In a new study by PayPal, it was revealed that online shopping will continue on. The average Indian online consumer loves shopping online and is showing no sign of stopping. In fact, the trend of online shopping is likely to bring more consumers to online retail platforms.
A study conducted by ASSOCHAM – Resurgent India says by the end of 2017, the number online consumers will grow and exceed 100 million. And, by 2018, the ecommerce retail market is likely to experience a 65% rise in growth.
More people are participating in the Indian ecommerce sector. This has giving rise to more employment opportunities to entrepreneurs in ecommerce.
Demonetisation won’t stop people from spending
The advent of demonetisation may have brought down sales. But that was only for a little while. The reduced cash transactions have given online payment services the chance to develop and grow. According to the study, 69 million consumers made online purchases and in 2017, this is likely to exceed 100 million this year.
Why will people buy more online in 2017?
Online purchases are expected to increase this year due to:
- Increased digital natives
- Improved logistics (infrastructure)
- Internet-ready devices
- Availability of broadband internet
All of these factors are fuelling the demand for ecommerce in 2017. Based on the results of the study, Bangalore shopped the most online in 2016 and after it came Mumbai and Delhi.
The ASSOCHAM study also talks about the prospects of 2018. It reveals that Indian online retail is expected to earn $17.52 billion.
Total retail sales have grown at a rate of 15% and mobile sales will reach 45-50% in 2017. Mobile retail contributes to 50% of sales online and in Tier II and III cities more and more people chose to shop via mobile phones.