80 percent of all e-commerce businesses fail to make it past the first year. The Indian retail market has especially been unable to prosper in the e-commerce market. Tough competition from e-commerce giants, high website costs, and a lack of technical expertise have held the average Indian retailer from cracking online success.
Today, the country has over 500 million Internet users and is the second-largest market for mobile devices. 50 percent of Indians will prefer to shop online by 2026, and Indian retailers will have no choice but to get on board with the changing consumer habits.
The Indian online shopping market will grow by 84 percent in the next four years.
Enter V-commerce. Video commerce is using video call technology to sell your products or services to customers by providing a real-time shopping experience. For the Indian retailer, it is the perfect opportunity to reconnect with their clients who may have vanished because of the multiple lockdowns and COVID-19 restrictions that have clouded the Indian retail industry for almost two years and is still in the recovery phase. Many small and medium enterprises had to permanently shut shop.
V-commerce for the Indian Retailer
● Video calling feature enables retailers to connect with genuine customers
● It empowers the retailer to sell directly to their target audience
● Grow the business with virtual branches across locations
● No need to build an expensive website or incur high maintenance costs
● No need to face the tough e-commerce hassles
● Flexible and ready to use video store & catalog
The Indian customer is inherently frugal with their spending, and they are not quick to trust online retailers unless it is a big brand name like Amazon. The impulse buyers always opt for the COD option but cancel at the last minute, which means a high rate of returns and shipping costs for the retailer.
56 percent of Indian shoppers abandon their online carts after browsing.
V-commerce for the Indian Customer
● A virtual in-store experience
● Shop from anywhere across India
● View the product real-time over video call before purchasing
● Find local stores in your area easily
● No more boring catalogs
Video shopping provides the customer with an in-store experience, and they get the opportunity to view the product before purchasing. But video tech is expensive. The complex infrastructure integrated on a website can cost up to Rs 5 lakh in the Indian market.
Software as a service or SAAS is a way to deliver applications over the internet. You do not need to spend money installing and maintaining software, and you can simply rent it online for a cost. Shopify was able to bring many Indian SMEs online by offering them a cheaper way to use e-commerce.
SAAS integrated v-commerce can be the wholesome ecosystem that the Indian retail industry needs right now. Retailers can opt for a monthly subscription instead of paying a huge fee upfront with additional maintenance fees.
A new player on the market, Bigbox is offering Indian retailers a chance to get onboard the v-commerce wagon by providing a SAAS v-commerce model for a mere $30. This means no more website building and maintenance headaches, fighting for visibility on an over-crowded e-commerce marketplace, or worrying about customers canceling their orders.
Why SAAS for Video Commerce
● Indian retailer spend a bomb on building websites. So there is always a need for cost-effective selling options.
● V-commerce (Video call technology) is a high-cost development framework and Indian retailers cannot build video call technologies themselves.
● This is where SAAS helps, where the video call or video store is available for an affordable cost per month, which breaks the entry barrier for Indian retailers to set up their own video calling store.
● Through v-commerce, since customers view the product before purchasing the conversion rates are way higher compared to traditional e-commerce websites
The COVID-19 pandemic has changed the way we live. Shopping, studying, working, and even our recreational activities have all shifted online. Yet, the average Indian shopper has expressed their lack of trust in online marketplaces. They miss shopping in real-time with the opportunity to hustle for bargains and discounts.
V-commerce is definitely the right solution for the Indian retailer who has been unable to run a successful online e-commerce business. Indian Retailers are known for their innate sales skills and their ability to connect with their customers. With an integrated video platform, they can once again play to their strengths instead of worrying about high website costs, low conversion rates, zero online visibility, or creating viral social media content.