NEW DELHI: Online marketplace Flipkart remained India’s most popular e-commerce platform in the three months to October, just nudging ahead of arch- rival Amazon India, which has spent hundreds of millions of dollars to build loyalty with Indian shoppers, according to the third version of the RedSeer E-tailing Leadership Index (ELI). Paytm, a digital payments and commerce platform, is also making its mark as a strong Internet brand, mostly on the back of its digital wallet.
Increasing internet and mobile penetration, growing acceptability of online payments and favourable demographics has provided the e-commerce sector in India the unique opportunity to companies connect with their customers, it said. Branded apparel, accessories, jewellery, gifts, footwear among the major hits on the e-commerce shopping, which is moving up fast on the mobile phones applications.
The E-Commerce industry is booming like never before, and this, coupled with high disposable incomes, has led to a spurt in the Internet culture that aims to change the dynamics of the brick and mortar modern retail segment. In India, the E-Tailing base is the market-place model, and its growth is being fuelled by the growing middle-class.
Flipkart score got a boosted partly because of an increase in marketing spending, customer anticipation of its flagship sales event Big Billion Days and a significant improvement in time taken to deliver orders. The e-commerce industry as a whole has significantly improved over the past six months
According to the latest version of the index, other e-commerce and Internet start-ups such as Snapdeal and Paytm also improved on their previous scores—their latest scores stood at 74 and 75, respectively. ShopClues and eBay’s scores came in at 58 and 56, respectively—roughly the same as in the previous quarter. The flip side of that growth, however, is that e-commerce companies are now struggling to keep up with heightened customer expectations.