Mobile Shopping Will Account For Over 65% Online Sales In 2015
The year 2014 has been a great year for Indian ecommerce. From Flipkart’s $11 Billion valuation to Snapdeal’s recent $627 million investment, from Myntra’s acquisition to Amazon’s $2 Billion investment in India, Indian e-commerce market has seen exponential growth in all corners of the sector.
The Indian eCommerce industry, one of the fastest growing markets, currently pegged at Rs. 68,000 Crore ($11 Billion) is expected to cross Rs. 1, 25,500 Crore ($20 Billion) in 2015. The biggest contributor to this growth can be attributed to mobile. With over 50% of the sales coming from mobile and set to grow even more, Indian mobile commerce is poised to reach unprecedented heights.
Among the eCommerce companies in India Flipkart is the undisputed market leader in the Indian E-commerce scenario with sales close to $2 Billion but companies like Snapdeal, Amazon are not very far behind.
When it comes to the fashion industry, the fight for the Crown of the King of Fashion industry is heating up between Myntra (now a subsidiary of Flipkart) and Jabong, but looking at the recent numbers, Myntra is ahead of Jabong by just a tiny bit. And now Amazon has come into the mix as well.
Mobile is a completely different ball game all-together, where Snapdeal is the market leader with nearly 65% of its total orders through mobile devices according to Snapdeal’s CEO, Kunal Bahl, and looking to receive 75% of transactions from mobile by 2015. Here’s how different eCommerce companies fared this year in terms of total sales and mobile revenue and predictions on how the 2015-16 will look like.
Looking at these stats we can say that mobile is not the future anymore, it is the present. The new-to-net population is increasingly skipping the PC, getting its first exposure to the internet on mobile phones and is quickly discovering the joy of buying their favorite products directly from their mobile devices.
Looking at the current growth of mobile and the market share it holds (or will hold), it won’t be a big surprise if mobile first stores targeting mobile shoppers pop up soon. “With the number of smartphones users set to cross 400-500 million threshold, it’s no surprise that Mobile will constitute 80% of overall eCommerce sales in India in next 2 years” said Satya Krishna Ganni, CEO, MartMobi.
Although there are still many challenges that need to be addressed, the trend and the growth clearly signifies that the Indian shoppers have embraced mobile based shopping and the future looks bright for mobile.