Indian women’s contribution to Ecommerce to rise from 26% to 35% by 2016

2013 witnessed a tremendous expansion of the ecommerce market with total sales of $2 billion. With increasing internet penetration and availability of more affordable tablets and smartphones, online shopping is accessible and preferred by more people across all sections of society.

Women contributed to 26% (half a billion dollars) of the ecommerce revenue in 2013. A significant increase to 35% (3 billion dollars) is predicted by the year 2016 (total sales of $8.5 billion in the Indian ecommerce market) with more women, especially working women, turning to online shopping, due to the convenience and ease of online shopping.

Traditionally, mobiles and electronics had more potential for profits in the online shopping scenario. However, last year saw the rising popularity of fashion and apparel segment with total sales of $559 million. This is expected to increase to $2.8 billion by the year 2016.

Contribution of women to fashion shopping portal Myntra’s sales rose from 20% to 40% last year. Though men contribute more to overall sales currently, women are expected to contribute 50-55% with the introduction of new private labels which will attract more women to make online purchases.

Increase in the number of women online shoppers

Online women shoppers have increased, especially with fashion and apparel purchases, last year due to the following reasons:

• Ease and convenience- Women are busier now with balancing time between home and work and most times do not have the leisure of going to a physical shop and browse through items to choose the required product. With online shopping, they can shop anytime and anywhere without having to waste time on travel.
• Recreational and relaxing– Online women shoppers no longer have to rush or get pushed around in the case of a huge sale. They can shop as much as they want, at whatever time and from wherever they want to.
• Availability of measurement and size guides- It is a known fact that women are more finicky about fitting than men when it comes to products like clothes and shoes. Finding the right size is more important than sometimes even the price of a product. The initial skepticism of ’How can I buy a dress without trying it on?’ is changing with shopping portals offering size and measurement guides using which women can make purchases.
• Return and Exchange policy– Most sellers offers convenient refund and return policies, sometimes even full cashback for returns. This again helps to rid of shoppers’ hesitation and reluctance in case of doubts about a product.
• Access to brands and variety of options– Everyone is exposed to advertisements of products on TV and social media now. Without the physical store of a brand in a locality or city, women can still shop for them through online sellers.
• Comparison of options– Most women like to explore all options before deciding on the final purchase. The hassle of going to different stores to check out options can be avoided in online shopping as everything is in one place and one need not move to check out the various options.
• Deals and promotions– Women like to take advantage of discounts and sales when they can buy more without spending too much. Online shopping sites offer more discounts and offers nowadays which they can avail of at their convenience.
• Reviews from other shoppers– Women like to be re-assured of their choices when making a purchase. The reviews from other purchasers of the product help them to gauge their choice and proceed with the purchase.

Popular product segments among women

Registering exponential growth in the last two years, online women shoppers find these product segments the most appealing:

• Apparel
• Jewellery
• Home Décor
• Baby products
• Lingerie

With more working women, domestic ecommerce is expected grow by 63% in the next three years.

Opportunity for Indian Online Seller dealing in products for women

Like everyone else, women are also becoming more dependent on their tablets and smartphones so they can be connected to the world even while on the move. Moreover, retail therapy is an accepted solution for women to feel rejuvenated. So what can be better than the convenience of being able to do that whenever and wherever!

Women are open to exploring choices, so a new seller can easily win over the target segment with good quality products. Existing sellers can rely on the positive reviews from other customers as well to influence the buying decision of women shoppers.