Online shopping is probably one of idea of 21st century. It has become the favorite mode of shopping for majority of youth and is now even expanding over to all age groups.
Reason for Rapid growth of E-commerce!
Online shopping business has skyrocketed in the last couple of years and there are various factors which contributed to its success. The major reason being the vast collection offered on these sites. You can fulfill all you shopping needs just by visiting a website from the comfort of your home. The sites offer you everything from a hair clip to a full furnished house.
Also one of the key factor is the competitive prices offered online which is at least 10-20% less than the outlet store for obvious reasons as there are not much operational cost for the online websites which are operating easily through a website. The cost effectiveness and the various shopping festivals which provides really high discounts has attracted a huge amount of crowd especially in developing countries like India and China. The exponential growth of companies like Alibaba(China) and Flipkart & Snapdeal in India gives you the insight into how big this industry has become.
Amazon which is world’s biggest online retailer has also started it’s operation in India understanding the wide potential of costumers it can tap into in the developing economies. There has been a growing trend many people are coming up with startups to tap into the huge customer base craving for big discounts and the shopping comfort available on this websites.
Along with the huge collections and discounts one other major factors is the comfortable shopping experience that they provide. I mean literally if you are travelling and getting bored you can browse through the sites order whatever you want and it will come right at your doorstep, I mean you won’t have to invest any extra time in going for shopping. Also the e-retailers offer 15-30 day return policy, so if you don’t like a product just return it and you will be credited back with the money you paid no questions asked.
Effect on Market
The radical rise in for the e-commerce sites has brought same controversies along with them as well which including strong handing the dealers and pushing them to cut down on their margins and offer immense discounts. In growing economies, the small retails outlet stores or the so called brick and mortar shops are literally fighting for their existence. With the rapid technological growth more and more people are getting access to internet which in turn is bringing in more business for e-retailers. In some countries government is intervening to preserve the business of brick and mortar shop but the attraction towards e-commerce sites is rising exponentially due to the ease and comfort of shopping provided by them.
What future holds
As of now the future of e-commerce seems bright and shiny. There is a lot of potential for this industry to grow and according to studies there would be about 30-40% growth expected in 2015. There is a lot of new players who might make their entry to tap into this rapidly rising industry giving more options and more cost effectiveness to the consumers.