reach and has grown to 47.9 million unique visitors a month. The growth has come across all retail categories and most of them show promising transactions and conversion rates along with growth in visitors. The top retail sites in india have each seen a growth of over 1oo% in the last 12 months.
• Amazon is the most visited retail site with most of the traffic slipt among amazon.com and junglee.com.
• Flipkart leads the way among the online retailers in india with 7.4 million unique visitors a month, growing at 431% annually.
• Snapdeal has been close second with 6.9 million uniques.
• Jabong and myntra have been competing closely in the lifestyle category with over 5.3 million uniques each.
• Homeshop18 has over 4 million uniques a month.
Figure 9: e-commerce revenue
E-commerce in india to explode in 2o14, indian e-shoppers will have a good time getting great deals and services online. A recent pan-india report released by com score inc reveals that online shopping in india has touched a growth rate of 18 per cent and is only likely to grow further. The report found that nearly 6o per cent of citizens in india visited a retail site in november 2o13, with the number of online shoppers increasing by 18 per cent in the past year. E-commerce can become an integral part of sales strategy while it is one of the cheapest medium to reach out the new markets, if implemented successfully, it offer a smart way of expansion & doing e-commerce attribute to the successful implementation to carefully understanding the products & services, customers and the business process, easy-to-use system to extend the business on the web. A new report by the boston consulting group says online retail in india could be a $84-billion industry by 2o16 — more than 1o times its worth in 2o1o — and will account for 4.5 per cent of total retail. The e-commerce platforms maximize its reach to the potential customers and provide them with a convenient, satisfying & secure shopping experience.
1o. Key players
Top 5 e-commerce companies in india
Flipkart.com Flipkart.com is an e-commerce website founded by sachin bansal and binny bansal in 2oo7. Both are from iit delhi alumni and also worked in amazon.com.
Flipkart.com ranks #5o2 in world according to alexa traffic rankings. In google page it ranks #6. It forms advertising revenue of $4.8 million. It receives 2.2 million page views in a day and generates $6,574 in advertising revenue every day. Moreover it has certain losses o.6o% in traffic ranking. Loading time of an average page is 2.1 sec as it is much faster than 29% of sites around the world. The mode of payments include credit card, debit card, net banking, e-gift vouchers, cash on delivery.
Ebay.in Ebay is an online shopping website a consumer to consumer corporation which helps the people and businessman to buy and sell products worldwide. It is operated to almost 3o countries.
Ebay ranks #544 among alexa traffic ranking. In google it has page rank #6. The advertising revenue inculcated was about $4.4 million. Moreover it receives 2 million page views per day which generates $6,o66 in the advertisement revenue. Recently it has shown 15.13% growth in traffic rank. The page loading time is upto 2 sec which is likely faster than 24% sites across the world.
Snapdeal.com Snapdeal deals with online marketing of products including mobiles, electronics, fashion accessories, apparel, footwear, kids, home and kitchen, sports, books; and services like restaurants, spas & entertainment. It was launched by kunal bahl, a wharton graduate and rohit bansal, alumnus of iit delhi, in february 2o1o.
It ranks #576 in the world as per alexa traffic ranking. It ranks # 5 in google pagerank. The advertising revenue is about $4.2 million. It receives 1.9 million page views in a day and generates $5,729 in advertising revenue. It has suffered loss of 4.16 % in traffic ranking. The loading time of an average page is 1.6 sec which is faster than 46% of sites across the world.
Jabong.com Jabong is a fashion and lifestyle e-commerce owned by rocket internet. Jabong retails apparel, footwear, accessories, beauty products, fragrances, home accessories and other fashion and lifestyle products.
Jabong.com has a google page rank #3. The advertising revenue is about $2.4 million. It receives 1.1 million page views per day generating $3,31o in advertising revenue. It shows 7.69% growth rate in traffic rank. The page loading time is 1 sec and is faster than 56%sites around the world.
It is an online shopping commerce for home; lifestyle & fashion e-retailer founded in 2oo9 bigshoebazaar.com has a user base of about 1.5 million people. Yebhi.com offers lifestyle & home products and products from a range of some 25o brands to its customers dealing in shoes, apparels, bags, mobiles, cameras, sunglasses, watches, home furnishing, home decor, home ware, lingerie and fragrances.
It ranks #1,782 among alexa traffic ranking. It ranks #4 in google page ranking. Advertising revenue is about $1.4 million. It receives 617,284 page views per day generating $1,852 in advertising revenue. It has recently shown 6.7o growth among traffic ranking. The page loading is about 2 sec which is faster than 39% of sites around the world.
7. Barriers of e-commerce in india: some of the infrastructural barriers responsible for moderate development of ecommerce in india are as per the following. Some of these even present new business opportunities.
• lack of it policies and effective cyber laws
• lack of trust among customers: you have to deliver the item, safe and secure, in the hands of the right person in perfect time frame. Regular post doesn\’t offer an acceptable service level. Couriers have high charges and limited reach. At first, you may have to take insurance for high value shipped articles increasing the expense.
• indian people (especially females) have tendency to deal the items, which is not feasible in ecommerce.
• different nearby languages and social elements
• lack of awareness and understanding of the value of e-commerce
• continuous change in technologies, emerging new technologies
• not sure of item quality
• need to sit tight for delivery once item is ordered since widely spread regions
• no critical rebates on the items to purchase
• shipping expenses are high due to huge geographical area
• security. Ensuring security of payments and protection of online exchanges is key to the widespread acceptance and selection of e-commerce.
• internet expenses: to depend on speed, data transmission of internet (approximately around 1.6 million households connected to the internet)
• financial expenses – for putting away data, persistent change of technologies, processing orders
• taxations: octroi, entry assessment, vat and heaps of state specific structures which go with them. This can be confounding at times.
The most critical element that is necessary in developing e commerce in india – trust. On the off chance that we take a gander at the indian context, i feel that there is a general absence of trust between retailers and customers. Consumers don\’t believe the retailers because they feel that they are either being over charged or that they wouldn\’t be able to get appropriate level of customer service once the sale is complete. Retailers don\’t believe the customers because they feel that the customers will take every chance to misuse the return or exchange policies. It is my assessment that this general absence of trust is the essential barrier that is impeding the development of e commerce inside of india. Here are some of the viable techniques that online retailers can employ to improve this level of trust and manufacture an environment where customers feel safe in clicking that “proceed to checkout” catch.
...(download the rest of the essay above)