Introduction: Despite a few hiccups in its initial stages in India the e-commerce section is blooming like never before even during the pandemic when every offline business was suffering, instead of facing the same fate e-commerce saw the opposite and saw the growth of 26.7 trillion worldwide. Today though many people still prefer COD quite a people prefer the safer online payment. what represents the increasing trust among customers what might suggest growth potential in the next few years. Even the tier 2 and tier 3 cities are taking advantage of this,
In this article, we will discuss what is the scope of e-commerce in India In the near future? why it is so ? and what threats it might face?
What is E-commerce?
E-commerce or electronic commerce is a system where goods are sold and brought via electronic media what is in our age Internet. Here payment is done in both online and offline mode.
4 types of E-commerce:
B2B(Business to Business)
If a product is sold to another business with the sole purpose of it being used as a commercial item it is called B2B business. Here businesses are working together and no end-user. So it just includes the people like producers, wholesalers, retailers, etc.
B2C(Business 2 Consumer)
Here a product is sold directly to the consumer, and the business is in direct touch with the end-user
B2C(Buyer 2 Consumer)
Here a product is sold directly to a consumer from its buyer. Here organization is present and the buyer sells his own merch or pre-owned products to another person, like people when they sell their product on eBay.
C2B(Customer to Business)
When a customer sells his product to a business it becomes a C2B transaction. For example when an IT consultant sells his product to an organization.
What is the scope of E-commerce:
The increasing coverage of the internet, the people with people access to smartphones and pc and the love of technology in the current generation surely supporting the statement that E-commerce has a bright future above all there is statistics are supporting that. Just from 11.3% in 2016 to a whopping 18% growth has been encountered in 2018 building a $2.86 trillion industry. Claiming that it will continue to grow giving exponential profits to the sellers in the future. Here are the reasons.
Why the future of E-commerce is bright the reasons are:
The increasing popularity of online
At first, COD increased the popularity of E-commerce being the safest option available back then but now more and more people are realizing the benefits of using a credit card and the discounts they can get over each purchase they are more and more considering online purchasing instead of a physical store. As the popularity of credit cards is increasing each day the increasing popularity of E-commerce will also increase.
Growing internet coverage
As the internet is penetrating some of the most remote places the internet population is also growing most of the people of those places will soon be using online shopping. Places, where physical stores are unavailable E-commerce, will turn out to be a blessing to them. This new wave of people will bring an opportunity to the business where they can be converted into long-term trusted customers.
Better user experience
Most of the time user experience of E-commerce platforms are superior to offline mediums like special offers, free trials, easy returns, same-day delivery, etc. Which are mostly absent from offline stores what made even people even from tier 3 cities choose online over the physical stores. Taking advantage of that nitch downed e-commerce business like Nykaa and Robu has bloomed in a very little time. Seeing events like this it won’t be too wrong to say e-commerce in India and worldwide still hold enormous growth opportunity despite looking saturated.
The increasing popularity of affordable smartphones
With the increasing popularity of smart gadgets people have access to online stores 24*7, this is another why it has a bright future. It helps them check reviews and stay updated every time it suggests that there is a clear opportunity for influencer marketing of your products via youtube and Instagram.
Most E-commerce platforms give safe delivery to every product. People who want to bring their product without damaging it prefer online medium. As the delivery system of e-commerce platforms are evolving more and more people and considering online shopping. In the post-pandemic world where health safety is another concern people are considering online more often. Knowing that it is not hard to imagine that the best time to be a part of this digital revolution is now using your own E-Commerce platform and build a community of faithful customers. The better time would have been Pre Pandemic time but you still have time before someone else capture the opportunities before you.
E-Commerce trends of the future:
The pandemic situation has proved how E-commerce can experience exponential growth in no time. Even with all that growth, it has a huge untapped market world so it still has so much potential and it hasn’t reached its peak yet. let’s see what can be its future trends.
Rise of social media influence
Already many social media platforms are promoting their own online store and many others are coming into it day after day. A wave of Mediapreneur can also be seen in recent years where they are promoting their own merch. sponsorships and affiliates also ever-increasing like never before and there are clear signs that they will keep growing every minute.
The arrival of Delivery Drone
Same day delivery system will leap further into the future with its new and enhanced Delivery drone system it will not only decrease Co2 emission, but it will also be the fastest and human error-free system. Though it was supposed to come by 2019 from Tech Giant Amazon but for some internal reasons we haven’t seen many of them. Despite that some of that this trend is not that far yet, As some of the food delivery services have already started delivery using drones and it will only increase. The use of this technology will further increase the scope of e-commerce.
Influence of A.I.
this would be another major change in the E-commerce world, Where A.I. will be deciding UI/UX, design, Website, managing accounts, and doing marketing. It gets clear when we see the recommendation system of online shopping platforms. The role of A.I. will be inevitable in the future and investors are always up to improvise their system and this is the only way of it. Soon it will be doing automation of repetitive works and possibly even beyond. Using the data A.I. will be more useful day by day and it will be attracting and converting more sales figures in the future using the preferences and data of the customers.
Mobile devices are literally the future of the internet so many E-commerce platform owners are switching to the app from despite having websites there is a possibility that some of the biggest online shopping sites go app-only in the near future. Knowing that it isn’t so hard to imagine how amazing it will be to have your own app and grab the opportunities for yourself ASAP.
New modes of payment
Instead of using Cash people are using Paypal and other scan to play apps. In the near future, cryptocurrency can become another mode of payment
other trends of future
- omnichannel experience where people will be able to buy products from physical stores, online without waiting
- VR will let people see videos and photos in online description in 360 digree
- search by image will be a norm
- Inter of things will increase vastly
Possible threats to the future of E-commerce:
Everything has its faults even though it a little bit E-commerce has its flaws like
- Each e-commerce business will see a lot of competetion and risk market satuaration
- Its a hard task to peform online branding and marketing properly
- Delivary is another important aspect and this is where ,most of the human error happen what make you loose reputation as a brand and sometimes being blacklisted on the e-commerce side
- It is hard to choose what will cater to your target audience and what will make them feel awfull.
hope we could help you understand the what is the scope of e-commerce in the near future though it comes with some difficulties they can be ignored by the endless opportunities of having an E-Commerce website of your own can bring as here you will be creating your own community of nitch down market. If you are still confused I would ask you to go through that article again, you will defeatedly understand it this time.
have a great day !!