When we purchase a service or product through internet with an electronics media, it is called “Online Shopping”. Basically online shopping is divided into 2 categories: Travel/Tourism and Online Retail Business. Travel/Tourism websites are like Makemytrip.com, IRCTC.com, Bookmyshow.com, Paytm.com and Yatra.com. These all sites provide some kind of either tickets or service. Like Paytm.com helps to do online recharge while makemytrip.com helps us to make Air/Bus/Rail ticket. Online Retail Websites are those, from where we purchase a product and the product is delivered to our doorstep. Like Flipkart.com, eBay.com and Amazon.in. These websites have a wide range of verity of products and brand. They deliver the purchased goods to our doorstep. Online Ticketing/Tourism/Services contribute 75% to the total revenue.
The growth rate of Online Shopping is gaining pace in India. India is 3rd largest country in this race lacking behind only USA and China. The growth rate of Online Shoppers is more than 30% while world’s average growth rate is just 6-7%. You may be wondered to hear that only 11% of India population is using Internet and only 10 million online shoppers. Think about the number of online shoppers, if 50% of India’s population gets start online shopping. The revenue generation was $2.5b in 2009, $6.3b in 2011 and $14b in 2012 and it is expected to reach to $24b by 2015. It is expected to contribute 4% to our GDP by 2020.
Below figure shows the distribution of Online Retail Shopper in India. We can see the most of the customers around 34% go for Electronics and 30% purchase apparel and accessories online. 3rd and 4th ranks are occupied by Books and beauty products. (Source: The Business Line, Jan 28 2013)
Reasons behind the popularity of Online Shopping in India are following:
1. Internet users are increasing at a rate of 20%.
2. Some specific product may not be available in local market.
3. In online shopping website, we can find a wide of verity and brands. So we can choose the best and cheaper among all.
4. We get discount and other incentives through online shopping, which is generally not available in retail shop. Like Flipkart.com provides 30 days replacement guarantee.
5. We have a busy life schedule. To book a Railway ticket at Ticket Counter may consume entire day but we can book the same ticket online within 2 minute (considering makemytrip.com). So we can save our time through online shopping.
6. We have multiple payment options. So no tension of cash.
7. We get cash on delivery, free home delivery and many other incentives, which are very attractive.
By June 2013, Myntra.com got more than 13 million unique users and Flipkart.com got more than 12 million. Below image shows numbers of unique visitors to the following sites. (Data has been taken from ComScore.com)
There is huge opportunity and gap in Online Shopping Business India. As foreigner players like eBay.com and internet giant Amazon.com is eying for FDI in online business, competition will be become tougher. Right now Amazon.com has entered but does not sell its own product. It has just given platform to online sellers just like ebay.com. Flipkart.com, Snapdeal.com and Infibeam.com have begun their C2C business. So they trying to give a third party seal and earn more revenue. They take some commission to sell the product on their platform. The rate of Internet users and Online Shoppers are very high. We can say that Indian Online Shopping Business is in its Growth state while World’s is getting mature. And other factor that will affect this business is younger India and Smartphones. As these online shopping websites are getting funds/investment of million dollars from Private Equity Firms, they will grow more rapidly and their penetration to Indian markets will reach more deep.
1. Hindustan Times. 31 December 2012. Retrieved 31 December 2012.
2. The Business Line 28 January 2012
3. Issued report of ComScore.com dated August 2013.
5. Forrester Research Inc.
This article may also useful for
1. Advantages of Online Shopping Website
2. Why online shopping market is growing in India
3. Online VS Offline Shopping
4. Indian Online Shopping Websites and their performances
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We’ve made bold changes at eBay in the last year. We’re building a new shopping experience for our customers that’s starting to come to life. We began this multi-year journey to replatform eBay in 2015, with the goal of delivering relevant and personalized experiences to our consumers—so every person who shops on our platform can find their version of perfect.
We’ve evolved the shopping experience by applying artificial intelligence at scale, leveraging augmented reality and driving a distributed commerce model. Below, I’ve outlined the ways we’ve evolved eBay’s shopping experience, and where we’re heading.
The biggest advantage of shopping on eBay is the unparalleled selection and value of the more than 1.1 billion listings on our marketplace. From brand new to vintage, if it exists in the world, it is probably for sale on eBay. As we move forward, we will hone in on an even more tailored experience, making shopping easier and more intuitive.
Technology That Redefines Shopping
We have heavily invested in AI across our platform. You can see this powering many of our efforts at scale, including those in personalization and image recognition. We use AI to find patterns and trends across our massive data sets, so we can deliver highly personalized results and help shoppers find the things they really want.
At the heart of the reimagined shopping experience is our structured data effort, which provides insights into more than a billion items on our site. And, when paired with decades of data on the buying preferences of millions of shoppers, it enables us to explore new paths of personalization and inspiration.
- Our new browsing flows and standardized product pages allow users to see relevant items unique to them, based on their shopping behavior.
- A new discovery-based homepage delivers a highly personalized experience.
- Structured data across our Motors category enables you to buy tires in the U.S. or Germany and have them professionally installed in your local area.
- Computer vision makes the entire internet shoppable from your mobile device. Last fall, we launched Find It On eBay and Image Search on the eBay app, which lets you use pictures to search our marketplace. Whether it’s a photo you snap in the world around you or an image that inspires you on your favorite blog, our AI helps you quickly find the things you love.
- We’re meeting our consumers on their social networks. eBay ShopBot is our AI-powered personal shopping concierge on Facebook Messenger that helps people find the best deals.
- Through conversational commerce, we enabled shoppers to “Ask eBay” on Google Assistant, so finding the items you want is as easy as asking a friend.
- Our Seller Hub is mobile-friendly, highly customizable and offers real-time recommendations. It arms sellers with meaningful guidance on pricing, restocking and sourcing.
- By revamping our API platform, we’ve made it easier for our developer and seller partners to grow and scale their businesses, giving them the tools to quickly integrate with eBay and onboard all their inventory using retail and industry standard practices.
The investments in new technologies that we have made and the new model of shopping we are working toward are already making an impact across our business. We’re seeing an uptick of traffic landing on structured data enabled pages and strong conversion on SEO. And the eBay app has the best reviews in its history.
And to really underscore the experience we’re building, we will begin to intermediate payments on our platform. We believe that it is strategically important to improve the buyer and seller experience on our platform and will enable us to further innovate on behalf of our customers.
Our improved shopping experience is bolstered by new services and features that increase shopper confidence in the items they are buying.
A Culture of Innovation
Another key element is our focus on promoting a culture that allows our technologists—and employees across the company—to think bigger and innovate. We hold an annual Hackweek where teams from around the world spend a week focused solely on creating, inspiring and showing their own projects to mentors and sponsors around the company.
Many of the ideas that begin at Hackweek have become integral parts of product portfolio. Two years ago, a team at Hackweek had an idea that used image recognition technology to search using pictures instead of words, which paved the way for Image Search.
Forging a New Path
The cutting-edge technology that we are investing in will redefine ecommerce. Shopping will be more conversational and personal. When you come to eBay.com or our mobile app, you’ll see a simpler, more intuitive way to shop. We will focus on key areas of our shopping experience, including search, delivery and returns, customer service and payments.
In 2018, we'll focus our AI capabilities on computer vision, personalization, search and dynamic pricing capabilities for our sellers. AR, VR and mixed reality are becoming viable platforms for development and we will take advantage of their unique capabilities to deliver immersive and engaging buying and selling experiences.
We will also use AI to sharpen the overall search experience, leveraging data and AI to improve our recall and relevance. And we’ll use AR to merge the online and the physical. We’ll open a world of possibilities with computer vision.
We’ll use structured data in a more holistic way than we’ve done before to take the next step in transforming the user experience on our platform, by launching a full product-based commerce experience for relevant inventory.
We will begin the work to unify conversational commerce with our core shopping experience, providing seamless voice or text assistance when needed within our desktop and app platforms.
Over the next year, you’ll see eBay forge a new path—not just for our company, but for the industry at large.