GDSN: streamlining business

The 2024 festive season sales have kicked off with a bang in the Indian e-commerce industry, delivering a significant increase in both order volumes and gross merchandise value (GMV). According to data from Unicommerce, the initial four days of the sale (September 26-29) saw a 20 percent rise in order volumes compared to the same period last year. GMV witnessed an even more impressive 24 percent growth, highlighting a robust start to what promises to be a highly lucrative shopping season.

Key Growth Areas

Unicommerce analyzed over 1.3 million orders processed through its platform, revealing that fashion and accessories experienced a 32 percent growth during the first few days of the sale. Categories like travel accessories, watches, and kids' apparel saw the most substantial demand within the fashion segment.

Interestingly, makeup products recorded an outstanding 54 percent year-on-year (YoY) growth. This is indicative of a growing trend where personal care and beauty items are becoming more central to festive season shopping in India. Kapil Makhija, Managing Director and CEO of Unicommerce, attributes this surge to increasing consumer interest in self-grooming and beauty products during the festive period.

He noted, “Festive season sale has become an exciting phase of the year when everyone awaits the attractive offers and the extensive variety of products. While this continues as a trend year after year, we see an increasing number of brands participating in the sale season, affirming India's status as a digitally forward country.”

The health and pharma category was another star performer, registering a 33 percent rise in order volumes. Nutraceuticals and fitness supplements were the standout products, reflecting a growing focus on health and wellness among Indian consumers.

Home Décor's Surge in High-Value Purchases

While home décor saw only a slight increase in order volumes, the category reported an impressive 50 percent rise in GMV. This suggests that consumers are willing to spend more on high-ticket items, reflecting an overall improvement in purchasing power. Items such as luxury home furnishings and decor pieces were particularly popular, indicating a trend toward investing in quality products that elevate living spaces.

Phone accessories, books, sports equipment, and healthy snacks also experienced increased demand during the early sale period, proving that consumers are diversifying their purchases across various categories.

Riding High on The Big Billion Days Success

Flipkart, India’s largest e-commerce marketplace, also reported significant growth during the early days of its flagship event, The Big Billion Days (TBBD). The 2024 edition of TBBD, which began on September 27, attracted over 33 crore user visits during the Early Access phase and Day 1 combined. This reflects a strong festive enthusiasm from consumers across India.

Harsh Chaudhary, Vice President of Growth at Flipkart, shared insights into the platform’s success, stating, "Every year, the festive season in India kicks off with The Big Billion Days, which brings an entire ecosystem together to celebrate. This event is more than just a shopping festival; it is an opportunity that fosters growth, innovation, and collaboration at a national scale, while positively impacting the lives of diverse communities."

Chaudhary highlighted that early trends showed an increase in demand for categories such as mobile phones, food and nutrition, and grooming products. "At Flipkart, we believe in continuously raising the bar for what is possible in the digital economy while empowering everyone in this journey," he added.

Moreover, Flipkart observed growing demand from Tier II and Tier III cities, further cementing the platform's role in democratizing access to e-commerce across India. The company's ability to cater to a wide range of consumer needs, from lifestyle upgrades to everyday essentials, has positioned it as a leader in the festive sales season.

100 percent Increase in Day 1 Orders

While Flipkart celebrates its continued success, Meesho, India's only true e-commerce marketplace, has been making headlines with its stunning performance during the 2024 festive season. Meesho’s ‘Mega Blockbuster Sale,’ which began on September 27, recorded a 100 percent increase in Day 1 orders compared to last year. Additionally, the platform tripled its daily order volume, further establishing itself as a formidable player in the e-commerce space.

Megha Agarwal, General Manager of Business at Meesho, was elated with the results, stating, "We’re thrilled by the overwhelming response to day one of our Mega Blockbuster Sale. A heartfelt thank you to our valued sellers, brand partners, and loyal customers for this fantastic beginning."

The platform witnessed a record-breaking ~1.5 crore app downloads in the lead-up to the sale, making it the most downloaded app on Google Play Store. Nearly 6.5 crore customers shopped on Meesho during Day 1, with fashion, personal care, home & kitchen, and electronic accessories being the most popular categories. On average, 506 kurtis, 376 sarees, and 360 kids' wear items were sold every minute, reflecting a staggering demand for affordable fashion.

Meesho Mall, the company’s curated shopping experience, also saw ~2.5X growth in orders compared to last year. Notably, 45 percent of these orders came from first-time shoppers. Several well-known brands experienced exponential growth during the sale, with Mamaearth seeing a fivefold increase in orders, Denver witnessing an eightfold rise, and Swiss Beauty expanding by 7.5 times.

Tier II and III Cities Drive Growth for Both Platforms

Both Flipkart and Meesho have seen significant growth in Tier 2 and Tier 3 cities, which are increasingly becoming major contributors to festive season sales. These regions, often underserved by traditional retail, are experiencing a digital transformation, thanks to the expansion of internet access and e-commerce platforms.

According to industry experts, the growing demand from these smaller cities is driven by a combination of rising incomes and increasing familiarity with digital shopping platforms. As consumers in these regions become more comfortable with online shopping, e-commerce giants are focusing on providing a wide range of products tailored to their needs. From affordable fashion to everyday household items, platforms like Flipkart and Meesho are catering to the growing aspirations of Tier II and III city consumers.

What’s in Store for the Rest of the Festive Season?

With the festive season far from over, there are plenty more opportunities for growth. The next wave of sales will coincide with major Indian festivals such as Navratri, Dussehra, Karva Chauth, Diwali, and Bhaiya Dooj, ensuring a sustained momentum in consumer spending. As brands and sellers continue to offer attractive discounts and exclusive deals, the e-commerce industry is poised for another record-breaking season.

As Kapil Makhija from Unicommerce summed up, “The increase in both volumes and value highlights a robust start to the season’s sales, with many more days of festive season sales lined up in October 2024 to mark Navratri, Dussehra, Karva Chauth, Diwali, Bhaiya Dooj, and other festivities.”

Whether it’s fashion, beauty, health, or home decor, Indian consumers are increasingly embracing the convenience and variety that e-commerce platforms offer during the festive season. As the industry continues to evolve and adapt to changing consumer needs, the festive shopping season is set to be a win-win for both shoppers and sellers alike.

The festive smell is in the air now, building a sense of joy for many. Even for the fashion e-commerce brands in India. With exciting offers available online and a craving of shopping for the upcoming celebration, these two months are going to be a big blast. Here we are at your service. Get to know about the top 10 fashion e-commerce platforms in India. This Pujo, Navaratri and Diwali gift your loved ones with trendy fashion apparel and accessories. 

E-commerce giants like Amazon, Flipkart and more have launched their annual festive season sale. Marking a commendable growth graph. Fashion retailers are estimated to see a growth of 15 percent by 2025. Last year, 61 percent of shopping was on online platforms, making a 27 percent of year-on-year growth. E-commerce sales in India are projected to reach $12 billion this year. Increase of 23 percent from the previous year. 

Read more: Best Luxury Watch Brands in India For Women: Elegance At Every Tick

Boom of Shopping E-Commerce Platforms

E-commerce is seeing development in India due to factors including rising smartphone adoption, rising wealth, and affordable data plans, which are driving the expansion of e-retail. India is the world's second-largest internet market, with over 950 million users and 131.16 lakh crore UPI transactions in FY 2023–2024. 

In India, almost all pin codes have experienced the advent of e-commerce. In India, tier two cities and smaller towns account for over 60 percent of transactions and orders. Even in tier-2 and tier-3 cities, where they already account for three out of every five orders placed on the top e-retail platforms and nearly half of all customers, e-commerce is becoming increasingly popular. Tier-2 and smaller towns have an average selling price (ASP) that is only slightly less than that of tier-1/metropolitan cities. When measured by transaction value, the e-commerce market is almost entirely composed of clothing and electronics.

Read more: Top 5 Streetwear Brands in India with a Blend of Culture and Style

Top 10 Fashion E-Commerce Platforms in India

Wear new clothes and accessories or gifting them is the main point of enjoyment in this season. To make it simpler for you, here are the best fashion e-commerce platforms in India. 

1. Myntra

A popular lifestyle and fashion e-commerce brand in India. Myntra has a wide range of product categories. From clothing, accessories, and electronics to jewelry, personal care and more. It has another loyalty scheme - Myntra Insider. Availing the same, consumers can gain offers, discounts and priority delivery benefits. 

Mynta's big festival sale is live. Offering 50 - 80 percent discount on fashion shopping. Its top rated brands - levis, vero moda, only, tokyo talkies, the roadster & co, mochi, metro and more have huge discounts. 

2. Nykaa Fashion

Nykaa Fashion is a shopping e-commerce platform in India for women, men kids and products for home. Its fashion product range offers Western wear, Indian wear, Lingerie, sportswear, nightwear and more. Its products have gained a 100 percent authenticity tag. Brands associated send products directly to warehouses claiming originality. Housing more than 1500 brands with 1.8 million products along with merchandising. 

During this festive season, Nykaa fashion is all set and going with its grand festive sale. Providing up to 75 percent off on various items. 

3. Amazon 

E-commerce shopping platform catering for a variety of products. Clothes, footwear and accessories etc for women, men and kids. Amazon Fashion uses technology to assist customers to make a perfect choice while shopping. Its AI feature on the online site makes it easy for customers to make the right fit for fashion purchases. A massive product catalogue by amazon includes not just cloths but - electronic, gadgets, appliances, beauty, grocery, home decor and furniture and more. 

With more than 25000 new products launches, Amazon great Indian festival sale is all live, setting the stage on fire. The e-commerce giant claims to provide discounts ranging between 50 - 80 percent on fashion and beauty products. 

4. Flipkart 

Indian e-commerce platform with impressive customer-centric services and other loyalty programmes. Fashion items are not the only box they tick, Flipkart also offers electronics, furniture, appliances, groceries and more. The brand keeps a note of its customer experience. Giving discount offers and coupons on an extensive range of products. Elevating the time span of customers and making it economical and rewarding. 

5. Ajio 

Ajio is an Indian fashion and lifestyle e-commerce retailing platform. It caters to international brands, homegrown brands and pwned labels. It mainly focuses on clothing product line, but also offers electronics, home decor and more. Its USP is that it creates a shopping time capsule that a customer searches about over a while. It also has an in-house brand called Ajio Own. Keeping a note of the heritage of India, Ajio’s Indie collection has given a rebirth to Indian rich textiles. 

6. Meesho 

A fashion e-commerce platform in India, linking more than 100 million small businesses with customers. Connecting suppliers, resellers and customers through this online platform. It also allows people to sell products through social media - Instagram, Facebook and WhatsApp. A customer-oriented platform that ensures and words genuine customer reviews and insights. It serves products including - clothing, furniture, electronics and more. It has a whole new concept of retailing. Due to its reselling and online middlemen functionality. 

7. TATACliq

With an impressive customer base of online shoppers, TATACliq is a premium fashion e-commerce platform. With an extended arm of TATACliq Luxury which serves luxury goods. It gives customers an experience of phygital shopping, both online and offline. It also offers exclusive deals and discounts with hassle-free delivery. It sources directly from the brands, maintaining authenticity. Customers can also availl for coupons, cashbacks, bank offers and more of such benefits. 

8. Max Fashion 

A leading value fashion retailer. It is an omnichannel brand, dealing as an e-commerce platform through its website. Max Fashion focuses on offering not just clothing but also accessories and more at affordable prices. Caters to all men, women and kids wear. It makes a delightful shopping for every customer with world-class shopping experience. It believes in offering an exclusive size range for both men and women. It has detailed information about the products. Along with timely delivery and secure payment options. 

9. Lifestyle

A fashion e-commerce platform with latest trends. Lifestyle has a concept of providing customers to the fullest. Builds a connection with the customer by understanding their daily searches on the website. The kind of clothes a customer likes. It sets an example of how fashion has made its space in daily life. The platform offers clothing, accessories, beauty and home products, both, from international and national brands. It ensures the security of payment methods and authentication of the products. 

Pros of Shopping on E-Commerce Platforms

• Reduced expenses

Online merchants are able to pass on cost savings to customers by eliminating overhead. Finding good offers and comparing rates is also simpler.

• Easy accessibility

Consumers may purchase whenever and from any place, saving time by avoiding commuting.

• Large assortment

Comparing online and physical businesses, the former can provide a greater assortment of goods.

Cons of Shopping on E-Commerce Platforms

• Absence of intimacy

Online shoppers might believe that their experience is less tailored than in-person purchases, where they can engage with staff and other patrons.

• Security concerns

When making purchases online, customers could worry about the security of their personal information, like their credit card number and address.

• Wait periods and shipping costs

Customers may have to wait for their purchases to be delivered and pay shipping costs.

Read more: Explore the Top 10 Men's Formal Wear Brands in India

Top 10 Men’s Clothing Brands Every Stylish Man Should Check Out

Last Thought

This festive season, India is witnessing a whole lot of excitement on popular e-commerce platforms, with fantastic deals on fashion and lifestyle products. With latest ethnic wear to chic outfits with a smidge of the West, one can shop and pick out what they want from the comfort of their own home to ensure a hassle-free shopping experience. From large categories, all prices have been discounted to cater to the need for fashion-savvy people from all walks of life to find gifts and personal purchases that help bring along the festive mood.

Quick commerce has changed the way we shop. With fast deliveries and wide choices, it's no surprise that many players have entered the market. With just a few taps on your phone, you can have groceries, household items, and even electronics delivered to your door in minutes. Zepto is a big name, but many other brands provide similar or even better services. 

Recently, Zepto took quick commerce to a new level by offering iPhone 16 deliveries in select cities. This showcases their ability to go beyond daily essentials and provide high-end electronics, delivered in record time. Zepto’s promise of delivering products within 10 minutes has made it a favorite among consumers. However, Zepto isn’t the only quick-commerce player making waves. Other brands like Blinkit, Swiggy Instamart, BigBasket BB Now, Amazon Fresh, and Dunzo are strong alternatives. Let’s look at the top 5 Zepto alternative brands in India and what makes them stand out.

What is Quick Commerce?

Q-commerce is short for Quick Commerce and refers to the delivery of products to customers in a very short time, between 10 and 60 minutes. In contrast to classical e-commerce, which could take days, quick commerce aims at speed. That is the ability to have full and easy access to numerous products, including household items, groceries, and personal products. This service is relevant because it saves time, is convenient to ensure urgent needs for products, and creates a convenient shopping environment. As more people lead a rather hectic lifestyle, fast commerce is changing the way we consume products by delivering them within minutes.

Also Read: How Quick Commerce Has Made iPhone 16 Available within 10 Minutes

Q-Commerce Set to Surge with $6 Billion GMV in FY25

The Market Value of Quick Commerce

The quick commerce industry is emerging rapidly, especially in Indian geography. It is now a business venture in the billions, and it is expected that it will expand even further. The 2024 market size is estimated to be $3,349.00 million, with the market expected to hit $9,951.00 million by 2029, primarily supported by a CAGR of 24.33% from 2024 to 2029. This boom is so because many people are using the internet, especially those in urban centres. As per the current ICT rating in India, the user count in the quick commerce market of India is anticipated to reach 60.6 million, and the user penetration is set to rise from 1.8% in 2024 to 4.0% by 2029. Today’s customers want their products to be delivered faster, and as a result, business organizations are designing new systems to address this issue. The market is estimated to reach $64,442 million in the year 2024, while the average revenue per user (ARPU) is expected to be $127.70 in 2024. The emergence of new internet users and the augmenting urban population are also greatly contributing to Quick Commerce in India.

• Key Stat: Quick commerce in India is projected to generate $9,951.00 million by 2029 with 60.6 million users.

List of the Top 5 Zepto Alternative Brands in India:

Whether it's groceries, electronics, or household items, these Zepto alternatives are all competing to provide faster, more reliable deliveries, making shopping easier than ever before.

Also Check: Quick Commerce to Revolutionize Indian Retail Landscape with $10 Bn Gross Order Value by FY26

1. Blinkit (formerly Grofers)

Blinkit is famous for its lightning-fast delivery. They specialize in groceries and daily needs, making them a go-to choice for quick shopping. With 25,000+ products, they focus on fresh produce, snacks, and other daily essentials. Their delivery time, which promises to be under 10 minutes, is one of the best in the market.

• Key Feature: Ultra-fast delivery in under 10 minutes.
• SKUs: 25,000+ products focused on groceries and essentials.
• Strategy: Use of dark stores to keep stock ready for fast delivery.

2. Swiggy Instamart

Swiggy Instamart is part of the Swiggy family, so they already have a strong delivery network. Their service offers a wide range of products, from groceries to household items. With over 5,000 products, they focus on instant needs like snacks, dairy, and personal care. Swiggy Instamart uses its food delivery experience to ensure fast and smooth service. Which promises to deliver in 30 minutes or less.

• Key Feature: Fast service using Swiggy’s strong delivery network.
• SKUs: Over 5,000 products, from dairy to personal care.
• Strategy: Leverages Swiggy’s logistics for faster delivery.

3. BigBasket BB Now

BB Now is the quick-commerce arm of BigBasket, India’s largest online grocery store. They deliver essential products within 30 minutes or less. BB Now offers over 10,000 products, including fresh fruits, vegetables, and other household needs. They are well known for their large variety and reliable service.

• Key Feature: Large product variety from BigBasket’s vast inventory.
• SKUs: 10,000+ products, including fresh produce.
• Strategy: Combines big warehouses and small local hubs for faster delivery.

4. Amazon Fresh

Amazon Fresh is Amazon’s answer to the quick-commerce trend. They offer same-day delivery for groceries and household essentials. Amazon Fresh has a wide range of products, including fresh fruits, vegetables, dairy, and packaged foods. Their delivery can be completed within a few hours, making them a solid choice for busy customers.

• Key Feature: Same-day delivery with Amazon’s vast logistics network.
• SKUs: Wide variety, focusing on fresh produce and daily needs.
• Strategy: Uses Amazon’s global logistics and technology for efficient delivery.

5. Dunzo Daily

Dunzo started as a hyperlocal delivery service and has now ventured into daily essentials with Dunzo Daily. They promise deliveries in under 19 minutes, focusing on groceries, snacks, and drinks. With over 2,500+ SKUs, they provide an easy solution for those looking for fast, small orders. Their strength lies in their hyperlocal approach, allowing them to deliver from local stores quickly.

• Key Feature: Hyperlocal delivery in under 19 minutes.
• SKUs: 2,500+ products, focusing on groceries and snacks.
• Strategy: Hyperlocal delivery model for fast, small orders.

Growth Drivers of Quick Commerce

Several factors are driving the quick commerce boom in India:

1. Rising Urbanization and Nuclear Families: As more people move to cities, the demand for fast services increases. Smaller family units also prefer quick deliveries because they need fewer items but more often.
2. Consumer Demand for Instant gratification: Today’s customers want everything fast. The need for instant delivery is a major reason why quick commerce is growing. People no longer want to wait for days to receive their orders.
3. Technology Adoption and Smartphones: With more people using smartphones, it has become easier to shop online. Apps for quick commerce are user-friendly, and many people can place orders on the go.
4. Strategic tie-ups with local vendors: Quick Commerce companies work closely with local shops and vendors. This helps them keep products close to customers and deliver faster. They also use small, local warehouses, called "dark stores," to speed up delivery.

How Does Quick Commerce Work?

Quick Commerce works through a highly efficient system that focuses on speed and accuracy. Here’s how it operates:

1. Micro-Warehousing or Dark Stores: Companies use small, local warehouses called dark stores to store products close to customers. This ensures quick delivery as items do not need to travel long distances.
2. Location-Based Algorithms: Advanced algorithms help match customer orders with the closest available dark store. This reduces the time between order placement and delivery.
3. Real-Time Inventory Management: Companies use technology to keep track of stock in real-time. This ensures that products are always available, and customers only order what is in stock.
4. Gig Economy and Delivery Logistics: Many quick commerce platforms rely on gig workers for delivery. These delivery partners use bikes or scooters to quickly navigate through traffic and reach customers faster.

Quick commerce is all about efficiency, speed, and meeting consumer demands for fast service. Its rise in India is a reflection of changing lifestyles and the growing need for instant solutions.

What Sets These Brands Apart?

Each of these quick-commerce brands offers something unique:

• Speed: Blinkit is the fastest with its under-10-minute deliveries. Dunzo Daily also shines with a 19-minute promise.
• Product Variety: BigBasket BB Now has the widest range of products, including fresh produce, while Swiggy Instamart focuses more on instant needs like snacks.
• Logistics Power: Amazon Fresh benefits from Amazon’s massive global network, making it highly reliable for same-day deliveries.

Conclusion

If you're seeking a Zepto alternative, several great options are available. Blinkit offers ultra-fast delivery in under 10 minutes, ideal for those needing essentials quickly. BigBasket BB Now provides a broader selection of groceries and household items with reliable 30-minute deliveries. Other strong choices include Swiggy Instamart for snacks and personal care, Amazon Fresh for same-day deliveries, and Dunzo Daily for hyperlocal convenience. These brands ensure quick, easy shopping at your fingertips.

Do you like gaming? Are you looking for a gaming laptop? We have got you covered.  From gaming PCs to laptops, gaming admirers have seen a noticeable evolution. Within a decade, these laptops have become sleeker yet more powerful. The thrill you experience while playing these online games on your powerful machine is worthwhile. Whether you are a casual gamer, a hardcore gamer or a professional one, we have created a list of the top 10 gaming laptop brands in India. Finding the best gaming laptop can be confusing. so here we are presenting every specification of these brands. 

Read More: Best Earbud Brands in India: Your Sound Upgrade Awaits!

Top 10 Washing Machine Brands in India: Curated list (2024)

Factors to be Considered While Buying a Gaming Laptop

• Display size - The ideal screen size for gaming can be around 15.6 inches. In case you want a smaller version 13 - 14 inches should be perfect. 
• Storage - Usually the storage amount of a gaming laptop depends on what game you're playing. For occasional gamers - 500 GB to 1 TB, for moderate gamers - 1 TB to 2 TB and for professionals - 4 TB plus. 
• GPU (graphics processing unit) - Depending on the compatibility, performance and purpose. Choose the one that has the most amount of memory for a better experience. 
• Battery life - Efficient battery life is essential. A long-lasting battery can prevent your gaming laptop from being exhausted. Less battery life can affect the functioning of your laptop. 

Top 8 Gaming Laptop in India: Best Picks 

1. HP 

Why choose HP?

Delivering excellent experience to gamers, HP is affordable yet more functional. Blending in with performance and outstanding features. Offering outstanding options to gamers, HP has significantly made remarkable improvements in recent years. Its OMEN gaming laptop line has high-end performance. While the Victus gaming laptop line offers accessible power.

Best sellers: 

• HP OMEN 40.9 cm (16.1) Gaming Laptop 16

Memory and storage: 32 GB memory; 1 TB SSD storage

Operating Systems: Windows 11 Home

Graphic: NVIDIA GeForce RTX 4060 Laptop GPU

• HP OMEN 40.9 cm (16.1) Gaming Laptop 16-xd0020AX

Memory and storage: 16 GB memory; 1 TB SSD storage

Operating Systems: Windows 11 Home

Graphic: NVIDIA GeForce RTX 4060 8GB

• HP Victus 39.6 cm (15.6) Gaming Laptop 15-fa1227TX

Memory and storage: 16 GB memory; 512 GB SSD storage

Operating Systems: Windows 11 Home

Graphic: NVIDIA GeForce RTX 2050 Laptop

• HP Victus 40.9 cm (16.1) Gaming Laptop 16

Memory and storage: 16 GB memory; 1 TB SSD storage

Operating Systems: Windows 11 Home

Graphic: NVIDIA GeForce RTX 3050 Laptop GPU (6 GB GDDR6 dedicated)

2. Dell

Why choose Dell?

Dell is known for its reliability and durability. Experience gaming at a whole new level with cutting-edge hardware, powerful CPUs, and stunning visuals. With gadgets built for speed, accuracy, and the best possible gaming experience, you can realize the full potential of your gaming endeavors. 

Best sellers

• Alienware x16 R2 Gaming Laptop

Memory and storage: 32GB, 2x16GB, LPDDR5X, 7467MT/s; 1 TB, M.2, PCIe NVMe, SSD

Operating Systems: Windows 11 Home

Graphics: NVIDIA GeForce RTX 4080 12GB GDDR6 and NVIDIA GeForce RTX 4090 16GB GDDR6

• G15 Gaming Laptop

Memory and storage: 16GB DDR5, 2x8GB, 4800MT/s; up to 32GB (5600MT/s with AMD CPU); 1 TB, M.2, PCIe NVMe, SSD

Operating Systems: Windows 11 Home

Graphics: NVIDIA GeForce RTX 3050, 6 GB GDDR6 and NVIDIA GeForce RTX 4060, 8 GB GDDR6

• Alienware m18 R2 Gaming Laptop

Memory and storage: 64 GB: 2 x 32 GB, DDR5, 5200 MT/s, non-ECC, dual-channel; 1 TB, M.2, PCIe NVMe, SSD

Operating Systems: Windows 11 Home

Graphics: N18 QHD+ (2560 x 1600) 165Hz, 3ms, ComfortView Plus, NVIDIA G-SYNC + DDS, 100% DCI-P3, FHD IR Camera

3. ASUS

Why choose ASUS?

A technology-focused brand. Including one of the best R&D teams in the world, is well-known for its innovative and high-quality products. Near-silent cooling is the usp of Asus. A technology that helps the laptop cool down after rigorous use. A dual fan system with thermal design. It also offers exclusive SmartGesture technology, enabilng intuitive windows gestures on the touchpad. 

Best sellers

• ROG Zephyrus G16 (2024) GU605

Operating Systems: Windows 11 Home

Processor: Up to Intel Core Ultra 9 processo 185H

Graphics: Up to NVIDIA GeForce, RTX 4090 Laptop GPU

• ROG Flow X13 (2023) GV302

Operating Systems: Windows 11 Home

Processor: AMD Ryzen 9 7940HS

Graphics:  NVIDIA GeForce RTX 4060 Laptop GPU

• ROG Strix G16 (2023) G614

Operating Systems: Windows 11 Home

Processor:13th Gen Intel Core i9-13980HX

Graphics: Up to 1TB PCIe 4.0 SSD Storage NVIDIA Advanced Optimus

4. Acer

Why Choose Acer?

Acer gaming laptop has swift OLED. Giving a premium and captivating viewing experience. Pointing out the bright colors and sharp contract of images for a next level viewership. Its has instilled antimicrobial solutions to decrease the rate of microbes in high torch surfaces. The utility app named predatorSense makes it more convenient to look after the system, overclock, create macros and customize RGB. 

Best sellers

• Acer Nitro V Gaming Laptop Intel Core i5

Storage: 512 GB, PCIe Gen4, 16 Gb/s, NVMe

Processor: Intel Core i5-13420H Processor

Graphics: NVIDIA GeForce RTX 4050 with 6 GB of dedicated GDDR6 VRAM

• Acer Aspire 7 Gaming Laptop 12th Gen Intel Core i5

Storage: 512 GB, PCIe Gen4, 16 Gb/s, NVMe

Processor: 12th Gen Intel Core i5 12450H 

Graphics: NVIDIA GeForce RTX 2050

• Acer ALG Gaming Laptop Intel Core i5

Storage: 512 GB, PCIe Gen4, 16 Gb/s, NVMe Support up to 2 TB with dual M.2 slot

Processor: Intel Core i5-12450H

Graphics: NVIDIA GeForce RTX 3050 - 6GB GDDR6 Video RAM

5. Lenovo

Why Choose Lenovo?

Lenovo gaming laptops are designed for modern gamers and are the best setups available for players of any skill level. Combined with Legion Ultimate Support to get access to round-the-clock technical support, help with optimizing hardware and software, and other gamer-centric knowledge. Lenovo gaming laptops is a unique with VR-ready options, an innovative cooling technology that keeps your laptop humming, and optional overclocking possibilities.

Best sellers

• Lenovo LOQ 14th Gen

Processor: Fast & powerful Intel Core HX processors & NVIDIA GeForce RTX GPUs

Graphics: MUX Switch with NVIDIA Advanced Optimus

Opertating System: Windows 11

• Legion 5i 14th Gen

Processor: Powered by Intel Core

Graphics: NVIDIA G-SYNC

Opertating System: Windows 11

• Lenovo LOQ 12th Gen

Processor: lag-free Intel Core HX

Graphics:  NVIDIA GeForce RTX GPUs

Opertating System: Windows 11

6. MSI

Why Choose MSI?

Built with state-of-the-art graphics, overclockable CPUs, and innovative features. In order to optimize cooling and performance, this series makes use of its robust form factor. This is what a desktop killer looks like. In the areas of AI PC, gaming, content production, business & productivity, and AIoT solutions, MSI is a global leader. Supported by its state-of-the-art research and development capacities and customer-focused innovation, MSI has a broad international footprint covering more than 120 nations.

Best sellers

• Stealth A16 AI+; Copilot+ PC

Operating System: Windows 11 Pro and Windows 11 Home

Processor: AMD Ryzen AI 9 HX 370 Processor

Graphics: NVIDIA GeForce RTX 4070

• Titan 18 HX A14V

Operating System: Windows 11 Pro and Windows 11 Home

Processor: Intel Core i9 processor 14900HX

Graphics: NVIDIA GeForce RTX 4070

7. Razer Blade

Why choose Razer Blade?

Razer gaming laptops are well-regarded in the gaming community, many choose them. They may be more expensive than other models, but many adore their sleek looks, incredible performance, and unique features like RGB lighting that can be customized. There's also a small amount of brand loyalty thrown in. The Razer Blade laptops have improved throughout the years, pushes the limits of performance and design. It has an anodized coating for enhanced resistance and an aluminum unibody construction for longevity.

Best sellers

• Razer Blade 14

Processor: AMD Ryzen 9 processor

Graphic: NVIDIA GeForce RTX 4070

Storage: 1TB SSD (M.2 NVMe PCle 4.0 x4)

• Razer Blade 15

Processor: 12th Gen Intel Core i7 Processor and 13th Genn Intel Core i7 Processor

Graphic: NVIDIA GeForce RTX 4070; NVIDIA GeForce RTX 3070

Storage: 1 TB SSD; 1 TB PCle Gen4 M.2

• Razer Blade 16

Processor: 14th Gen Intel Core 

Graphic: NVIDIA GeForce RTX 4070; NVIDIA GeForce RTX 4090; NVIDIA GeForce RTX 4080

Storage: 1 TB SSD; 2 TB PCle 4.0 NVMe M.2 SSD; 4 TB + 4 TB PCle 4.0 NVMe M.2 SSD

8. Infinix

Why choose Infinix?

A pocket friendly brand with utmost special technology used in every gaming laptop. From computers to TVs, Infinix produces a range of reasonably priced goods. I was therefore quite excited when the firm contacted us to assess their budget-friendly gaming laptop. The company's first gaming laptop, the Infinix GT Book, is rather good for the money. 

Best sellers

• GT BOOK

Processor: 13th Gen Intel Core i9

Graphics: NVIDIA Ge Force RTX 4060

Storage: 32 GB LPDDR5x RAM + 1 TB PCle 4.0 SSD

• INBOOK Y4 Max

Processor: 13th Gen Intel Core

Storage: 512GB Expandable storage

• INBOOK Y2 Plus

Processor: 11th Gen Intel Core 

Storage: Up to 512GB NVME PCIe 3.0 SSD Storage

Know More: Top 10 Air Cooler Brands in India 2024: Ultimate Cooling Choices

Top 10 Smart TV Brands in India 2024: Best Picks for Retailers

Last Thought

Gaming industry has been gaining a lot of noise since the past few years. The evolution of gaming laptop are a witness to the same. Processor, storage and graphics are the center point of the whole gaming concept. Knowing the perfect fit to enhance your gaming experience, this list of top 8 gaming laptop brands in India is here at your service.  

Mostbet Withdrawal Review for Indian Users

Various betting enthusiasts in India who have been playing casino games and sports events also look forward to the withdrawals, which is a crucial aspect. Most bet https://mostbet.info.in/ is one of the popular betting sites available for players which allows users to seamlessly withdraw their funds to their desired payment methods. However, players can look at the reviews of previous users regarding withdrawals from this betting site, including withdrawal methods, time taken, and several other aspects. This review will be essential for both new and existing Mostbet users to provide them with more clarity about the withdrawal process at the sports and casino betting website.

Overview of Mostbet Withdrawal Methods

Mostbet is able to support a vast range of withdrawal methods, allowing bettors to withdraw their funds from their betting account without any interruptions. It has several withdrawal methods available such as Bank transfers, cryptocurrencies, e-wallets, and various others, with a minimum withdrawal limit of 1000 INR for most of them. Meanwhile, players can have a look at the list of available withdrawal methods:

• AstroPay Card;
• Ecopayz;
• Jeton Wallet;
• VISA;
• MasterCard;
• Much Better;
• Bitcoin;
• Litecoin;
• Ethereum;
• Paytm;
• UPI;
• Net Banking.

The minimum withdrawal limit is less for Ecopayz, where players will be able to pay Rs 700, while it increases to Rs 1500 for Ethereum. Depending on the method chosen by players to take withdrawals, it will be credited to their account, as the least time is taken across cryptocurrencies, while Bank transfers might take up to 48 hours to be completed.

Mostbet Fees and Charges

Mostbet does not charge any fees from the user when it comes to withdrawal, allowing them to receive all the amount they have in their wallet. However, it should be noted that depending on the chosen withdrawal method, players will have to give some charges while taking withdrawals from the same. This means if players have chosen Bank Transfer as a withdrawal method, the bank charges may be deducted from their actual withdrawal amount to be reflected in their account. This is also possible when it comes to cryptocurrency withdrawals, as the blockchain transfer fees may also be deducted from the same.

Verification Process at Mostbet Platform

The only way to take withdrawals from Mostbet site is to complete your account verification process. After players have created their account at Mostbet, they can follow the steps given below to verify their account and take withdrawals:

1. Go to the profile section and fill out the details asked by the Mostbet platform on the page.
2. Once the details have been filled out correctly, players can go to the account verification process and choose any of the preferred documents they want to upload.
3. Now, they can upload clear images to the verification page and submit them to be checked by the team.

Players will be shortly notified about their account verification status via their registered email or phone number, after which they will be able to make withdrawals. It is necessary for users to check their verification details before submitting, which will help improve the verification process.

User Experience and Feedback

Indian bettors have given highly positive reviews when it comes to taking withdrawals from Mostbet. The withdrawals from this casino and sports betting site are reflected in their desired account quickly compared to the others, and the charges are also comparatively low. However, players might face some challenges in withdrawals, such as delays, which might happen due to high load on servers, but they will also be reflected soon in their accounts. Overall, the reviews of this site when it comes to withdrawals have been highly positive.

Quick commerce in India is evolving at an unprecedented pace, with platforms like Zepto, bigbasket, and Blinkit leading the charge. The retail landscape is witnessing a transformation as these platforms make premium products, such as the iPhone 16, available to customers within just 10 minutes of placing an order. This trend reflects the growing demand for faster, more efficient delivery services across key cities like Delhi, Mumbai, Bengaluru, and beyond.

Zepto's iPhone 16 Launch

Zepto has added the iPhone 16 to its platform, making it available for 10-minute delivery in cities like Delhi, Mumbai, Bengaluru, Hyderabad, and Chennai. It is currently the only quick commerce platform offering this service in Chennai and Hyderabad. Customers in these cities can order and deliver the latest iPhone in record time.

Vinay Dhanani, President of Zepto said, “We’re thrilled to partner in bringing the latest iPhone 16 to our platform. With Zepto, we’re offering more than just speed—this is about delivering premium tech right to your door in minutes, providing an unmatched shopping experience in cities like Chennai and Hyderabad where we may just be the first to do this.”

Zepto’s “Fastest Sale Ever,” scheduled from September 22nd to 29th, offers users limited-time deals on a variety of products, including the iPhone 16, refreshed every 10 minutes. According to Chandan Mendiratta, Chief Brand Officer of Zepto, this sale emphasizes the thrill of finding real-time deals with the convenience of quick delivery.

bigbasket Sets New Delivery Record

bigbasket, a Tata Enterprise, marked a significant moment in the quick commerce industry by delivering an iPhone 16 to a customer in Bengaluru within 7 minutes of the order. The order, placed at 8:00 AM, was delivered at 8:07 AM, demonstrating bigbasket’s commitment to 10-minute delivery.

In a post on Linkedin, Hari Menon, Co-Founder and CEO, bigbasket said, “372 iPhones zapped by happy customers in just 100 minutes! Watch the real-time magic of our first iPhone 16 delivery this morning. And no need to panic, folks - our drivers aren’t speeding! Our perfectly placed dark stores do the heavy lifting. Safety first, speed second.”

“Today’s the day! We’re getting you the latest iPhone faster than your morning coffee. At 8:00 am, our first iPhone 16 order was placed on Bigbasket Now. By 8:07 am, it was already in our customer’s hands — with chocolates on the side to sweeten the deal. Yes, just 7 minutes from checkout to unboxing! We’re not just in groceries anymore, folks. This is our leap into the world of electronics, pushing the limits of quick commerce beyond daily essentials. And when we say "quick," we mean it. Stay tuned, there’s much more on the way!” he added.

This delivery highlights bigbasket’s focus on enhancing convenience and maintaining innovation in the on-demand delivery space. The partnership with Croma, one of India’s leading electronics retailers, has been instrumental in ensuring the smooth delivery of the iPhone 16.

Blinkit’s Partnership with Apple Reseller

Blinkit has also stepped into the quick commerce race, partnering with Unicorn Infosolutions, an Apple reseller, to deliver the iPhone 16 and iPhone 16 Plus. Available in cities like Delhi NCR, Mumbai, Pune, and Bengaluru, customers can enjoy the convenience of having the latest iPhone delivered to their doorstep within minutes of placing an order. In addition to swift delivery, Blinkit and Unicorn are offering discounts of up to Rs 5,000 on select credit cards and EMI options for customers.

Albinder Dhindsa, founder and CEO of Blinkit said, “We are partnering with Unicorn Infosolutions (the largest Apple Premium Partner in India) for the third year in a row to make the latest iPhone available. Customers in Delhi NCR, Mumbai, Pune, and Lucknow can get an iPhone 16 delivered within minutes.”

The partnership follows Blinkit's 2023 collaboration with Unicorn to deliver the 'Make-in-India' iPhone 15 series, which set the precedent for Blinkit’s continued foray into delivering high-end tech products.

With these developments, the quick commerce sector in India continues to revolutionize retail by offering unparalleled speed and convenience. Platforms like Zepto, bigbasket, and Blinkit are not only delivering everyday essentials but also premium products like the iPhone 16 within minutes, redefining consumer expectations in the Indian market.

Fast delivery is changing the shopping experience all together. It is no longer just a perk—it is a must-have—something customers expect. With e-commerce booming, global sales are predicted to hit $7.4 trillion by 2025, according to eMarketer. Fashion retailers are feeling the pressure, and keeping up with fast delivery is quickly becoming one of their biggest challenges.

Take India, for example. The fashion e-commerce market there was worth $14 billion in 2023, and it is set to grow to nearly $19 billion by 2030. It is growing at a rate of 34 percent every year, fueled by more people getting online, more smartphone use, and higher disposable incomes. But with this growth, shoppers expect more than just great products—they want them delivered fast. Many retailers, especially those with storefronts, are struggling to meet this expectation. That is where new-age marketplaces are stepping in and shaking things up, making it easier for brands to offer ultra-fast delivery without having to build out their own logistics systems.

These platforms are not just meeting the demand for speed—they are changing how we think about the entire shopping experience. Nowadays, people want their fashion items delivered almost instantly. A global survey by Localz found that 77 percent of shoppers expect their order within two hours or less. In India, it is even more intense—80 percent of shoppers are looking for same-day delivery, and more than half of them expect to get their order in just a few hours (Invespcro, 2023). This shift in expectations is pushing brands to find ways to offer faster service, and partnering with these fast-delivery marketplaces is the easiest way to do it.

The exciting part? The market for these platforms is still pretty fresh, so brands that get in now have a huge opportunity for a first-mover advantage. According to Market Data Forecast, the same-day delivery market in India alone is expected to reach over $10 billion by 2028. That is a massive chance for brands to solve the fast delivery challenge early on and stand out in a rapidly growing market.

Partnering with these new-age platforms is a game changer. Instead of worrying about how to offer ultra-fast delivery on their own, brands and storefronts can team up with these platforms, who already have the logistics and technology in place. It’s a win-win—brands get to offer quick delivery, and customers get the convenience they crave without the usual hassles. After all, 53 percent of shoppers have admitted to canceling a purchase just because the delivery was too slow (MarketingProfs, 2023). That is a lot of potential sales lost, all because delivery didn’t meet expectations.

What makes these marketplaces stand out is how they combine fast delivery with a smooth shopping experience. It is not just about getting the product quickly—they offer things like real-time tracking, easy returns, and even personalized recommendations. It turns what could be a frustrating waiting game into an experience that keeps customers engaged and happy. Imagine ordering your favorite outfit and having it at your door in under an hour—there is no doubt it is changing the way people shop.

For fashion brands and retailers, the key here is that they do not have to tackle this delivery issue on their own. By teaming up with these platforms, they can offer fast service to their customers, without all the costs and headaches of building their own shipping systems. That is especially important now that consumers expect things like free shipping (with 66 percent of them considering it standard, according to Inc, 2023) and ultra-fast service.

This is a big chance for brands to upgrade their game and provide something customers genuinely want. With the fashion e-commerce market growing like crazy and consumer expectations rising just as fast, getting in on these fast-delivery platforms could be the key to staying ahead of the competition. It’s not just about speed—it’s about making the entire shopping experience easier and more enjoyable.

The future of fashion retail is clearly moving toward faster, more convenient shopping. As the market keeps expanding, brands that partner with platforms designed to offer ultra-fast delivery are setting themselves up to succeed. They will be meeting customer demands, offering a smoother shopping experience, and gaining a huge competitive advantage in a market that is only going to get bigger.

In short, the message is simple: fast delivery is here to stay, and it is changing how people shop. Brands that move into this space by partnering with these new-age marketplaces are not just keeping up—they are getting ahead.

Authored By

Saurabh Gumber, Founder and CEO, VAMAZA MALL

India’s food industry has witnessed a remarkable transformation in recent years, with the packaged food market growing at an unprecedented rate. According to EuroMonitor, India is now the third-largest packaged food market in the world. In tandem with this growth, the e-commerce grocery segment has also surged, with monthly revenue surpassing Rs 6,800 crore in July 2024, marking a 12.1 percent rise from June 2024, as per ECDB. This remarkable growth is driven by the increased demand for convenience and accessibility, with more consumers turning to online platforms for their grocery needs.

However, a recent study conducted by Natfirst has uncovered significant compliance issues within this fast-growing sector. The analysis, which examined 2,871 grocery products listed on a major Indian e-commerce platform, found that 34.83 percent of products (approximately 1,000) had incomplete or inaccurate labelling information, posing challenges for consumers in making well-informed food choices.

The study revealed several critical discrepancies in the labelling of pre-packaged food products. These issues ranged from inconsistent or missing net weights to illegible barcodes and poor-quality product images. Notably, 65 products lacked multiple essential labelling elements, including the nutritional table, ingredients list, and net weight. Furthermore, 232 products featured images that were unclear or illegible, while 139 products did not provide a nutritional table at all.

Such lapses in labelling are a cause for concern, particularly in a country like India, where food safety and consumer rights are of paramount importance. The Food Safety and Standards Authority of India (FSSAI) has long mandated strict labelling and display regulations for pre-packaged foods under the Food Safety and Standards (Labelling and Display) Regulations. These regulations are designed to provide consumers with accurate and clear information, allowing them to make informed decisions about the food they consume. However, there is still a significant gap in compliance.

The Importance of Accurate Food Labelling

Food labelling is not just about adhering to regulatory norms—it plays a critical role in ensuring consumer safety and trust. Accurate and comprehensive labelling provides essential information on nutritional values, ingredients, allergens, and other critical details that help consumers make informed dietary choices. Inaccurate or incomplete labels can lead to confusion, potentially putting consumers at risk, especially those with specific dietary requirements or allergies.

Moreover, with the growing popularity of health-conscious eating, many consumers rely on nutritional labels to guide their food choices. A lack of clarity or missing information could hinder their ability to make healthier choices, undermining efforts to promote public health.

FSSAI Reactivates Draft Amendment Regulations

In response to the findings of the Natfirst study and the increasing pressure to ensure compliance, the FSSAI has recently reactivated the draft Food Safety and Standards (Labelling and Display) Amendment Regulations, 2022. These amendments aim to strengthen the labelling norms for pre-packaged food products sold through e-commerce platforms.

Under these revised regulations, e-commerce companies will be required to provide a clear image of the principal display panel of pre-packed foods on their platforms. This panel should prominently feature essential details, such as the product’s net weight, ingredients, and nutritional information. Additionally, all food products listed on e-commerce sites must display the manufacturer’s FSSAI License or Registration number, ensuring that consumers can verify the product's compliance with food safety standards.

The regulations also permit the sampling of food products at any point in the supply chain to ensure adherence to labelling norms. This provision will help maintain the integrity of food products throughout their journey from manufacturer to consumer, reinforcing consumer confidence in the safety and quality of the food they purchase online.

The Need for Retail Intelligence Solutions

The findings of the Natfirst study underscore the urgent need for retail intelligence solutions to ensure real-time compliance with FSSAI norms. As Ravi Putrevu, Founder of Natfirst and TruthIn, emphasized, “Maintaining high-quality food labelling standards is an ongoing challenge, especially with millions of products being sold each month across diverse sales platforms. Regulatory compliance must be ensured not only in the domestic market but also in international markets where Indian food products are exported.”

Retail intelligence solutions can help bridge the gap between regulatory requirements and actual compliance by automating the process of monitoring and verifying product labelling. These solutions can provide real-time insights into product listings, flagging any discrepancies or missing information and helping e-commerce platforms and manufacturers correct these issues promptly.

Additionally, these tools can assist in maintaining consistent product quality and transparency, which are vital for ensuring consumer trust in both domestic and international markets. With the global demand for Indian packaged food products on the rise, particularly in markets such as the US, UK, and Middle East, ensuring adherence to international food safety standards is crucial.

READ MORE: What’s Fueling the Grocery Industry in 2024

The Role of E-Commerce Platforms

E-commerce platforms play a pivotal role in facilitating consumer access to a wide range of food products. However, they also bear a significant responsibility in ensuring that the products listed on their platforms comply with regulatory norms. As online grocery shopping continues to grow in popularity, platforms must prioritize product accuracy and transparency.

By enforcing stricter standards for product listings and working closely with manufacturers and regulatory authorities, e-commerce platforms can help ensure that consumers receive accurate and reliable information about the food products they purchase. This will not only enhance consumer safety but also promote trust in the growing online grocery sector.

The retail industry has undergone a significant transformation with the rise of e-commerce, and the jewelry sector is no exception. In 2023, global e-commerce sales in the jewelry market reached approximately $250 billion, a figure expected to grow by 8 percent annually. The convenience and accessibility of online shopping have made it possible for consumers to purchase exquisite pieces from the comfort of their homes. For brands today, navigating this online retail landscape presents both opportunities and challenges. This article explores how e-commerce is reshaping the jewelry market and offers insights into successfully managing an online jewelry business.

The Rise of Online Jewelry Shopping

Changing Consumer Behavior

In recent years, consumer behavior has shifted significantly towards online shopping, with 85 percent of shoppers in the U.S. alone purchasing products online in 2023. The pandemic further accelerated this trend, driving a 25 percent increase in online jewelry sales globally. Jewelry, once thought to be an item that needed to be seen and felt in person, has found its place in the e-commerce world. Consumers now value the convenience, variety, and often competitive pricing available online, with 62 percent of millennials preferring to shop for jewelry online rather than in physical stores.

Trust and Authenticity

One of the major challenges in selling jewelry online is establishing trust and authenticity. According to a survey, 70 percent of online jewelry shoppers cite trust as their primary concern. To address this, brands have adopted strategies such as providing detailed product descriptions, high-resolution images, and certificates of authenticity. Additionally, jewelry brands with a strong legacy, such as those with over 20 years in the market, are leveraging their experience to build credibility, resulting in a 15 percent higher customer retention rate compared to newer brands.

Building a Strong Online Presence

User-Friendly Website

A user-friendly website is crucial for any e-commerce business. Statistics show that 88 percent of online consumers are less likely to return to a site after a bad experience. For a jewelry brand, the website should feature an intuitive design, easy navigation, and a seamless checkout process. High-quality images and videos, along with comprehensive product details, help customers make informed decisions. Brands that invest in high-quality visuals experience a 25 percent increase in conversion rates compared to those with basic imagery.

Engaging Content

Engaging content is vital to attract and retain customers. Data reveals that content marketing can generate three times more leads than traditional outbound marketing, at 62 percent less cost. Jewelry brands are increasingly focusing on creating blog posts, social media updates, and email newsletters to showcase new collections, share styling tips, and highlight the brand’s story. This personalized approach to content has been shown to increase customer engagement by 18 percent.

Customer Reviews and Testimonials

Customer reviews and testimonials play a significant role in building trust, with 92 percent of consumers reading online reviews before making a purchase. Encouraging satisfied customers to share their experiences and prominently displaying these reviews on the website can significantly boost conversion rates. In fact, products with over 50 reviews are 4.6 times more likely to be purchased than those without reviews.

Leveraging Technology

Virtual Try-Ons

Innovative technologies like virtual try-ons are enhancing the online jewelry shopping experience. A study found that 78 percent of shoppers prefer to use virtual try-on tools before making a purchase, and brands offering this feature have seen a 15 percent increase in sales. This technology bridges the gap between online shopping and the in-store experience, allowing customers to visualize how a piece will look on them, which reduces the likelihood of returns by 35 percent.

Augmented Reality (AR)

Augmented reality (AR) is another technology that is revolutionizing the online jewelry market. By 2026, the AR market is expected to be worth over $97.76 billion, with the jewelry sector being a significant contributor. AR apps allow customers to view jewelry pieces in 3D and from different angles using their smartphones. This interactive experience has been shown to increase customer engagement by 20 percent and boost purchase intentions by 33 percent.

Providing Exceptional Customer Service

Personalized Consultations

Even in the digital age, personalized customer service remains crucial. Offering virtual consultations through video calls allows customers to receive expert advice from the comfort of their homes. Studies indicate that 56 percent of online shoppers are more likely to return to a site that offers personalized services. By providing 1:1 consultations, brands can better understand clients’ preferences and recommend pieces that suit their individual styles, leading to a 10 percent increase in customer satisfaction.

Hassle-Free Returns

A flexible and hassle-free return policy is essential to build trust and ensure customer satisfaction. According to a report, 67 percent of shoppers check the return policy before making a purchase, and 92 percent will buy again if the return process is easy. Jewelry brands with customer-friendly return policies experience up to 20 percent higher repeat purchase rates. Ensuring that customers feel confident they can return or exchange items if they are not completely satisfied is key to fostering long-term loyalty.

In conclusion, e-commerce has opened up new avenues for the jewelry industry, enabling brands to reach a broader audience and offer a convenient shopping experience. By building a strong online presence, leveraging technology, and providing exceptional customer service, jewelry brands can successfully navigate the online retail landscape. The key lies in balancing tradition with innovation, ensuring that every online interaction reflects the same care and quality as an in-store experience. With the right strategies in place, the future of online jewelry retail looks bright and promising.

Authored By

Rituu B Jhaveri, Founder, Rowa’s Jewels

The digital age has ushered in a new era of retail—one driven by discovery rather than necessity. This shift towards "discovery commerce" is redefining consumer behavior and transforming the Indian retail landscape. Rather than traditional, search-based shopping, consumers are being captivated by products through entertainment and social engagement. Platforms like Roposo are at the forefront of this revolution, integrating discovery commerce into their business model. Mansi Jain, Senior Vice President & GM of Roposo, shared insights into this exciting trend and its broader implications for the retail industry in an exclusive conversation with IndianRetailer.

The Evolution of Discovery Commerce

At its core, discovery commerce involves spontaneous purchasing, often inspired by visual or social content. It is about creating an emotional connection, pulling consumers into the buying journey when they least expect it. Unlike traditional e-commerce, where consumers seek specific products, discovery commerce prompts unplanned purchases based on inspiration.

"Discovery commerce is about sparking joy and curiosity," says Mansi Jain. "It’s the digital version of window shopping, but much more immersive. Consumers are not just seeing a product—they're experiencing it. Whether through influencer-driven content or dynamic fashion hauls, platforms like ours create moments of delight that lead to unexpected purchases."

This experiential form of commerce is rapidly growing. According to a BCG-TikTok study, shoppertainment—commerce blended with entertainment—is projected to become a $1 trillion industry in Asia-Pacific alone. For Indian retailers, this shift represents a vast opportunity to engage consumers in a new, highly interactive way.

The Power of Content and Community

Platforms like Roposo seamlessly blend product discovery with entertainment and social interactions. From makeup tutorials to fashion reviews, the platform integrates commerce into engaging content, ensuring that the viewer's journey from discovery to purchase is smooth and intuitive.

"Our goal is to make the shopping experience feel like a natural extension of the content," explains Jain. "We show consumers what’s trending, but in a way that resonates emotionally. A skit, a product review, a behind-the-scenes look—all these forms of content foster a sense of community. It's more than shopping; it’s belonging to a trend."

Roposo’s ability to create communities around these trends sets it apart from traditional e-commerce. When consumers see their favorite influencers wearing a specific brand or style, they are more likely to trust and purchase those products. By building this kind of connection, the platform fosters brand loyalty and customer engagement on a deeper level.

The Role of AI in Personalization

Personalization plays a crucial role in discovery commerce, and advanced technologies like AI are driving this shift. Platforms like Roposo use AI to track consumer preferences, ensuring that the content and products they see align with their interests.

"We are constantly analyzing purchasing patterns and browsing behavior to refine the user experience," says Jain. "AI helps us understand what a user might like based on their past interactions. It's about making the content—and the shopping experience—personalized and frictionless."

By offering recommendations tailored to individual preferences, platforms are creating a more engaging and convenient shopping environment, which ultimately drives higher conversions. For retailers, this means investing in AI-powered solutions is no longer optional—it’s essential.

Shoppertainment

India's diverse consumer base makes it a fertile ground for discovery commerce, particularly among Gen Z and millennials. As these younger consumers embrace social platforms for entertainment, they’re also embracing new ways to shop. Roposo’s shoppertainment model—where content and commerce merge—allows brands to tap into this demographic.

"Gen Z, in particular, values experiences over products," notes Jain. "They want to be entertained and inspired, and then, if they see something they like, they’ll buy it. That’s the magic of shoppertainment—it turns passive viewers into active shoppers."

This phenomenon is reshaping the way retailers and brands think about customer engagement. Retailers can no longer rely solely on product descriptions and reviews. Instead, they must create interactive, story-driven experiences that appeal to emotion as much as practicality.

The Impact on Traditional Retail

Discovery commerce is not just a digital trend; it's influencing offline retail as well. As consumers become accustomed to engaging, personalized content, they expect the same from physical stores. Retailers are now tasked with creating immersive, in-store experiences that mirror the online journey.

"Consumers want seamless transitions between online and offline," says Jain. "When they see something online that inspires them, they expect to find it in stores too. This convergence of digital and physical retail is the future."

Retailers embracing this shift are blending discovery with convenience, incorporating elements of shoppertainment into their physical spaces. Interactive displays, in-store influencers, and experiential marketing are becoming key strategies in capturing consumer interest.

A Growing Ecosystem of Partnerships

One of the keys to success in the discovery commerce landscape is building strong partnerships. Roposo has strategically collaborated with brands like Campus Sutra and Uptownie to enhance its offerings and connect with established audiences.

"Partnerships are crucial in the fast-moving world of shoppertainment," says Jain. "They allow us to bring fresh, engaging content to our users while giving brands access to a highly engaged audience. It’s a win-win."

These partnerships also allow brands to capitalize on the platform’s reach, integrating their products into a seamless content-to-commerce journey. For Roposo, this approach has proven successful in expanding its user base and driving revenue growth.

The Road Ahead

Looking to the future, Mansi Jain is optimistic about the potential for discovery commerce in India. As AI and content creation technologies evolve, platforms like Roposo are poised to take full advantage of the growing demand for personalized, shoppable content.

"Discovery commerce will only become more prevalent," she asserts. "We’re working on tools that empower creators to produce high-quality, shoppable content with ease. This will democratize content creation and allow brands to engage with consumers in more meaningful ways."

In a market as dynamic as India, where social interaction and commerce are deeply intertwined, discovery commerce offers a powerful way forward. For retailers, it’s about creating experiences, not just transactions—building relationships rather than simply selling products.

As the lines between entertainment, community, and commerce continue to blur, discovery commerce is set to reshape the future of retail in India and beyond.

As consumers across the world embrace e-commerce businesses, OSA has become extremely critical in the current and future online markets. With the latest numbers from Future Market Insights, the global on-shelf availability solution market is set to hit the desired figure of $4.8 billion by 2024. Analyses show that this market will even continue to grow to a whopping $11.6 billion by 2034, such that there is a healthy CAGR of 9.1 percent in the market during the research period of the forecast. These figures explain the growing need to manage OSA as e-commerce firms seek to deliver what consumers want, especially during holidays such as this festive season.

On the one hand, the festive season is a unique chance to boost sales and make customers happy for e-commerce organizations. But with the growing demands comes the question of availability—having the right product at the right time and place. OSA is important during this period because a stockout situation will mean no sales, unsatisfied consumers, and loss of brand loyalty. For e-commerce businesses gearing up for the festive season, here is the ultimate guide to improving on-shelf availability.

1. Demand Forecasting and Inventory Planning

Accurate demand forecasting is the foundation of high OSA during the festive season. E-commerce businesses must analyze historical sales data, market trends, and competitor behavior, while also considering potential events, holidays, and promotions that could drive demand. Leveraging analytics and artificial intelligence can significantly enhance these forecasts, ensuring that inventory levels are aligned with expected demand. Inventory planning should be conducted in tandem with demand forecasting, taking into account supply chain disruptions, supplier capabilities, and lead times. While it's advisable to stock up on frequently sold products, businesses should avoid overstocking to minimize holding costs and prevent markdowns post-season.

2. Strengthening Supplier Relationships

The festive season is one of the important periods requiring suppliers to meet their commitments at high levels. It is necessary for e-commerce businesses to clearly convey the demand that they expect in the future to their suppliers so that the required capacities are available to meet such demands. Loyal supplier relationships mean that a company will be accorded special treatment, including priority on the stocks to be restocked and the time that it takes to have them restocked. Also, risks of supply chain disruption may be addressed by the expansion of the suppliers’ list. This means that if one supplier is unable to supply essentials, having other sources available can help minimize the chances of running out of stock.

3. Leveraging Technology for Real-Time Inventory Management

Organizations need to employ real-time inventory management systems in order to maintain OSA during the festivities. These systems facilitate the monitoring of stock in different sales outlets and stores, giving a clear view of inventory. These systems can then be linked to e-commerce to automatically update stock status so that the customers do not get the wrong impression of what is available in the warehouse. Furthermore, real-time inventory means that inventory management decisions have to be made in a short span of time. In cases where a particular product is selling much faster than expected, call for automatic re-ordering or transfer of stock in anticipation of the popular item.

 4. Optimizing fulfillment and logistics

The idea of smooth functioning of fulfillment and logistics is key to sustaining OSA during the festive period. Fulfillment centers should be evaluated and possibly altered to make certain that the products are picked, packed, and shipped as quickly as possible. This might have entailed efficiencies in the processes of the warehouse, hiring of more workers, or outsourcing the extra load to a third-party company. Another important element that must be taken into consideration is last-mile delivery. Cutting costs and improving delivery reliability can be accomplished through choosing credible courier services and providing numerous delivery choices for customers, and they can also help minimize stockouts. One might also suggest adopting the distribution center strategy, which means warehousing is closer to certain key markets to reduce lead time and increase OSA.

5. Dynamic Pricing and Promotions Management

For OSA, particularly during the festive season, price and promotional strategies can play a great deal. It is recommended that e-commerce businesses should implement dynamic pricing models as a way of controlling the demand, especially where the retail price can be changed based on the existing sales data and available stock. For instance, if a given product is going around very fast in the market, some price increases can be made in order to regulate demand and scarcity. Promotions also must be accurately determined and controlled. Although using discounts and special offers promotes the products, it also contributes to exhaustion. Promotion decisions should be made with consideration to stock status, firms should offer either substitute options or pack slow-movers together with the best sellers in order to ensure equal sales of all stock.

 6. Enhancing Customer Communication

It demonstrated that customers should be informed clearly and in advance when OSA is in operation during the festive season. If a product is unavailable or lost, it is important to advise the clients to prevent cases of disappointment. That is why revealing similar goods’ availability, giving options to pre-order, or offering back-in-stock notifications also contribute to maintaining customers who might switch to other suppliers.

Moreover, businesses should employ customers’ information to get in touch with the customers in subsequent purchases and remind them of potential products they have bought in the past or related to. This does not only improve the experience of shoppers but also creates demand for the available products in the market.

7. Post-Season Analysis and Continuous Improvement

After the festive season, conducting a thorough performance analysis based on OSA key indicators is crucial. Businesses should evaluate areas of success and identify opportunities for improvement. Key metrics to assess include the number of stockouts, replenishment times, and the accuracy of demand forecasts. Insights gained from this analysis should be used to refine processes, strengthen supplier relationships, and enhance inventory management for future high-demand periods.

Maintaining availability during the holiday season is a difficult but essential process for many e-commerce companies. Through demand forecasting, building supplier relations, being able to manage inventory in real-time, choosing the best options for fulfilling orders, using dynamic pricing options, being able to communicate effectively with customers, and analyzing data after the season, businesses can increase their sales while also providing a good shopping experience for the consumer. These strategies assist not only in getting through the holiday season but also in excelling during the period.

Authored By

• Punit Sindhwani, Founder & CEO, PAXCOM 

With more people in India shopping online than ever before, customer experience has become a priority for many e-commerce businesses. Orders worth $46.67 billion were placed in India last fiscal year, putting these businesses under significant pressure to not just deliver seamless and convenient customer experiences, but to do so at scale.

CX has become more than a differentiator—it is a necessity for business success. And when businesses pay attention to delivering great CX, the reward is high–99 percent of India customers are willing to spend more on brands that offer personalized and streamlined services.

AI will play a pivotal role in every customer interaction, particularly as an overwhelming majority of CX leaders in India anticipate a five-fold increase in customer service interactions in the next three years, according to the Zendesk Future of AI-powered CX report. And many brands are turning to technologies such as generative AI to help streamline and enhance experiences for customers and agents. In fact, 92 percent of CX leaders in India believe AI is changing everything about CX and have plans to meet it head on quickly.

That said, adopting this new technology doesn't mean abandoning conventional channels like phone calls or emails. Customers will want to reach out on whichever channel they prefer at any given moment, so the best strategy is to offer AI-augmented multi-channel support. Here’s how.

Eliminate Repetition, Reduce Grind

AI is changing the way customers interact with brands for the better. It has taken the clunky chatbot with frustrating, circular decision trees and transformed them into AI agents with the most advanced conversational capabilities that understand customers’ contact reasons, intents, and sentiments. Well-trained AI never forgets a customer or their history with a brand, and customer context and data are readily on hand, providing around-the-clock support with reliable and correct answers regardless of which channel they choose to communicate.

Using the reasoning abilities of the latest AI models, AI agents can learn, understand and be coached just like a human agent and make decisions for straightforward cases. Such a high level of understanding saves time and effort for both the customer and agent, while delivering personalized experiences that make customers feel cared for. Coupled with smart automation, generative AI helps simplify tasks, leaving human agents free to concentrate on important conversations that require critical thinking, solving complex problems and meeting business goals.

Immersive Experiences at Scale

AI is helping many e-commerce companies shift towards more enriched, immersive CX. In fact, 96 percent of CX leaders believe every interaction is a dynamic blend of commerce, service and support, enhancing customer engagement. Many of these technologies exist today and e-commerce companies looking to enhance their CX can already start incorporating them.

From hypergrowth to festive season rushes and daily fluctuations, generative AI is capable of offering immersive and personalized experiences at scale by equipping agents with real-time recommendations at every step of the customer journey to offer deeper personalization. It can analyze a customer’s shopping history and make strong recommendations based on their preferences.

In addition to its conversational capabilities, generative AI can give AI agents a persona that reflects the brand’s personality across all conversations between chatbots and customers, reinforcing their brand and fully immersing in the experience. For e-commerce businesses trying to stand out from the competition, extending brand personality to their chatbots can be highly advantageous. It creates consistency across support channels and locations, helping customers form more meaningful, immersive connections with the brand.

Unlocking Growth Opportunities

Generative AI holds the potential to unlock massive growth through conversational commerce. It puts intelligence at agents' fingertips, making it easier to identify new revenue opportunities through upselling and cross-selling. When more than one in three customers globally make a purchase after receiving a WhatsApp or text message, it’s a sign for e-commerce companies to adopt generative AI-powered CX tools that help them boost revenue.

However, e-commerce businesses don’t have to revamp their entire online presence to integrate generative AI tools that offer better shopping experiences, but rather integrate it into existing assets like apps or websites, to drive more revenue opportunities. Generative AI can analyze purchase history and style preferences to offer personalized recommendations to customers in real-time, identifying new avenues of upselling and cross-selling without overwhelming the customer.

Digital-savvy customers in India want to choose how and when they shop, so it should come as no surprise that they also want to choose how and when they contact customer support. Their lifestyles, routines, devices, and personal preferences play a major role in how and when they connect with a brand, making omnichannel the best strategy.

Providing round-the-clock omnichannel service offers convenience and gives customers more control over their experience, reducing customer effort and increasing satisfaction. The question isn’t about abandoning conventional strategies to make way for generative AI but about seamlessly integrating generative AI into existing systems and processes for the best results.

As AI evolves, companies must continually assess and adapt their CX operations to meet the ever-changing needs of consumers. By embracing the potential of AI, CX professionals can improve operational efficiency, deliver quality CX that is consistent and accurate and, ultimately, improve business outcomes.

Author:

Vasudeva Rao Munnaluri, RVP India & SAARC, Zendesk

India's festive seasons, marked by celebrations like Dussehra, Diwali, Christmas, and New Year, see a dramatic increase in consumer activity. This surge in demand, coupled with a high festive sales pitch that sets the tempo for temporary hiring, is expected to drive a 15-20 percent year-on-year increase in demand, fuelled by consumer spending, resurgence in the rural economy amid prospects of a good harvest and a buoyant market. As a result, same-day and next-day deliveries are set to boom this festive season, presenting unique challenges for last-mile delivery—a critical component of e-commerce logistics. With the expansion of online shopping, technology is playing a pivotal role in enhancing the efficiency and effectiveness of last-mile delivery operations, especially during these peak periods.

Application Programming Interface (API) integration has revolutionized how logistics companies manage their operations. APIs enable seamless data exchange between different systems, facilitating automated processes from pre-pickup to post-delivery. This continuous flow of information ensures that all stages of the supply chain are synchronized, allowing for real-time updates and efficient management of deliveries. During high-demand periods, such as festivals, API integration helps maintain smooth operations and reduces the risk of errors or delays.

In India, where traffic congestion and infrastructure limitations are common, advanced route optimization software is crucial. This technology analyzes real-time traffic data, geographic constraints, and other variables to determine the most efficient delivery routes. By optimizing routes, logistics companies can ensure timely deliveries, reduce fuel consumption, and lower operational costs. During festive seasons, when traffic congestion is often at its peak, route optimization becomes even more critical in meeting delivery deadlines.

Artificial Intelligence (AI) is increasingly being used for demand forecasting, a vital aspect of managing last-mile delivery during the festive season. AI-driven analytics analyze historical data, market trends, and current shopping patterns to predict order volumes accurately. This predictive capability allows logistics companies to adjust their resources, inventory, and delivery schedules accordingly. For example, during Diwali or Dussehra, accurate demand forecasting enables companies to prepare for the spike in orders, ensuring that they can handle the increased volume without compromising on service quality.

Real-time tracking technology has transformed the consumer experience by providing up-to-date information on the status of orders. Customers can now track their packages from dispatch to delivery, receiving automated notifications and live updates. This level of transparency not only enhances customer satisfaction but also reduces the number of inquiries related to order status. During the busy festive season, real-time tracking helps manage customer expectations and improves overall service quality.

The festive season often requires a temporary increase in the workforce to handle the higher volume of orders. Technology solutions that streamline the recruitment and scheduling of temporary delivery personnel are essential for managing this increased demand. Automated systems can efficiently handle the recruitment process, schedule shifts, and ensure that the additional workforce is utilized effectively. This helps maintain delivery standards and ensures that orders are fulfilled in a timely manner.

Third-Party Logistics (3PL) providers play a crucial role during peak periods by offering additional resources and specialized expertise. These providers can scale their operations to meet the increased demand, manage complex logistics, and ensure that last-mile delivery is handled efficiently. By partnering with 3PL providers, companies can leverage their experience and infrastructure to navigate the challenges of festive season logistics more effectively.

Generative AI is emerging as a powerful tool in the logistics sector. By analyzing large datasets, generative AI provides advanced capabilities for demand forecasting, route planning, and risk management. This technology helps in predicting potential disruptions and generating actionable insights to improve operational efficiency. During the festive season, generative AI can be particularly useful in managing the complexities of high demand and ensuring that logistics operations run smoothly.

Sustainability is becoming a major focus in the logistics sector. Innovations such as electric vehicles, sustainable packaging solutions, and energy-efficient warehouses are being adopted to reduce the environmental impact of logistics operations. Route optimization also supports sustainability goals by lowering fuel consumption. As Indian consumers become more environmentally conscious, adopting eco-friendly practices not only helps in reducing carbon emissions but also enhances brand loyalty and reputation.

Additionally, the use of pop-up warehouses increases during the festive season. These temporary facilities are set up closer to high-density urban areas and consumer hubs, putting the frontline workforce at the forefront of technology. Logistics companies leverage their core capability to attract, onboard, train, and monitor flexi staff at these frontlines and within the pop-up sites. By strategically positioning these warehouses, they can reduce last-mile emissions, delivery times, and operational costs. Pop-up warehouses also help manage the increased volume of orders during festive seasons, ensuring that products reach customers more quickly and efficiently. This approach not only improves delivery speed but also supports environmental sustainability by minimizing the carbon footprint associated with long-distance transportation.

As technology continues to evolve, it will play an increasingly important role in shaping the future of last-mile delivery in India. Innovations such as autonomous delivery vehicles, drone deliveries, and blockchain for supply chain transparency are on the horizon. Embracing these advancements will further enhance the efficiency and effectiveness of last-mile delivery operations, helping logistics companies to meet customer expectations and navigate the challenges of peak seasons.

Authored By

Vikram Manuskhani, Chief of Operations, Blue Dart

In a rapidly evolving digital landscape, Indian brands are emerging as trailblazers in the adoption of generative AI, setting a benchmark for the entire Asia Pacific and Japan (APJ) region. According to the newly released Adobe Digital Trends 2024 APJ report, Indian companies are not only leading the region in generative AI deployment but are also demonstrating unparalleled data capabilities and a strong commitment to governance frameworks. These strengths position them as pioneers in technological innovation, poised to shape the future of AI on a global scale.

A Dynamic Shift in Digital Strategy

The report underscores a significant shift across the APJ region, with brands gearing up for major organizational changes to scale up generative AI adoption. However, it is the Indian market that stands out for its aggressive embrace of this technology. The findings reveal that 45 percent of Indian organizations already have generative AI solutions in place and are actively assessing their effectiveness, while an additional 27 percent are conducting pilots.

As Anindita Veluri, Director of Marketing, Adobe India noted, "Indian brands are confidently deploying generative AI while enhancing their productivity on a larger scale. This innovation offers a distinct path to integrate data, anticipate customer needs, and provide more targeted and timely content delivery." Veluri highlighted that brands leading in this space are not just experimenting but are strategically integrating AI to drive consumer loyalty, efficient conversion, and trust.

Generative AI: Transforming Customer Engagement

One of the standout insights from the report is the extent to which Indian brands are leveraging data and algorithms to personalize customer interactions. According to the findings, 52 percent of Indian brands are using data to deliver personalized website experiences, the highest percentage in the APJ region. Moreover, 38 percent of these brands employ generative AI to craft customized emails, messages, and other content, further demonstrating their leadership in this domain.

This approach is not merely about adopting new technology but about transforming how brands engage with customers. By integrating generative AI into existing workflows, Indian companies are able to deliver more relevant and timely content, significantly enhancing the customer experience.

Challenges in Scaling AI Adoption

While the enthusiasm for generative AI is palpable among Indian executives, the report also highlights a critical gap between leadership and day-to-day users. Across the APJ region, only 4 percent of executives report that their organization lacks a formal generative AI adoption strategy. However, this figure rises significantly among practitioners, indicating a disconnect between strategic intent and operational execution.

In India, this gap is particularly evident, with many users expressing skepticism about the effectiveness of current AI rollouts. This divergence in perception underscores the need for clearer communication and more inclusive strategy development as companies move from pilot phases to full-scale implementation.

Governance and Ethical Use: A Priority for Indian Brands

A significant area of focus for Indian brands, as highlighted in the report, is the development of governance frameworks and ethical guidelines for AI use. 70 percent of senior executives in India feel well-prepared to implement these guidelines, and 58 percent are actively investing in governance frameworks—a figure that is 14 percentage points above the APJ average.

This proactive stance is crucial as generative AI continues to evolve, bringing with it complex ethical considerations. Brands that invest in robust governance structures not only protect themselves from potential risks but also build trust with consumers, which is increasingly becoming a key differentiator in the digital marketplace.

Organizational Transformation in the AI Era

To fully leverage the benefits of generative AI, Indian brands are also anticipating significant changes to their operating models and organizational structures. By the end of 2024, 80 percent of Indian brands expect to use generative AI extensively for idea creation and conception, allowing skilled employees to refine these concepts into final products. Additionally, 76 percent of Indian brands plan to utilize AI to auto-update live content—a practice that is expected to be more prevalent in India than anywhere else in the world.

These initiatives reflect a broader trend within the region, where brands are increasingly recognizing the transformative potential of AI. Over two-thirds of APJ brands believe that generative AI will have the most significant impact on data analytics and management, more so than any other part of the organization.

In India, this is particularly pronounced, with 75 percent of brands planning to increase their investment in customer data management in 2024. This focus on data underscores the critical role it plays as a cornerstone capability in the AI era.

Upskilling and Ethical AI Usage

As brands navigate the complexities of AI adoption, there is also a strong emphasis on upskilling employees and establishing clear guidelines for AI usage. The report identifies advanced AI skills training for key staff (47 percent) and the development of policies for ethical and secure generative AI usage (45 percent) as top priorities for Indian brands.

These efforts are essential to ensure that employees are not only equipped to work with new technologies but also understand the ethical implications of their use. By fostering a culture of responsible AI usage, Indian brands can continue to lead in this space while mitigating potential risks.

India's Role in Shaping the Future of AI

The Adobe Digital Trends 2024 APJ report paints a compelling picture of how Indian brands are at the forefront of generative AI adoption. Their exceptional data capabilities, commitment to governance, and willingness to embrace organizational change set them apart as pioneers in the digital landscape.

As Veluri aptly concluded, "Those at the forefront are leading with higher consumer loyalty, efficient conversion, and trust." Indian brands are not just adopting AI—they are shaping their future, setting the standards for innovation, ethical use, and customer-centricity in the digital age.

Online shopping is quickly evolving with the help of new technology. Artificial Intelligence (AI) and Virtual Reality (VR) are making shopping more interactive and personalized. According to Mordor Intelligence, the AI in Retail market is estimated to be worth $9.85 billion in 2024 and is expected to grow to $40.49 billion by 2029. This represents a compound annual growth rate (CAGR) of 32.68 percent from 2024 to 2029. Also, the market size for Virtual Reality in Retail was valued at  $3.18 billion in 2023 (Market Research Future). Additionally, a study by Deloitte and Snap found that 67 percent of people globally use AR at home, and 41 percent of them use it for shopping. As these technologies become more common, they will greatly change the way we shop online.

Making Shopping Easier with AI and VR

AI and VR are changing how customers interact with online stores. One of the most notable examples is Sephora’s Virtual Artist. This tool uses AI to let customers virtually try on makeup products, from lipstick to eyeshadow. By simply uploading a photo, users can see how different shades will look on their faces, helping them choose the right product without the guesswork. This not only enhances the shopping experience but also reduces the chance of returns, making it a win-win for both customers and retailers.

IKEA enhances customer experiences with spatial AI through its virtual reality (VR) capabilities. The IKEA app enables customers to use VR to visualize how furniture will look in their homes before making a purchase. By immersing themselves in a virtual environment, users can place 3D models of furniture in their own spaces, helping them make more informed decisions. This level of convenience is becoming increasingly important as online shopping continues to grow.

Reducing Cart Abandonment with AR and VR

Cart abandonment is a significant challenge in e-commerce, with nearly 78.65% of shoppers leaving items in their carts without completing the purchase, according to Barilliance. Integrating AI and VR into e-commerce platforms can help address this issue by reducing the uncertainty that often leads to cart abandonment.

For example, AI-powered recommendations can tailor product suggestions based on customer behavior, while VR enables customers to virtually try on products or visualize them in their homes. These technologies enhance the shopping experience, making it easier for customers to make informed decisions and complete their purchases. As a result, retailers benefit from improved customer satisfaction and increased conversion rates, making AI and VR invaluable tools for reducing cart abandonment.

Connecting with Customers in More Interactive Ways

AI and VR are transforming how retailers engage with customers, offering new levels of interactivity. These technologies enable the creation of virtual showrooms where customers can explore products in an immersive environment. This enhanced engagement can significantly impact purchasing decisions.

For instance, Sephora’s Virtual Artist leverages AI and VR to allow users to try on makeup virtually and access tutorials on achieving various looks. This interactive approach not only provides a unique and valuable experience but also fosters brand loyalty by engaging customers in a meaningful way.

Saving Time and Money for Shoppers

AI and VR are making online shopping more convenient than ever. These technologies save customers time by allowing them to try products virtually instead of visiting physical stores. This is particularly useful for items like furniture and makeup, where seeing the product in context can make a big difference.

Moreover, AR and VR can lead to cost savings for consumers. By providing a realistic preview of products, these technologies help customers avoid buying items that do not meet their expectations. This “try before you buy” approach ensures that customers are more satisfied with their purchases, leading to fewer returns and a better overall shopping experience.

Creating Immersive Retail Environments

One of the most exciting advancements in e-commerce is the use of VR to create immersive retail environments. By leveraging VR, retailers can design virtual versions of their physical stores, allowing customers to explore products in a simulated space. This not only replicates the in-store experience but also introduces features that are impossible in the physical world.

For example, virtual stores can be dynamically updated to reflect seasonal trends or customer preferences, thanks to AI-driven insights. This keeps the shopping experience fresh and engaging, encouraging customers to return and explore new offerings.

What’s Next for E-Commerce?

The integration of AI and VR in e-commerce is still in its early stages, but the potential is enormous. As these technologies become more widespread, they will likely redefine the online shopping experience. By enabling customers to explore products in a more interactive and personalized way, AI and VR will play a key role in the future of e-commerce.

As the AI and VR markets continue to expand, with the global AI market projected to grow at a compound annual growth rate (CAGR) of 37.3 percent from 2023 to 2030, reaching $1,811.8 billion by 2030 (GrandViewResearch), and the global VR market expected to grow at a CAGR of 22.9 percent, reaching approximately $187.28 billion by 2032 (Precedence Research), e-commerce will increasingly rely on these technologies to enhance customer experiences and drive sales. Retailers who adopt AI and VR early will be well-positioned to lead in this new era of online shopping.

Authored By

Piyush Gupta, CEO, VOSMOS

India is home to 659 million smartphone users, the second largest smartphone user base in the world. Internet penetration, mobile-first infotainment and financial platforms, and superlative camera features are some of the contributing factors to the growth of smartphone aspirations, even in Tier II and below towns. However, aspiration needs affordability to create a market. This is where pre-owned smartphones come into play.

Industry estimates project that the overall pre-owned smartphone market in India is close to $5 billion and is expected to reach $10 billion by 2030. The organised segment accounts for 20-25 percent of the current market. This segment is largely made up of online platforms that enable consumers to buy authentic pre-owned smartphones, along with various value-added benefits. These platforms, including several new entrants, are not only reshaping consumer behaviour but also propelling technological advancements and sustainability initiatives. Let us see how online businesses, particularly newer players, are playing a pivotal role in the pre-owned smartphone industry in India.

Consumer Behaviour: Convenience and Affordability

New online platforms have made it incredibly convenient for consumers to buy and sell pre-owned smartphones. The typical hassles of offline transactions, like trust deficit and the long time required to identify buyers or sellers, have already been tackled to a great extent. These new brands provide user-friendly interfaces, detailed product listings, and secure payment gateways that add to the user’s convenience.

Apart from convenience, consumers also look for affordability when it comes to changing or upgrading their smartphones. With the tech advancements, more consumers are willing to try out the newly launched high-end phones. New platforms allow them to sell their old devices so that they can partially fund their new purchases. Consumers can also fund the gap between their sales and purchase prices through easy EMIs. Thus, consumers can access a range of smartphones at significantly lower prices than new models, making technology accessible.

 Ensuring Quality and Trust

The quality and authenticity of Pre-Owned smartphones has always been a big concern for consumers. To address this, many online platforms now offer certified pre-owned phones that have been thoroughly inspected on many parameters and have gone through multiple quality checks. This assures the consumers that their phones are in good working condition. The additional guarantee provided by the platform takes this confidence a notch further.

Sustainability Initiatives: Promoting a Circular Economy

The Pre-Owned smartphone market contributes significantly to the cause of environmental sustainability. By extending the life cycle of smartphones, online platforms focus on the reduction of manufacturing and electronic waste, which is a growing concern globally.

Although India's 'Make in India' initiative aims to boost local manufacturing, the reality includes a complex landscape. While many components are sourced locally, high-end parts often need to be imported due to supply chain constraints. Unfortunately, these imports face steep tariffs aimed at protecting domestic manufacturers, thereby increasing overall production costs.

However, India faces challenges in becoming a dominant manufacturing hub. Key issues include deficiencies in infrastructure, such as inadequate transportation networks and limited access to advanced technology and connectivity. These deficiencies can significantly hinder manufacturing productivity and operational efficiency.

Despite these challenges, India possesses substantial potential as a manufacturing destination. Addressing infrastructure gaps and improving 'ease of doing business' metrics are critical steps to unlock this potential fully. Additionally, proactive steps to integrate more seamlessly into the global tech manufacturing supply chain will be essential for India to capitalise on its strengths and attract further investment."

Challenges and the Road Ahead

Despite the significant progress made by multiple online platforms, there are still some challenges. As mentioned earlier in the article, a large chunk of the Pre-Owned phone market is still unorganised. Here, the consumers are always prone to issues such as poor quality and the lack of standardization. Moreover, in some consumer segments, there is still an underlying perception about used smartphones being inferior in quality.

They need to continue investing in technology and customer education to come around these issues. Enhancing transparency through detailed product information, and warranties, and providing credible after-sales service will help consumers feel more confident about their purchases. Additionally, these platforms can also collaborate with manufacturers and authorized service providers to standardize the refurbishment process. This will provide a consistent supply of high-quality pre-owned smartphones.

While the challenges are steep, the current trend indicates that online platforms will be able to address most of these. This will also help them play an even more important role in Digital India.

Authored By 

Yug Bhatia, CEO and Founder, ControlZ.  

In the ever-evolving landscape of Indian retail, Quick Commerce (Q-commerce) has swiftly transitioned from a novel concept to a pivotal component of urban living. Delivering everything from groceries to gadgets at remarkable speeds, Q-commerce has tapped into the pulse of new-age consumers, highlighting India’s adaptability and appetite for innovation. As Indian cities continue to grow, so does the demand for convenience, driving the rapid rise of Q-commerce as a crucial part of daily life.

Q-commerce has not only transformed how we shop but has also significantly disrupted traditional retail models. The growth numbers from last year are nothing short of remarkable. According to RedSeer, the Q-commerce market grew at a rate of 70-75 percent in FY24, a figure that eclipsed the growth of traditional e-commerce by nearly fivefold. However, the question remains: how long can Q-commerce sustain this meteoric rise?

The Rise of Q-Commerce

India's urban population, especially Generation Z and millennials, is leading the charge in the adoption of Q-commerce. These consumers value convenience and speed, preferring to have products delivered to their doorstep rather than spending time at physical stores. The demand for on-demand shopping solutions saw Q-commerce platforms like Swiggy Instamart, Dunzo, and Zepto thrive, even as similar models floundered in other global markets.

Key drivers of growth include:

1. Increasing User Base: The Average Monthly Transacting Users (MTU) grew by over 40 percent in FY24. This surge in users was largely driven by the younger, tech-savvy generation in metro cities who have embraced the convenience of ordering essentials and non-essentials alike at the click of a button.
2. Habit Formation: The ordering frequency per user jumped from 4.4 times a month in FY21 to nearly 6 in FY24, indicating that consumers are now using Q-commerce platforms not just for infrequent top-ups but for regular stock-ups. This shift in consumer behavior is a result of growing trust in these platforms and their ability to deliver consistently.
3. Higher Spending Per User: The average order value (AOV) on Q-commerce platforms increased by more than 15 percent in FY24, thanks to the rise in event-driven purchases and the diversification of categories. Consumers now use Q-commerce platforms for everything from daily essentials to specialized goods such as beauty products, home decor, and gifting items.
4. Metro Domination: In FY24, nearly 90 percent of the Q-commerce market was concentrated in metro cities. These densely populated urban centers are ripe for Q-commerce, where consumers prioritize time-saving and convenience.

What to Expect in FY25 and Beyond

The growth trajectory of Q-commerce shows no signs of slowing down. According to Redseer’s projections, the Q-commerce market is expected to grow by 75-85 percent in FY25, potentially reaching a GMV (Gross Merchandise Value) of around $6 billion. This will be fueled by an additional 5 million new MTUs, further expanding the user base.

Existing users, too, are expected to spend more, with projections suggesting a 20 percent increase in expenditure on Q-commerce platforms. This uptick will be driven by increased trust and habit formation, along with experimentation in newer propositions such as sustainable products, health-oriented offerings, and non-essential categories. These developments will likely attract consumers to explore more diverse options, including luxury items and general merchandise beyond groceries.

As demand grows, so too will the infrastructure. Q-commerce platforms are expected to add at least 500 new dark stores (warehouses for quick delivery) across India, with a focus on the top 30-50 cities. These dark stores will optimize delivery logistics and improve the throughput of existing operations, ensuring that platforms maintain their competitive advantage.

When Will the Boom Stabilize?

While the growth of Q-commerce appears unstoppable, experts predict that the market will stabilize in the coming years. By FY26, India’s Q-commerce user base is expected to reach around 20 million MTUs, at which point the growth rate may begin to plateau. This mirrors trends seen in the food delivery sector, where growth slows after reaching a certain user saturation point.

The majority of new users in the next few years will come from the top 30-50 cities, while expansion into smaller towns and rural areas will remain limited to experimentation. The current dark-store model may not be viable in less dense markets due to logistical challenges and lower demand. However, platforms may explore alternative models, such as partnering with local Kirana stores for fulfillment in smaller cities. While there is skepticism about the scalability of this approach, Q-commerce could surprise the market as it did last year.

Innovations in Q-Commerce

The versatility of Q-commerce platforms has already been demonstrated, from delivering daily essentials to luxury items. As platforms continue to evolve, several potential innovations could shape the future of Q-commerce in India:

1. Virtual Storefronts: Imagine walking into your favorite brand's local store—not physically, but virtually through a Q-commerce platform. The integration of virtual reality and augmented reality (VR/AR) could allow consumers to shop in a virtual environment, providing a seamless and immersive shopping experience.
2. Early Morning Essentials: Q-commerce could expand into the space of early-morning subscriptions, offering essentials like milk, eggs, and bread. Currently dominated by subscription-based services, this sector could be a lucrative target for Q-commerce players.
3. Q-commerce First Brands: The rise of Q-commerce could lead to the emergence of brands that are developed specifically for these platforms. These "Q-commerce first" brands would be designed to meet the unique demands of quick delivery, including fast-moving, high-demand products that cater to the urban consumer.
4. Sustainability and Niche Products: As consumer awareness around sustainability grows, Q-commerce platforms might explore offering eco-friendly products, such as zero-waste packaging or organic goods. Catering to this rising demand could open up new growth avenues and distinguish platforms in a competitive market.

READ MORE: The Meteoric Rise of Q-Commerce in India, Estimated to be 3X by 2029

The Future of Retail Is Now

As India stands on the brink of a retail revolution, Q-commerce is not just a passing trend but a fundamental shift in how consumers interact with brands. The rise of Q-commerce has redefined expectations around convenience, speed, and accessibility, ensuring that the future of retail is just a few clicks away.

The growth of Q-commerce has been nothing short of a retail phenomenon, and while the road ahead may bring new challenges, it is clear that Q-commerce will remain a dominant force in the Indian retail market for years to come. With its rapid expansion, innovative potential, and ability to adapt to changing consumer needs, the future of shopping is here—and it’s faster than ever before.

In an era where digital transformation is reshaping every industry, the grocery sector is no exception. To stay competitive and profitable, grocers must navigate the complexities of digital commerce with a customer-centric approach. However, many grocers struggle to deliver a profitable digital offering due to legacy systems and siloed operations. 

According to Capgemini’s latest report, these five strategic recommendations guide the development of a successful, sustainable, and scalable digital grocery capability, emphasizing the importance of data integration, advanced technologies like AI and generative AI (GenAI), and a strong focus on customer needs.

1. Develop a Customer-Centric Strategy

The cornerstone of a successful digital grocery solution is a deep understanding of the customer. Grocers must acknowledge that they cannot cater to everyone; instead, they should focus on identifying and prioritizing key customer segments. Developing a customer-centric strategy involves creating a clear vision of who the primary customers are, what they need, and what motivates their purchasing decisions. These insights will inform the design of the digital offering, from product selection to fulfillment options.

For instance, some customers may prioritize convenience and speed, while others may value product variety or price. By understanding these preferences, grocers can tailor their digital services to meet the specific needs of their target audience. This might involve offering a range of fulfillment options, such as quick delivery for time-sensitive orders or next-day delivery for those who plan their shopping in advance. Additionally, grocers should consider enabling personalized recommendations and offers, which can increase customer loyalty and drive repeat business.

2. Refine Existing Systems to Enhance the Experience and Optimize Operations

Many grocers are currently operating with legacy systems that were not designed for the demands of digital fulfillment. These systems, often hastily adapted during the COVID-19 pandemic, are typically difficult to optimize and rarely enable profitable operations. To unlock the revenue potential of digital grocery, grocers must be willing to overhaul their existing infrastructure and embrace new ways of working.

This transformation requires strategic investments in modern systems and digital solutions powered by AI and GenAI. Such technologies can enhance both sides of the customer promise—availability and fulfillment—by automating processes, improving accuracy, and enabling more agile operations. For example, AI-driven demand forecasting can help grocers maintain optimal inventory levels, reducing stockouts and overstock situations. GenAI can also be leveraged to create more personalized shopping experiences, generating tailored recommendations and offers based on real-time customer data.

However, grocers must be cautious of falling into the trap of investing in point solutions that only address specific issues without considering the broader business strategy. To avoid deepening silos within the organization, investments should be aligned with the overall digital strategy and aimed at creating a seamless, integrated experience for customers.

3. Prioritize Investments That Maximize Profitability

Digital grocery is a challenging space with razor-thin margins, making it crucial for grocers to carefully evaluate their investments. To ensure long-term growth and sustainability, grocers should prioritize developing capabilities that have a clear and significant impact on profitability.

One area of investment that can deliver substantial returns is improving the accuracy of availability data. Inaccurate data can disrupt order fulfillment, leading to costly substitutions, increased food waste, and poor replenishment decisions—all of which negatively impact profitability. By contrast, accurate availability data can streamline operations, reduce waste, and enhance customer satisfaction.

While personalization is another valuable capability, its impact is often limited by the grocer’s data maturity. Without the ability to scale personalized initiatives, the return on investment may be marginal. Therefore, grocers should focus on building data maturity and ensuring that their data infrastructure supports high-precision availability and fulfillment before expanding into more advanced personalization efforts.

4. Develop a Flexible Fulfillment Infrastructure and Network

The fulfillment stage is critical to the success of any digital grocery offering. Customers today expect a seamless experience that balances speed, convenience, and affordability. However, the importance of these factors varies from one customer to another, making it essential for grocers to develop a flexible fulfillment infrastructure that can cater to diverse needs.

Grocers have several options for fulfilling digital orders, including internal delivery services, third-party partnerships, high-tech solutions like drones or robots, and click-and-collect services. Each option comes with its own set of advantages and challenges, and the right choice will depend on the specific needs of the target customer base.

Last-mile delivery is particularly important, as it directly influences customer satisfaction and their likelihood of returning. While optimizing costs is essential, grocers must remember that last-mile delivery is not just an expense—it’s a critical touchpoint in the customer journey. A well-executed last-mile strategy can enhance the overall shopping experience, building customer loyalty and driving repeat purchases.

5. Build Data Maturity to Achieve High-Precision Availability and Fulfillment

Data maturity is a key enabler of a successful digital grocery strategy. Many grocers currently rely on historical data or generic customer profiles, which limits their ability to provide a responsive and personalized experience. To achieve high-precision availability and fulfillment, grocers must integrate and synchronize disparate data sources, enabling a more accurate understanding of customer behavior and inventory levels.

Advanced analytics, AI, and GenAI can play a crucial role in this process. By leveraging these technologies, grocers can gain real-time insights into customer preferences, optimize inventory management, and enhance the overall efficiency of their operations. For example, AI can be used to predict demand patterns, allowing grocers to adjust their inventory and fulfillment strategies accordingly. GenAI can also help in creating dynamic pricing models that respond to changes in demand, maximizing profitability.

Moreover, a mature data infrastructure can support the personalization of the customer experience. By analyzing customer data, grocers can curate personalized offers and recommendations, increasing customer satisfaction and driving sales. In turn, these insights can help grocers make more informed decisions about product assortment, pricing, and promotions, further enhancing profitability.

The rapid growth of eCommerce in recent years has created a situation where competition is fierce. In this highly competitive market, understanding the eCommerce matrix is crucial for brands who want to succeed. Making decisions based on intuition alone can lead to suboptimal outcomes, which can be costly in an industry as unforgiving as eCommerce.

As more businesses enter the online space, standing out becomes harder, making it imperative for brands to decode their performance metrics to identify what drives success and what hinders growth.

Success Factors in eCommerce

Data analytics is at the heart of successful eCommerce strategies. It allows brands to make informed decisions, outperform competitors, and adapt to market changes swiftly. By using data, brands can get insights into customer behavior, preferences, and trends, allowing them to build their marketing efforts effectively.

For example, personalization in marketing, driven by data, significantly enhances customer loyalty and boosts sales. 80 percent of consumers are more likely to make a purchase when brands offer personalized experiences.

When data informs decisions, every aspect of the business, from marketing strategies to inventory management, is optimized for better results. Third-party data further enriches this process, offering benchmarks and industry trends that help brands stay ahead. The use of data analytics not only improves operational efficiency but also ensures that marketing efforts resonate with the target audience, driving engagement and conversions.

Analyzing the 'Whys' Behind eCommerce Performance

Retail success is not a one-time achievement. High sales in one quarter do not guarantee sustained performance. Understanding why sales were strong in a particular period is essential for replicating that success. For example, if a retailer experiences a spike in sales, identifying the metrics that drove this increase—such as a successful marketing campaign or a popular product launch—provides actionable insights for future strategies.

Similarly, analyzing poor performance is crucial. If a campaign underperforms, brands must identify the root causes to make improvements. Was the targeting off? Or was the targeting right but the audience didn’t find the creatives to be relatable? By pinpointing these issues, brands can refine their approaches and avoid repeating mistakes. For example, if a marketing campaign fails, analyzing factors like audience segmentation, messaging, and ad placement can reveal areas for improvement.

The Answer Is Not Always Simple

Brands often oversimplify the reasons behind their eCommerce performance. If revenue dips, they might quickly attribute it to lower traffic and stop there. However, eCommerce outcomes are complex and require a deeper analysis to identify the true causes.

In reality, the drop in revenue could indeed be due to decreased traffic, but what caused the decline in traffic? Perhaps the marketing campaigns didn’t perform as expected. Then the question becomes, what specifically underperformed in the campaigns? It could be incorrect targeting or unrelatable creatives. This process illustrates the importance of drilling down into multiple layers to identify the root cause of eCommerce performance issues.

To find comprehensive answers, brands need to analyze top-level metrics:

• Traffic Analysis: Examine traffic sources and their impact on sales.
• Conversion Rate Optimization: Improve conversion rates through A/B testing, user feedback, and other techniques.
• Revenue Drivers: Identify and optimize key revenue drivers.
• Customer Retention: Implement strategies for retaining customers and increasing their lifetime value.

Each of these metrics can be further divided to gain deeper insights:

• Traffic Analysis: Break down by channel (organic, paid, referral), geography, and device.
• Conversion Rate Optimization: Segment by landing page performance, checkout process analysis, and user journey mapping.
• Revenue Drivers: Analyze by product categories, pricing strategies, and promotional effectiveness.
• Customer Retention: Assess loyalty program engagement, repeat purchase rates, and customer satisfaction scores.

By thoroughly examining these metrics and their subcategories, brands can find the complex factors affecting their eCommerce performance and develop targeted strategies to address them.

Tools and Technologies for eCommerce Success

Given the complexity of analyzing multiple metrics accurately, relying solely on human judgment is impractical. Cognitive biases can skew analysis, leading to incorrect conclusions. For example, if sales are low, business owners might blame the marketing team without considering other factors like product demand.

To overcome these challenges, brands need advanced analytics tools that provide accurate insights. Powered by AI and machine learning algorithms, these tools can analyze vast amounts of data, including sales, customer behavior, and marketing performance, to offer a holistic view of the business. Brands can easily identify patterns and trends that may not be immediately apparent. For example, an analytics tool might reveal that a decline in sales is due to a drop in repeat purchases rather than a decrease in new customer acquisition. Such insights are invaluable for making strategic decisions that drive growth and improve performance.

Takeaway

To repeat success and avoid repeating failures, it is crucial for brands to understand the reasons behind their performance. Data-driven decision-making is essential for dealing with the challenges of the eCommerce matrix. Every eCommerce decision made with the help of data has far more chance of success compared to those based on intuition alone!

Authored By

Prem Bhatia, CEO and Co-Founder Graas

India's lifestyle market, currently valued at a staggering $130 billion, is on its way to a significant transformation. Fashion dominates this market, accounting for approximately 80 percent, with beauty and personal care (BPC) making up the remainder. Over the next five years, this market is expected to grow at a compound annual growth rate (CAGR) of 10–12 percent, reaching a projected $210 billion. This growth will be primarily driven by the organized segment, which is gaining traction as consumers increasingly seek quality, branded products.

A recent study conducted by Bain & Company in collaboration with Myntra sheds light on the rapid evolution of India's e-lifestyle market. Currently valued at $16–$17 billion in 2023, the e-lifestyle market is expected to more than double to an impressive $40–$45 billion by 2028. This robust growth trajectory is being fueled by a combination of favorable economic conditions and structural shifts in consumer behavior.

Driving Factors Behind the Growth

The anticipated growth in India's e-lifestyle market can be attributed to several key factors. First, the easing of short-term inflationary pressures is expected to stimulate consumer spending. Additionally, there are structural shifts that are creating a more favorable demand environment. These include a rise in disposable incomes, a growing base of fashion-forward and digitally native Gen-Z shoppers, and an increasing demand for organized and branded products.

The market is also benefiting from superior customer value propositions offered by online platforms. These include a trendy and wide-ranging selection of products, faster delivery times, easier returns, and a tech-enabled shopping experience. Social media is playing a pivotal role in product discovery, further enhancing the shopping experience. Moreover, the growth of omnichannel access, where consumers can seamlessly transition between online and offline shopping, is bridging the gap between India and more mature e-lifestyle markets like the US, China, and Germany, which boast over 35 percent e-lifestyle penetration. In India, e-lifestyle penetration is projected to grow from 13 percent to an impressive 18–22 percent over the next five years.

"India’s e-lifestyle market has come of age in the last few years, with a diverse shopper base. Two out of three online shoppers are from beyond the top 50 cities, one in two are from non-affluent segments, and one in three are Gen-Z. There still exists massive penetration headroom. One in five dollars spent on lifestyle will be online,” said Shyam Unnikrishnan, Partner at Bain & Company.

Fashion Leading the Charge

Currently, the e-lifestyle market in India is dominated by fashion, which makes up around 75 percent of the market. Within this segment, accessories and women’s apparel are expected to see faster growth compared to other fashion categories. The BPC segment, while smaller, has gained mainstream popularity, with a penetration rate of approximately 16 percent in 2023. This segment is also expected to grow slightly faster than fashion over the next five years, indicating a rising consumer interest in beauty and personal care products.

A significant trend identified in the study is the rise of the trend-first fashion market, driven largely by online platforms. With a vast assortment and quicker product refresh cycles, this trend-first market is expected to grow eightfold, reaching $4–5 billion by 2028. Consequently, the online share of trend-first fashion is projected to increase to 50–55 percent, up from the current 30–35 percent. This shift underscores the growing importance of staying ahead of fashion trends and offering consumers the latest styles.

The Evolving Online Shopper

In 2023, more than 175 million consumers across India shopped for lifestyle products online, making an average of 6–7 transactions per year. Interestingly, for 40–45 percent of first-time e-commerce shoppers, lifestyle products were their initial purchase, highlighting the category's role as a gateway to e-retail. These shoppers are increasingly frequenting multiple platforms and completing their purchases in shorter time frames.

Deeply entrenched shoppers, defined as those spending over Rs 50,000 annually on a platform, exhibit even more engaged behavior. These shoppers visit their preferred platform at least once a day on average and make over 25 purchases per year, far exceeding the market average. The study also highlights the growing influence of Gen-Z shoppers, who, despite lower spending per order, transact more frequently. This fashion-forward, digitally native demographic accounts for 25 percent of the e-lifestyle market, contributing $4 billion in gross merchandise value (GMV). Notably, new-age insurgent brands have seen twice the adoption rate among Gen-Z consumers, indicating the importance of catering to this segment with affordable, trendy assortments and authentic brand positioning.

Opportunities for India’s Manufacturing Sector

The rapid growth of India’s e-lifestyle market has created significant opportunities for the country's manufacturing sector. The study notes an increasing share of India-made products in global brand assortments, driven by enhanced manufacturing capabilities. These include not only cotton textiles but also technical textiles, which are gaining prominence. Brands are working closely with manufacturers to shorten go-to-market (GTM) times, control costs, and enhance agility. The greater role of technology in sourcing is also bolstering India’s position as a fashion-sourcing destination.

India has emerged as a key market for top global brands, with 90 percent of the top 50 global brands already present in the country. Half of these brands generate over $30 million in revenue from their India operations, reflecting the confidence in India’s potential as a major lifestyle market. The past year has seen the launch or planned launch of over 60 global brands across various segments, including fashion and beauty. These launches span a range of categories, from scale and niche to luxury and new-age brands.

The Role of Online Channels in Brand Expansion

The online channel has played a pivotal role in the entry of global brands into India. "Three in five global brands have entered India via the online channel in the past year, and we are proud to have contributed to the launch of some of these global brands in the country," said Nandita Sinha, CEO of Myntra. A well-rounded, high-decibel launch, combined with easy discovery, access to insights about Indian consumers, and Myntra's extensive reach to 99 percent of serviceable pin codes, are among the key factors enabling these brands to scale up in the subcontinent.

READ MORE: The Retail Transformation: How 7.6% Economic Growth in FY24 is Redefining India’s Market!

Scaling Online Sales

The study identifies a common playbook adopted by high-growth brands to scale online sales in India. The first element is a relevant and differentiated customer proposition that includes a broad selection, competitive pricing, and an exceptional service experience. Second, a well-oiled sourcing engine is crucial for ensuring a steady supply of in-demand products. Finally, building a strong brand presence through targeted social media and online campaigns is essential for driving consumer engagement and loyalty. For global brands, having an empowered India-focused organization and seamless go-to-market strategies are critical enablers of growth.

In an era where digital transformation is reshaping retail landscapes, a significant surge in e-commerce adoption among Indian consumers can be witnessed. There report has been a pivotal shift in consumer behavior, driven by a substantial increase in e-commerce adoption. Currently, mass consumers—comprising approximately 80 percent of online shoppers—represent a diverse demographic with a significant impact on the market.

These consumers, whose annual household incomes range between RS 2.5 Lakhs and RS 10 Lakhs, are drawn to products that offer exceptional value for money. Notably, the Gen Z demographic, which includes individuals under the age of 25, is emerging as a key driver of this trend. This group now accounts for a third of the e-commerce user base, underscoring their influential role in shaping online shopping behaviors.

Geographic Insights and Growth Trends

According to Meesho’s Smart Shopper Report, there has been a remarkable growth of e-commerce in regions traditionally considered less accessible. Uttar Pradesh and Bihar have shown impressive increases in e-commerce user growth, reflecting the expanding reach and adaptability of online shopping platforms. Additionally, users from Tier IV+ cities have emerged as the most frequent repeat shoppers. This demographic demonstrates a keen interest in various product categories, including women’s fashion, footwear, and baby care.

A notable trend is the adoption of vernacular languages and voice search, which has seen a dramatic rise—162 percent and 40 percent respectively. This shift highlights a growing preference among mass consumers for regional languages and intuitive search features that enhance their online shopping experience.

Consumer Behavior and Preferences

The report reveals that over 80 percent of Indian online shoppers hail from Tier II and beyond cities, such as Ambur, Rourkela, Sangli, and Zirakpur. This broad reach underscores the platform's role in democratizing e-commerce access across the country. The platform's significant influence is further demonstrated by its impressive download statistics, with over 20 crore downloads this year alone, making it the most downloaded shopping app in India.

Customer engagement is another area where the platform excels. Users contribute extensively to the app's ecosystem, with 692 million ratings, 185 million reviews, and 47 million pieces of user-generated content. This level of interaction highlights the platform's role in fostering a vibrant and active online shopping community.

Top Performing Categories

The report also sheds light on the top-performing e-commerce categories for the year:

1. Books: Books have emerged as a leading category with an impressive 148 percent year-on-year growth. This surge reflects a growing consumer interest in reading and educational materials.

2. Office Supplies: The demand for office supplies has surged by 137% year-on-year, driven by the rise of remote work and home offices. Products in this category, including stationery and organizational tools, are becoming essential for many consumers.

3. Home Improvement: Home improvement products have seen a significant boost, with a 112 percent increase in online sales. This growth is attributed to consumers investing in enhancing their living spaces, driven by a greater focus on home aesthetics and functionality.

4. Furnishings: The furnishings category has grown by 92 percent year-on-year, reflecting an increasing demand for home decor and comfort items. Consumers are prioritizing stylish and functional additions to their homes.

5. Pet Supplies: Pet supplies have experienced a 68 percent rise in online sales, highlighting a growing trend towards pet care and wellness. This category includes a range of products from food to grooming essentials.

Emerging Product Categories and Trends

The report also provides insights into the fastest-growing product categories on the platform:

• Home & Kitchen: This category is capturing an increasing share of customer spending, with approximately 10 percent of the budget allocated here. Notable trends include wall art, artificial flowers, hanging planters, and bird feeders, which have gained popularity on social media and influenced consumer purchases.
• Technology and Electronics: There is a marked increase in demand for electronic accessories in Tier II+ cities, with purchases of products like Bluetooth headphones, power banks, and smart speakers surpassing those from Tier I cities.
• Men's Grooming: The growing focus on self-care has led to a surge in the popularity of beard care essentials, face washes, and grooming tools among men.
• Content Creation Tools: With the rise of digital content creation, products such as selfie sticks, ring lights, and microphones have become top sellers in the electronics category.
• Traditional Wear: The sale of saree shapers and ready-to-wear sarees reflects a consumer preference for convenient and modern approaches to traditional attire.
• At-Home Beauty: The trend towards at-home salon treatments has led to increased purchases of face packs, facial kits, wax strips, and other self-care products.

The Future of E-Commerce

The report's projections indicate that mass consumers will continue to dominate the retail market, with expectations to control 65 percent of the market share by 2030. This growth is driven by the expanding reach of internet accessibility and the increasing transition from traditional to digital retail.

As digital platforms continue to grow and adapt, they play a crucial role in shaping the future of retail in the country.

A substantial 62 percent of Indian consumers have made purchases influenced by AI recommendations, a figure notably higher than the global average of 30 percent. Furthermore, 61 percent of Indian shoppers find AI-driven product suggestions extremely beneficial. Despite this enthusiasm for technology, there remains a clear preference for human interaction.

A new report by EY, the Future Consumer Index (FCI), reveals a complex landscape for online shopping in India. The study, which surveyed 1,000 Indian consumers as part of a global poll, highlights a strong preference for human customer service, even as confidence in artificial intelligence (AI) grows. The findings suggest that while AI-driven product recommendations are valued, concerns over data security and continued demand for human interaction shape the online shopping experience in India.

The report underscores that 78 percent of Indian consumers prefer shopping on platforms that offer human customer support, and 61 percent are more comfortable sharing personal information with a person rather than through automated systems.

Angshuman Bhattacharya, Partner and National Leader - Consumer Product and Retail Sector at EY Parthenon noted, “Retailers need to adapt to the evolving consumer landscape. While technology and AI play a significant role in shaping purchasing decisions, the human element remains crucial. Consumers increasingly value authentic connections and transparency in data usage. Retailers must balance technological advancements with a personal touch to meet these demands effectively.”

Data Security Concerns

The report also highlights significant concerns regarding data security. A substantial 77 percent of Indian consumers are deeply concerned about potential data breaches during online transactions, with 73 percent worried about their personal information being exposed. This apprehension emphasizes the need for retailers to prioritize data protection and maintain transparent practices regarding data usage.

Influencer Impact

The influence of social media personalities is another key insight from the report. In India, influencers wield considerable sway, with 81 percent of consumers following at least one social media influencer, blogger, or vlogger. This contrasts sharply with only 45 percent of global respondents who engage with influencers. Indian consumers also tend to find products recommended by influencers highly trustworthy, with 60 percent expressing confidence in such recommendations, compared to just 27 percent globally. Notably, 84 percent of Indian consumers have made purchases based solely on an influencer’s promotion or recommendation.

Online Shopping Preferences

Online shopping continues to gain traction in India, with 75 percent of consumers favoring online purchases and only visiting physical stores for exceptional experiences. This preference is significantly higher than the global average of 41 percent. Over the past six months, 51 percent of Indian consumers have downloaded a retail app, compared to 31 percent globally. Discounts and exclusive deals drive this preference, although consumers do face challenges such as receiving damaged goods (21 percent), inadequate customer support (20 percent), and difficulties in processing refunds (19 percent).

Balancing Innovation and Authenticity

Bhattacharya further emphasized, “To truly engage with today’s consumers, brands must cultivate genuine relationships with the influencer community. Selecting influencers who align with brand values and resonate with target audiences is essential for maximizing return on investment. Brands need to carefully manage these collaborations to uphold their image and ensure effective performance monitoring.”

The report paints a picture of an Indian market where technology and human interaction coexist, each playing a vital role in shaping consumer behavior. Retailers must navigate this landscape by leveraging AI for its benefits while addressing concerns about data security and maintaining the human touch that consumers value. As online shopping continues to evolve, balancing technological advancements with authentic, personalized service will be key to meeting consumer expectations and driving success in the competitive retail sector.

In the first half of 2024, the Indian e-commerce landscape has experienced a significant shift, driven by an unexpected demographic: individuals aged 41-60 years. this age group has dramatically increased its online spending, with categories like travel, food and beverages (F&B), and services witnessing the fastest growth. The surge is attributed to the expanding range of online services offering ease, convenience, and affordability, alongside the growing familiarity and comfort with smartphone apps. This trend indicates that Generation X, those born between 1965 and 1980, are now emulating the online spending behaviors traditionally associated with Millennials and Gen Z.

Surge in Online Spending

According to Simpl Checkout Scan, spending on travel has surged by 72 percent, while F&B and services have grown by 60 percent and 57 percent, respectively. This shift in consumer behavior underscores a broader trend: the increasing acceptance and utilization of digital platforms by older generations. The convenience of online services and the simplicity of modern app interfaces have played a crucial role in this transformation.

Puneet Singh, CXO-Business at Simpl noted, “The Indian e-commerce industry is witnessing tectonic shifts where customers in the age group of 41-60 years have pipped 18-25 year olds in the growth in online spending via Simpl’s 1-tap Checkout across several categories. These shifts are driven by greater sets of services available online along with customers’ innate behavior to seek affordability and convenience online.”

Transaction Frequency and Top Categories

The data indicates that seniors made over 3 million transactions online, marking a 52 percent increase in transaction frequency. The top categories for spending included groceries or quick commerce and F&B, which accounted for one-third of all online spending. Travel expenditures represented 20 percent of their spending, with the remaining transactions spread across services and health and fitness.

Notable merchants that benefited from this trend include Zomato, Swiggy, Blinkit, Zepto, Swiggy Instamart, MakeMyTrip, Ixigo, MyJio, BookMyShow, Apollo 24/7, and Netmeds. This diverse range of platforms highlights the widespread adoption of e-commerce services by older adults, driven by the convenience and comprehensive offerings available online.

Average Order Value (AOV) Trends

The increasing adoption of e-commerce services among older adults is also reflected in the rising average order value (AOV) across categories. For instance, the AOV for health and fitness grew by 42 percent to Rs 1,022 from Rs 720. Similarly, the AOV for travel and marketplace categories grew by 38 percent and 35 percent, respectively. Remarkably, the AOV of Boomers and Gen X is 20 percent higher than that of Gen Z, demonstrating the growing trust and usability of internet commerce among seniors.

This increase in AOV is indicative of a deeper trust and reliance on e-commerce platforms, as older consumers are more willing to make larger purchases online. This trend bodes well for businesses aiming to capture this burgeoning market segment.

Business Implications and Opportunities

The rise of Gen X and Boomers in online spending presents several opportunities for businesses. Understanding the preferences and behaviors of this demographic is crucial for companies looking to tailor their offerings and marketing strategies to capture their attention and loyalty.

• Enhanced User Experience: Simplifying the online shopping experience is paramount. Older adults appreciate intuitive interfaces and streamlined processes, such as Simpl's 1-Tap Checkout, which reduces the complexity and enhances the convenience of online shopping.
• Targeted Marketing: Crafting marketing campaigns that resonate with the values and preferences of Gen X and Boomers can drive engagement and conversions. Emphasizing the convenience, affordability, and variety of online services can attract this demographic.
• Diverse Product Offerings: Expanding product ranges to include items that appeal to older adults, such as health and wellness products, travel services, and premium food and beverages, can help capture a larger share of this market.
• Building Trust: Establishing and maintaining trust is critical. Providing reliable and consistent service, transparent policies, and excellent customer support can foster loyalty among older consumers who may be more cautious about online transactions.
• Leveraging Data: Utilizing data analytics to understand purchasing patterns and preferences can enable businesses to personalize their offerings and improve customer satisfaction. Insights from transaction data can guide product development and marketing strategies.

READ MORE: Unlocking India’s E-commerce Export Potential: A Path to $200-300 Bn by FY30

To Sum Up

The rising influence of Gen X and Boomers in the e-commerce space is reshaping the industry. Their increased spending and transaction frequency highlight a significant shift in consumer behavior, driven by the growing availability and accessibility of online services. For businesses, this trend presents an opportunity to tap into a lucrative market segment by enhancing user experiences, tailoring marketing strategies, expanding product offerings, and building trust. As the e-commerce landscape continues to evolve, companies that adapt to these changes and cater to the needs of older consumers will be well-positioned for success.

In summary, the tectonic shifts in online spending behaviors of the 41-60 age group are redefining the e-commerce industry. Businesses must recognize and adapt to these changes to harness the potential of this growing market, ensuring they stay ahead in the competitive landscape.

Concepts such as “ESG” (Environmental Social Governance), “Sustainability”, “Net Zero”, “Triple Bottom Line”, “Circular economy” have transitioned from academia and thinktanks to boardrooms, annual reports, and strategy meetings. This is an explicit acceptance of the fact that enterprises can no longer afford to prioritize financial profitability over environmental costs; the environment is no longer an “externality”. 

This mindset is reshaping business priorities, growth strategies, and operations due to global climate change and social divisions. Adverse impacts include inadequate rainfall, high temperatures, unpredictable weather patterns, and severe flight turbulence. Socio-economic inequities also worsen, leading to unrest and migration.

Leaders are consciously considering sustainability aspects when making business decisions due to:

• Business decisions based solely on financial gains, ignoring environmental impacts 
• Regulatory changes holding businesses accountable for environmental and social impacts 
• Rising stakeholder activism from customers, employees, and business partners against unsustainable actions

With pervasive digitalization and changing globalization, sustainable commerce demands a shift from Milton Friedman’s 1970s famous assertion that a business’s sole responsibility is to maximize shareholder profits.

What is the sustainable commerce movement?

Sustainable commerce requires businesses to prioritize conserving resources and minimizing environmental damage, even if it leads to lower profits, across all strategic and operational aspects of the value chain.

Millennials and GenZers, increasingly comprising employees, customers, influencers, and policy makers, strongly support environmental and social issues. Survey show over three out of four employees would consider companies’ sustainability commitments before accepting job offers. 

The sustainable commerce paradigm will impact demand, operations, and value chains. Talent attraction and retention will also hinge on sustainability commitments. Leaders must take a comprehensive approach to embracing sustainable commerce. 

Direct impact on demand

Customers are consciously prioritizing the environment and changing lifestyles. Businesses will see a shift in demand as customers will:

• Defer upgrades, delaying the purchase of new products.
• Prefer repairing products over the "use and throw" approach, supported by government regulations.
• Rent instead of buy 
• Buy “pre-owned” or “refurbished” products for expensive products and promote circular economy. 

Impact on strategy and operations 

Organizations can embrace sustainable commerce by shifting their focus from "innovation" to "ecovation," creating ecologically sensitive products that meet customer needs. They should embed sustainability in their vision and mission and set ambitious "Net Zero" goals. 

Manufacturers can proactively adopt the following to align with the sustainable commerce paradigm: 

Product Design: Focus on modularity, reducing material consumption, and standardizing components to cut costs and improve durability, safety, and repair expenses, while increasing energy efficiency and adopting regenerative designs like carbon-sequestering materials.

Raw Materials: Opt for environmentally friendly materials, such as sodium-ion batteries over lithium-based ones, and increase the use of recycled materials, or using recycled plastic hangers for toner cartridges.

Production processes: to reduce energy consumption, pollution, and waste generation.

Innovative packaging: to eliminate plastic and ease recycling of waste. 

Responsible Sourcing: Mandate suppliers to adopt sustainable, ethical practices, comply with labor laws and safety standards, include these criteria in vendor selection, conduct surprise audits, and reward top vendors with preferential terms. Ensure downstream suppliers adhere to the same standards.

Greener logistics options: to reduce carbon footprint, such as using trains instead of trucks and waterways for heavy equipment.

Greener Reverse Supply Chains: Create safe disposal channels for end-of-life products. Use third parties to buy and recycle used items from consumers. E-commerce companies can adopt this, selling refurbished products to recoup costs.

Businesses need AI tools to accurately capture and analyze large data sets from various sources, generating actionable insights.

While sustainable commerce is evident in manufacturing, it applies to all sectors, including service providers. Enterprises can implement sustainable practices by using recycled water in data centers, opting for cleaner energy sources like solar panels and biomass, and regularly measuring sustainability progress. Other strategies include considering environmental impacts in problem-solving, repurposing old computers for underprivileged students, making office changes to reduce consumption, fostering employee volunteerism in environmental causes, and focusing Corporate Social Responsibility programs on conservation and recycling. 

Embracing sustainable commerce is now a business imperative. While actions vary by industry and company, leaders must integrate sustainability into their design thinking when transforming functions and the enterprise.

Authored By

Bindya S Raj, Associate Vice President, Head - Strategy, Planning & Operations, Digital Experience, Infosys

Bindya is an Information Technology professional with 20+ years of experience in strategy, business and operations planning, acquisitions, subsidiary integrations, and software delivery management delivering technology-led business solutions in a global delivery model. She is an engineering graduate and holds an MBA from the Indian Institute of Management, Kozhikode. Bindya is a dedicated volunteer of NGOs focused on eradication of child labour.

The digital payment landscape in India is set for exponential growth, with retail digital payments expected to double to $7 trillion by 2030 from current levels. This surge is driven by the strong adoption of digital payments across both online and offline channels, indicating a significant shift in consumer behavior.

Digital Payment Adoption: A Permanent Shift

According to a recent report by Kearney and Amazon Pay, a permanent shift in consumer behavior towards digital payments was spurred by their widespread adoption of online purchases. According to the study, 90 percent of the survey respondents prefer digital payments for online transactions, with affluent consumers leading the way by using digital payment methods for 80 percent of their transactions.

The research was conducted through an online survey of over 6,000 consumers and more than 1,000 merchants, covering 120 cities across various regions, income groups, city categories, age brackets, and genders. It revealed that both men and women use digital payments for about 72 percent of their transactions, indicating a high level of gender parity in digital payment usage.

Surge in E-commerce and Digital Payments

India has seen a significant rise in e-commerce, with the market valued at $75-$80 billion in 2022 and projected to grow at a compound annual growth rate (CAGR) of 21 percent until 2030. The report notes that retail digital payments have grown dramatically from $300 billion in FY18 to $3.6 trillion in FY24. By FY30, these payments are expected to reach $7 trillion.

India's Global Leadership in Digital Transactions

India is a global leader in the digital payment landscape, accounting for 46 percent of global digital transaction volumes in 2022. This impressive statistic underscores the country's dynamic developments in digital payments, primarily driven by the Unified Payments Interface (UPI), which saw a 138 percent increase in usage from FY18 to FY24.

Digital Payment Penetration in Small Towns

The report also highlights the penetration of digital payments in small towns, where 65 percent of transactions are conducted digitally, compared to 75 percent in larger cities. Cities like Lucknow, Patna, Bhopal, Jaipur, Bhubaneswar, Indore, Ahmedabad, and Pune are close to larger metropolitan cities in terms of digital payment usage, despite having lower retail potential.

The study found a strong correlation between a city’s average Degree of Digital Payment Usage (DDPU) and its retail potential, as measured by the Kearney India Retail Index. The top six metros display both high DDPU and high retail potential, indicating a robust digital payment ecosystem.

Future Growth Drivers

The next wave of digital payment growth in India is expected to come from lower-income groups and smaller towns. Digital payments make up 69 percent of transaction volumes for over 1,000 surveyed merchants, with even street vendors like paan shops, fruit sellers, and Kirana stores adopting digital payment methods. However, challenges such as financial fraud, limited connectivity, and trust issues remain.

India’s digital payment landscape is poised for remarkable growth, driven by widespread adoption and a significant shift in consumer behavior. As digital payments continue to penetrate deeper into smaller towns and among lower-income groups, the country’s digital payment ecosystem is set to expand, cementing India’s position as a global frontrunner in digital transactions.

In today's fast-paced world, businesses are experiencing transformative innovation and significant changes. With increased competition, staffing challenges, and rapid technological advancements, companies are finding new ways to adapt and thrive.

Key Trends Shaping the Business Landscape

1. Customers Are Seeking New Experiences and Technology

Amidst rising inflation and higher costs, 43 percent of customers feel less optimistic about their financial situations compared to a year ago. As a result, they are more mindful of their spending, seeking out businesses that offer both value and efficiency. A notable 80 percent of customers are open to trying new offerings from businesses known for something else, and 86 percent are willing to participate in perks, activities, or events offered by these businesses. In 2024, the integration of technology will be a priority, with many customers preferring businesses that utilize AI or automation to enhance their experience.

2. Automation is Enhancing Business Outcomes

The sentiment around automation is overwhelmingly positive, with 100 percent of retail and restaurant owners reporting improvements due to technology and automation. Retailers have seen a 45 percent increase in employee retention and profits, while 67 percent of restaurant owners note that automation has directly benefited customer experience and communication. Customers also support this shift, with 76 percent of restaurant customers and 67 percent of retail customers preferring automation for repetitive administrative tasks.

3. Retailers Focus on Personalization and Differentiation

To remain competitive, retailers are focusing on enhancing customer relationships and offering unique products. In the coming year, 56 percent of retail owners plan to improve their marketing tactics to appeal to the growing purchasing power of younger generations, up from 43 percent in 2022.

The Thriving E-Commerce Sector in India

India's e-commerce sector is booming, driven by increased smartphone adoption, rising affluence, and affordable data prices. With over 880 million internet users and more than 1,172 million telecom subscribers as of March 2023, India is the world's second-largest internet market.

Key Trends

- Growth Projections: The e-commerce market in India is expected to reach RS 4,416.68 billion in 2024, growing at an annual rate of 11.45 percent to RS 7,591.94 billion by 2029. UPI transactions hit RS 125.94 trillion in 2022, with over 800 million users.

- User Penetration: By 2029, e-commerce users are expected to reach 501.6 million, with user penetration projected to increase from 22.1 percent in 2024 to 34.0 percent by 2029. The average revenue per user (ARPU) is anticipated to be RS 14,121.

- Government E-Marketplace: The Government e-Marketplace (GeM) achieved a record GMV of $2011 billion in FY 2022-23, with a cumulative GMV exceeding RS 4.5 trillion by July 2023.

Leading E-Commerce Players:

- Amazon: Announced an additional $15 billion investment in India by 2031, bringing its total investment to $26 billion. Amazon aims to digitize 10 million small businesses, facilitate $20 billion in exports, and create two million jobs by 2025.

- Flipkart: The parent company of Flipkart Private Limited has infused RS 722 crore ($90 million) into its Indian marketplace division.

- Nykaa: Recorded a revenue increase from RS 5 billion to RS 51 billion in FY 2023, driven by a rise in per capita expenditure on beauty and personal care items.

Online Shopping Behavior and Social Media E-Commerce

Consumer Behavior Insights:

- Tier II Cities and Smaller Towns: 60 percent of online orders come from tier-two cities and smaller towns, with electronics and apparel accounting for nearly 70 percent of the market.

- Social Media Influence: Millennials are expected to drive one-third of global social media shopping expenditure by 2025, with Gen Z and Gen X following closely. Despite lower engagement, baby boomers are increasingly participating in social commerce.

Mobile Commerce Trends:

- Mobile Commerce Sales: Predicted to surpass $3 trillion globally by 2027, with smartphones constituting over 60 percent of e-commerce transactions.

E-Commerce Festive Shopping in India

During festive seasons, 35 percent of consumers prefer to shop for supplies online. Festivals like Diwali, Dussehra, and Christmas lead to increased shopping activity, with substantial discounts and attractive deals offered by sellers.

As businesses continue to navigate the complexities of innovation and change, those that adapt and leverage new technologies will thrive. Whether through automation, personalization, or embracing the e-commerce boom, companies are finding creative ways to stay competitive and meet evolving customer expectations.

Source: Various Reports (Invest India,Statista,Mordor Intelligence,TIDIO)

The social commerce market in India is on the cusp of a significant transformation, poised to experience remarkable growth over the next few years. According to a recent report from ResearchAndMarkets, the industry is expected to grow by 34.1 percent annually, reaching a valuation of $7.20 billion in 2024. The report highlights the industry's steady expansion, projecting a compound annual growth rate (CAGR) of 28.9 percent from 2024 to 2029, with the gross merchandise value (GMV) increasing from $5.37 billion in 2023 to $25.69 billion by 2029.

Market Dynamics and Growth Drivers

The surge in smartphone and internet penetration is a primary driver of this growth. Increasing consumption and rising income levels in India are also contributing factors. The report emphasizes that social commerce platforms will likely boost their marketing spending in response to these trends, aiming to capture a larger share of the expanding market.

Furthermore, social commerce firms are expected to pursue venture capital and private equity funding to enhance their offerings and create seamless shopping experiences for online buyers. The integration of artificial intelligence (AI) is also anticipated to play a crucial role in driving business growth and improving user experience on these platforms.

Startups Leading the Charge

Indian startups are at the forefront of this growth, leveraging new technologies and innovative business models to carve out significant market share. Woovly, a social commerce platform founded in 2020, exemplifies this trend. The company raised funding from prominent investors, including Sony Innovation Fund, ViNners, SOSV, and RTAF in November 2023. Woovly has reported a 600 percent increase in its user base over the past 18 months, driven by engagement from micro and nano influencers and short video content.

Looking ahead, Woovly plans to expand into new markets within India and diversify its product categories, including fashion, home decor, and lifestyle products. The platform faces competition from established e-commerce giants such as Myntra, Flipkart, and Amazon. However, Woovly’s success in securing funding and growing its user base indicates strong potential for continued growth.

Technological Innovations Driving Growth

The adoption of AI and other advanced technologies is becoming increasingly prevalent in the social commerce sector. Book My Makeup, a startup offering beauty services, has launched an AI-driven platform that includes augmented reality makeup trials, customized beauty recommendations, and virtual consultations. These innovations aim to make beauty services more engaging and personalized, enhancing the overall user experience.

The report suggests that more startups will follow this trend, embracing cutting-edge technologies to improve their platforms and attract a broader user base. This wave of technological adoption is expected to bolster the competitive landscape and drive industry growth over the next few years.

READ MORE: Why Social Commerce is the Next Big Thing for D2C Retail in India

Challenges and Competitive Landscape

Despite the positive growth outlook, the social commerce market in India is not without its challenges. Rising competition has led some global platforms to exit the market. For instance, Poshmark, acquired by Naver, announced its decision to cease operations in India in October 2023, citing intense competition. The company plans to refocus its efforts on core markets such as the United States and Canada.

Poshmark’s exit from India underscores the competitive pressures in the market, as global players face challenges in gaining traction against local startups and established e-commerce platforms. This trend may continue, with other international firms potentially scaling back their presence in India to concentrate on their primary markets.

The social commerce market in India is set for substantial growth, driven by technological advancements, increasing internet and smartphone penetration, and innovative startups. While the competitive landscape remains intense, the market offers significant opportunities for firms willing to invest in AI and other new-age technologies. As the industry evolves, both local and global players will need to adapt their strategies to capture the burgeoning market and navigate the challenges ahead.

The Indian e-commerce industry has experienced unprecedented growth, establishing itself as a key player in the global market. With a rapidly expanding internet user base and increasing smartphone penetration, the industry is projected to reach remarkable milestones in the coming years.

Market Size and Growth Projections

The Indian e-commerce industry is on an upward trajectory, poised to become the second-largest e-commerce market globally by 2034, surpassing the United States. At present, the e-commerce market in India is valued at $70 billion, which accounts for around 7 percent of the nation’s overall retail market, according to IBEF. The market is expected to grow at a compound annual growth rate (CAGR) of 27 percent to reach $163 billion by 2026, and reach a staggering $300 billion by 2030, driven primarily by the grocery and fashion/apparel sectors. The online grocery market alone is expected to grow from $3.95 billion in FY21 to $26.93 billion by 2027, expanding at a compound annual growth rate (CAGR) of 33 percent. Overall e-commerce sales are forecasted to increase at a CAGR of 18.2 percent between 2021 and 2025, reaching $120.1 billion.

Key Drivers of Growth

Several factors contribute to the rapid growth of the Indian e-commerce industry:

1. Internet and Smartphone Penetration: The number of internet connections in India surged to 895 million in 2023, with 55 percent of these connections in urban areas and 97 percent being wireless. Affordable smartphones and low-cost data plans have further fueled this growth, making online shopping accessible to a broader population.
2. Government Initiatives: Initiatives such as the Digital India campaign aim to create a trillion-dollar online economy by 2025. Policies like 100 percent Foreign Direct Investment (FDI) in B2B e-commerce and the marketplace model of B2C e-commerce have attracted significant investments from global players.
3. UPI Transactions: With 117.6 billion UPI transactions in 2023, India's robust digital payment infrastructure has facilitated seamless online transactions, boosting consumer confidence in e-commerce.
4. GeM Portal: The Government e-Marketplace (GeM) has streamlined public procurement, leading to higher process efficiencies, transparency, and competition. In FY23, GeM crossed $24 billion in procurement, demonstrating the platform's significant impact.

E-commerce Segments Driving Growth

1. Grocery: The online grocery market is experiencing exponential growth, projected to reach $26.93 billion by 2027. The convenience of home delivery and a wide range of product offerings have made online grocery shopping increasingly popular.
2. Fashion/Apparel: Fashion and apparel continue to be major contributors to e-commerce growth, with consumers enjoying the convenience of browsing and purchasing from a vast selection of brands and styles online.
3. Beauty and Personal Care: The personal care, beauty, and wellness (PCB&W) segment saw a significant increase in e-commerce order volume, becoming one of the largest beneficiaries of the e-commerce boom.
4. B2B E-commerce: India's B2B online marketplace is projected to be a $200 billion opportunity by 2030. The e-B2B market is expected to reach a GMV of $100 billion by 2030, driven by increased digital adoption among businesses.

Regional Expansion and Consumer Trends

The growth of e-commerce is not limited to metropolitan areas. Tier II and III cities are witnessing a rapid expansion of online retail, contributing significantly to the market's overall growth. The share of e-commerce from Tier III cities increased from 34.2 percent in 2021 to 41.5 percent in 2022, highlighting the growing acceptance and adoption of online shopping in smaller towns and rural areas.

India's social commerce market is also poised for substantial growth, expected to expand to $16-20 billion by FY25, with a potentially monumental jump to $70 billion by 2030. High mobile usage and increased social media engagement are key drivers of this trend.

READ MORE: The Evolution of E-commerce in India's Fashion Industry

Investments and Collaborations

The Indian e-commerce sector has attracted significant investments from global tech giants and retail players. Facebook's investment in Reliance Jio and Google's $4.5 billion investment in Jio Platforms are notable examples. Additionally, Reliance Retail's acquisition of Future Group has further strengthened its presence in the e-commerce space.

E-commerce is revolutionizing the fashion landscape in India, making it more accessible and exciting than ever before. Fashion trends are no longer confined to high-end boutiques in major cities; now, with just a few clicks, consumers can explore and purchase from a vast array of high-end and value brands from the comfort of their homes.

Market Dynamics and Growth Trends

The fashion industry has become a significant player in the retail market, typically outpacing overall retail growth. However, 2023 was an exception. The fashion segment grew in line with the general retail market due to inflationary pressures, a subdued job market, and muted consumer spending, especially among India B and C consumers, representing middle and lower-income groups.

Despite these challenges, online fashion retailers showcased remarkable resilience. Redseer Strategy Consulting's insights reveal that e-commerce continued to thrive even as many traditional fashion giants struggled. This trend highlights the unique strengths of e-commerce: convenience, variety, and attractive deals.w

E-commerce's Expanding Share

In 2023, the Indian retail market modestly expanded from $885-895 billion in 2022 to $940-950 billion. Fashion accounted for about 10 percent of this market, with the overall fashion segment growing by approximately 6 percent. In contrast, e-commerce in fashion soared by 10-12 percent, reflecting its robustness despite economic challenges. E-commerce's share of the fashion market increased from 14 percent to 15 percent, driven by a surge in new online shoppers and increased spending by existing ones.

Consumer Behavior and Market Segments

Affluent "India A" consumers primarily fueled this growth, while "India B and C" consumers were more cautious with their spending. "India A" saw an impressive compound annual growth rate (CAGR) of 14-16 percent, whereas "India B and C" had a CAGR of 8-10 percent. Affluent shoppers focused on trendy, fashionable items, while middle-income consumers preferred lower-cost alternatives influenced by past trends or celebrity endorsements.

Future Outlook

The future of India's fashion market is promising. Currently valued at around $93 billion, it is expected to grow to approximately $200 billion by 2030. The online fashion sector is particularly poised for significant growth, with forecasts predicting a surge to $36 billion in gross merchandise value (GMV) by 2030, driven by an impressive CAGR of 20 percent from 2023 to 2030.

Key Trends and Strategies

Several key trends are likely to shape the next decade in fashion e-commerce:

1. Dominance of Fast Fashion: Gen Z, expected to account for 12-14 percent of shoppers, will drive 20-25 percent of online fashion spending, particularly in fast fashion.
2. Premiumization: Driven by aspirations of "India A" consumers, premiumization will continue, with this segment projected to see a 25 percent+ CAGR in spending, fueled by global and luxury selections.
3. Growth of India B/C Platforms: An influx of approximately 150 million new shoppers from India B and C cohorts will benefit these platforms, necessitating innovative approaches like gamification to engage these consumers.
4. Rise of D2C Brands: Direct-to-consumer brands are expected to contribute around 15 percent of fashion e-commerce GMV by 2030, leveraging influencer and social media marketing for awareness and marketplace ads for discovery.
5. Cross-selling Lifestyle Products: Fashion-first e-commerce platforms will increasingly cross-sell lifestyle products, including accessories, beauty, personal care, and home décor, to capture a larger share of consumer spending and enhance customer lifetime value.

As e-commerce continues to reshape India's fashion industry, the future is bright with unprecedented opportunities. The online fashion sector is set to thrive, driven by evolving consumer preferences, technological advancements, and innovative strategies. Welcome to the dynamic world of fashion, where online platforms rule, resilience is key, and change is the only constant.

The retail industry, particularly the Micro, Small, and Medium Enterprises (MSME) sector, is experiencing a digital transformation. Today, over 65 percent of Micro, Small, and Medium Enterprises (MSMEs) utilize some form of digital technology for their daily operations.

According to a survey by PayNearby, 68 percent of MSME retail owners have reported business growth after adopting digital technology. This shift is reshaping the retail industry in India, making technology a pivotal tool for growth and efficiency.

Retailers Embrace Digital Tools

• Adoption Rates Soar Among Young Entrepreneurs

Over 65 percent of MSMEs in the retail sector now use digital technology for their daily operations. This trend is especially pronounced among younger business owners, with 75 percent of those aged 18-30 integrating digital tools into their businesses. Smartphones are the preferred device, used by 68 percent of these entrepreneurs for various business activities, consuming 2GB to 5GB of internet data daily.

Payment Solutions Drive Efficiency

• UPI and Aadhaar Banking Lead the Way

In terms of financial transactions, UPI (Unified Payments Interface) is the most popular method among retail MSMEs, used by 43 percent, followed by Aadhaar Banking at 38 percent. The convenience and efficiency of these digital payment solutions are transforming how retail businesses operate, making transactions faster and more secure.

Connectivity and Internet Usage

• Mobile Hotspots and Affordable Internet

Connectivity is crucial for retail MSMEs, with 66 percent relying on mobile hotspots for internet access. Wi-Fi routers are used by 26 percent, highlighting the diverse methods of staying connected. Notably, over 51 percent of retail businesses spend less than Rs 500 per month on internet usage, showcasing the affordability of digital connectivity.

Popular Applications in Retail

• YouTube and Business Management Tools

In addition to facilitating transactions, digital technology is also enhancing entertainment and business management. YouTube is a favorite among retail owners, with 72 percent using it for entertainment. For business operations, 29 percent use accounting software, while 17 percent utilize POS software, streamlining their management processes.

Empowering Retail Women Entrepreneurs

• Technology Boosts Financial Independence

Women in the retail sector are significantly benefiting from digital technology. Representing 32 percent of the survey respondents, 85 percent of female entrepreneurs own smartphones. Digital payments are becoming increasingly popular, with 40 percent of women using these methods for their businesses.

Industry Insights

Despite the benefits, some challenges remain. Resistance to adopting new technology is cited by 36 percent of retail MSMEs, while 18 percent struggle with high implementation costs. Addressing these issues is crucial for wider adoption and maximizing the potential of digital tools in the retail sector.

Anand Kumar Bajaj, Founder, MD & CEO of PayNearby, emphasizes the importance of digital adoption for retail MSMEs. "The MSME sector is pivotal to our economy, and their adoption of digital technologies is crucial for India's growth. By leveraging AI, AR, and ML, MSMEs in retail can thrive in a digital-first economy," he said.

Jayatri Dasgupta, CMO of PayNearby, highlighted the need for better digital infrastructure and literacy. "Our findings show a promising trend of increasing tech adoption, but also point out the areas that require more focus and investment. There is a need to innovate and provide solutions that bridge the digital divide and drive progressive growth," she added.

Thus, The retail sector's embrace of digital technology is driving significant growth and efficiency improvements among MSMEs. With continued support and investment in digital infrastructure and literacy, the potential for further transformation and empowerment in the retail industry is vast. By addressing challenges and fostering an inclusive ecosystem, the future of retail in India looks promising and dynamic.

The digital age has brought about a paradigm shift in how we shop, interact, and engage with brands. One of the most significant developments in this transformation is social commerce. As social media platforms continue to evolve, they have increasingly integrated e-commerce functionalities, creating a seamless blend of social interaction and online shopping.

Social commerce refers to the use of social media platforms to facilitate and enhance the buying and selling of products and services online. This integration allows users to discover, research, and purchase products directly within their favorite social media apps. Businesses may leverage the enormous user populations of social media sites like Facebook, Instagram, TikTok, and Pinterest to increase sales and foster brand loyalty by fusing the power of social networks with e-commerce.

Social commerce influences the inherently social nature of these platforms, where users can share their purchases, leave reviews, and recommend products to their network, creating a community-driven shopping experience. This method goes beyond traditional e-commerce by incorporating elements such as social proof, user-generated content, and real-time engagement, which can significantly influence purchasing decisions.

Global and Indian Market Trends

The rise of social commerce is evident from recent statistics and market trends. Globally, social commerce sales are projected to reach $1.2 trillion by 2025, accounting for a significant portion of the e-commerce market. In India, social commerce is rapidly gaining traction, driven by the country's high social media usage and growing e-commerce industry. As per a report by Bain & Company, India's social commerce market is expected to grow to $20 billion by 2025, up from $1.5 billion in 2020.

Consumers are increasingly turning to social media platforms for shopping, with platforms like Instagram and Facebook leading the way. Instagram's "Shop" feature and Facebook's "Shops" are prime examples of how these platforms are enhancing their e-commerce capabilities to cater to this growing trend. Additionally, the rise of short-video platforms like TikTok has also contributed to the growth of social commerce, with influencers and content creators playing a pivotal role in driving sales through engaging content.

Benefits of Social Commerce

• Enhanced Customer Engagement

One of the primary benefits of social commerce is enhanced customer engagement. Social media platforms are designed for interaction, making them ideal for brands to connect with their audience. Through posts, stories, live videos, and direct messages, businesses can engage with customers in real time, answer queries, and provide personalized recommendations. This level of interaction builds trust and fosters a sense of community, encouraging repeat purchases and brand loyalty.

• Seamless Shopping Experience

Social commerce offers a seamless shopping experience by integrating the entire customer journey within a single platform. From product discovery to purchase and post-purchase engagement, everything happens within the social media app. Features like shoppable posts, in-app checkouts, and instant customer support streamline the buying process, reducing friction and making it easier for consumers to complete transactions. This convenience is particularly appealing to younger, tech-savvy shoppers who value efficiency and instant gratification.

• Targeted Advertising

Social media platforms are equipped with sophisticated targeting capabilities, allowing businesses to reach their ideal customers with precision. By leveraging data on user behavior, interests, and demographics, brands can create highly targeted ad campaigns that resonate with specific audiences.

• Granular Measurement and Analysis

Finally, using social commerce lets businesses take advantage of granular measurement and analysis capabilities. Companies can track all kinds of data related to their campaigns including engagement rates, click-throughs, conversions, and more. This data is invaluable for fine-tuning existing strategies as well as developing new ones in order to maximize profits.

Strategies for Leveraging Social Media Platforms

• Influencer Collaborations

Collaborating with influencers is a powerful strategy for leveraging social media platforms for social commerce. Influencers have built trust and credibility with their followers, making their recommendations highly influential. By partnering with influencers, brands can tap into their reach and authenticity to promote products in a relatable and engaging manner. Whether through sponsored posts, unboxing videos, or live shopping events, influencer collaborations can drive significant traffic and sales.

• Interactive Content

Creating interactive content is another effective strategy for driving social commerce. Interactive content, such as polls, quizzes, and live videos, encourages user participation and keeps audiences engaged. Live shopping events, in particular, have gained popularity as they allow brands to showcase products in real-time, answer questions, and offer exclusive discounts. This interactive approach not only boosts engagement but also creates a sense of urgency, prompting immediate purchases.

• Customer Reviews and Testimonials

Customer reviews and testimonials play a crucial role in social commerce by providing social proof and building trust. Encouraging satisfied customers to share their experiences on social media can influence potential buyers and drive sales. Brands can feature user-generated content, such as photos and videos of customers using their products, to add authenticity and credibility. Additionally, responding to reviews and addressing feedback shows that the brand values customer opinions, further enhancing trust and loyalty.

Future of Social Commerce

• Emerging Trends

The future of social commerce is promising, with several emerging trends set to shape the industry. One such trend is the integration of augmented reality (AR) and virtual reality (VR) technologies. These technologies offer immersive shopping experiences, allowing customers to virtually try on products or visualize them in their environment before making a purchase. This not only enhances the shopping experience but also reduces the likelihood of returns.

Another emerging trend is the rise of social commerce on messaging platforms. Apps like WhatsApp and Facebook Messenger are increasingly being used for shopping, with businesses setting up virtual storefronts and offering customer support through these channels. This trend is particularly significant in regions with high mobile penetration, such as India and Southeast Asia.

Advice for Retailers

For retailers looking to capitalize on the rise of social commerce, it is essential to stay agile and adapt to evolving trends. Investing in social media marketing and building a strong presence on key platforms is crucial. Retailers should also focus on creating high-quality, engaging content that resonates with their target audience. Retailers should also explore innovative technologies, such as AR and VR, to offer unique shopping experiences. Lastly, providing exceptional customer service and actively engaging with customers on social media can foster loyalty and encourage repeat business.

Conclusion

The rise of social commerce represents a significant opportunity for businesses to leverage social media platforms for online sales growth. By integrating social interactions with e-commerce functionalities, social commerce offers enhanced customer engagement, a seamless shopping experience, and targeted advertising. As the industry continues to evolve, retailers must stay ahead of emerging trends and adopt effective strategies to maximize the potential of social commerce. With the right approach, businesses can not only drive sales but also build lasting relationships with their customers in this dynamic digital landscape.

In conclusion, the future of e-commerce is here and businesses must take advantage of it now if they want to maximize profits through social commerce.

-Authored By

Manish Verma, Co-founder & Director (Marketing & Operations), TruTRTL

India’s digital economy is forecasted to reach an impressive $800 billion by 2030, according to a report from Invest India. The e-commerce industry is expected to grow by $325 billion in the same year. One cannot overlook the significant role influencers have played in boosting the momentum of e-commerce platforms in India, both in terms of sales and reach.

E-commerce platforms have enhanced their performance marketing strategies by leveraging the reach of influencers in India. Research by Meta found that Instagram branded content ads led to an 82 percent increase in the likelihood of achieving purchase outcomes, reduced the cost per purchase by 3.9 percent, and generated an impressive 2.4x lift in conversions.

TATA CliQ’s Affiliate Program

One popular influencer-led campaign, #MallAtACLiQ, was widely appreciated by the audience on Instagram, achieving a reach of more than 20 million and over 2.4 million engagements.

Gopal Asthana, CEO of Tata CLiQ, said, “On Tata CLiQ Palette, our beauty vertical launched last year, we strategically worked with a mega influencer like Masoom Minawala to increase awareness for the platform. We also collaborate with macro and mid creators for sale events and mid and nano creators for trending beauty conversations. Influencers are crucial for amplifying our retail stores and participating in launch events.”

Asthana further commented, “For influencers, collaborating with platforms offers them the opportunity to be associated with the brand, showcase their creative work, and access the brand's following, aside from monetary compensation. In affiliate programs, influencers create content specifically to sell products, earning a commission on sales. Thus, it’s a mutually beneficial relationship.”

 

 

 

 

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A recent FICCI EY Report states that India’s influencer marketing industry is expected to grow to Rs 34 billion by 2026, up from Rs19 billion in 2023, as businesses increasingly turn to social-media influencers to drive sales and deepen brand connections.

Elaborating on working with different types of influencers, Asthana said, “On Tata CLiQ Luxury, our luxury vertical, we collaborate with influencers to enhance the platform's overall visibility. We work with micro- to mid-tier creators and tastemakers who have strong engagement with their audience, appeal to luxury consumers, and are experts in their fields, thus helping to drive our brand philosophy in consumers' minds.”

He further noted, “Influencers facilitate product discovery through high-quality and engaging content, which helps increase consideration and conversions. Influencer marketing is a powerful tool; however, it is important to set clear objectives and identify the right influencers to ensure success.”

Amazon’s Creator University

Currently valued at $70 billion+, India's online shopping constitutes approximately 7 percent of the country's total retail market, presenting a significant opportunity for growth. The Invest India report highlights that India will lead the online shopping revolution, with an estimated 500 million shoppers by 2030. It also notes the country's increasing internet penetration, with 87 percent of Indian households expected to have internet access by 2025.

Recently, Amazon.in launched its Creator University and Creator Connect initiative to help both established and aspiring influencers scale up on Amazon.in. The first Creator Connect event, "A Summer Escape," was held on June 3, 2024, in Mumbai, focusing on building a community of fashion and lifestyle creators coinciding with Amazon Fashion's Wardrobe Refresh Sale.

Kishore Thota, Director of Shopping Experience, India & Emerging Markets, Amazon, said, “Amazon recognizes the power of creators and their content. That is why we have invested heavily in building a thriving two-sided marketplace where creators and customers connect. Dedicated teams across product and business functions work tirelessly to develop programs and features that benefit both sides.”

Thota further added, “We believe creators are essential to serving our customers’ needs. Their content drives brand awareness, product recall, positive brand image, customer loyalty, and ultimately, sales. By fostering a platform where creators can flourish and gain recognition, income, and audience love, we create a win-win situation.”

Similarly, Amazon offers a feature called Amazon Live, an on-site, on-app influencer-led program that provides customers with an interactive, social, and entertaining way to shop. Through Amazon Live, customers can interact with trusted influencers and shop selections from livestreams. Launched in India in September 2022, Amazon Live addresses customers’ needs for product discovery, focused expertise, trust (through the influencer), and value.

It should be noted that the role of influencers in shaping consumer behavior and driving sales has become more critical than ever. As the digital economy expands, growth of e-commerce and influencer led marketing strategies will continue to be instrumental in not only connecting brands with their target audiences but also ensuring mutual benefits and sustained growth.

With India's D2C scenery witnessing unprecedented growth, successful brands like SUGAR and BoAt face challenges in maintaining their authentic bond with customers while expanding offline. OgmentO steps in to address these growing pains by revolutionizing the retail experience through smart vending machines and retail automation technology.

They have mastered the digital space and with their omnichannel strategy, are now expanding their reach offline, both domestically and internationally. However, with rapid growth comes new challenges. Enter OgmentO – a pioneering force designed to help successful D2C brands maintain their authentic connections with existing audiences while reaching new ones.

“OgmentO is here to bridge the gap between physical and digital retail, offering a seamless phygital omnichannel experience. We revolutionize the retail experience through smart vending machines and retail automation technology, addressing the limitations of traditional retail,” says Anshul Parmar, General Manager, OgmentO & Filuet India.

The Genesis of OgmentO

OgmentO’s name derives from the word ‘augmentation,’ signifying the extension and amplification of brand reach. The core idea behind OgmentO is to merge the online and offline shopping experiences, into a seamless phygital experience enabling 24/7 product access through smart vending machines. These machines not only enhance convenience and sales but also create immersive brand narratives through customized hardware and software solutions.

“Our smart vending machines go beyond mere distribution channels. They amplify brand messaging through immersive experiences, making them a powerful tool for product launches and marketing campaigns,” Anshul Parmar explains.

Transformative Technology in Retail

OgmentO integrates cutting-edge technology to elevate the retail experience for both businesses and consumers. The smart vending machines feature customizable user interfaces, data analytics to track consumer behavior, inventory management software to prevent product wastage and multiple payment systems including wallets and QR codes. Remote monitoring and diagnostics ensure optimal performance, reducing downtime.

“Our tech stack is software agnostic, allowing seamless integration with any existing software tools. This enables us to deliver phygital retail experiences that blend online with offline customer journeys,” Parmar notes.

Unique Innovations Setting OgmentO Apart

What sets OgmentO apart from its competitors is the innovation embedded in its solutions. The smart vending machines boast the largest screens in the industry, enhancing customer engagement with interactive displays. They support multi-dispensing capabilities, which reduce waiting times and improve customer satisfaction. Additionally, the machines are highly customizable, allowing for targeted ad campaigns and loyalty program integration.

“We start with the customer experience and work our way backward to the features. This approach ensures that our solutions are always customer-centric and innovative,” says Parmar.

OgmentO operates under the esteemed umbrella of Filuet, a global leader in retail automation and distribution solutions. With over a decade of innovation and success, Filuet has consistently pushed the boundaries of retail technology, introducing groundbreaking solutions that enhance operational efficiency and customer engagement. As OgmentO's parent company, Filuet provides the robust foundation and strategic vision necessary for OgmentO to thrive in the dynamic retail landscape, ensuring that it remains at the forefront of retail automation and omnichannel experiences.

Since its inception, OgmentO has made significant strides in the retail automation sector. A notable example is the collaboration with Herbalife through Filuet. By deploying smart vending machines in high-traffic areas, OgmentO enabled faster fulfillment and 24/7 product accessibility, significantly boosting sales. 

“Tracking sales data allowed us to identify which products performed well in specific locations, optimizing inventory and increasing efficiency,” Parmar shares.

Adapting to Industry Trends

OgmentO stays ahead of industry trends by constantly adapting its solutions to meet the evolving needs of the market. In India, the rapid adoption of cashless payments led to the inclusion of PhonePe and Razorpay in the vending machines. Furthermore, the demand for personalized shopping experiences prompted the integration of online elements like loyalty programs into the offline shopping journey, showcasing their commitment to omnichannel strategies.

“By taking a phygital approach, we adapt to our clients’ customer expectations, ensuring personalized and convenient shopping experiences,” Parmar highlights.

Furthermore, OgmentO is committed to sustainability and social responsibility. The smart vending machines have a significantly lower energy output compared to traditional brick-and-mortar stores. The company also promotes digital-first practices, such as digital receipts and inventory tracking systems to reduce product wastage, aligning with modern omnichannel retail practices.

“By integrating sustainable practices, we contribute positively to the environment while delivering high-quality retail solutions,” Anshul affirms.

Retail 5.0

OgmentO aims to launch Retail 5.0 across India and the APAC region, integrating advanced technologies to deliver highly personalized and seamless customer experiences. With a Make-in-India mindset, the company plans to help clients expand their footprints into India’s Tier I, II, and III cities, leveraging retail automation to connect with new audiences.

“Our vision is to become a global leader in retail automation, setting new standards for convenience and efficiency in the industry,” states Parmar.

While OgmentO is currently focused on capturing the Indian market, the company has a clear strategy for international expansion. By identifying key markets with high potential for retail automation and establishing local partnerships, OgmentO plans to customize its products to meet local consumer preferences and regulatory requirements.

“The Indian retail industry is an exciting wilderness, and we are fully focused on delivering quality solutions tailored to the Indian consumer. However, when the time is right, we will expand our horizons internationally,” Anshul envisions.

The Next Five Years

In the next five years, OgmentO aims to have its smart vending machines deployed across all Tier I cities, potentially venturing into Tier II and III cities as well. The company’s goal is to become an integral part of the Indian consumer’s shopping experience, merging online and offline retail to deliver personalized phygital shopping experiences.

“We want to enable more product access and connections between brands and India’s diverse audiences, playing a significant part in the retail revolution characterized by automation,” concludes Parmar.

By seamlessly blending physical and digital retail, OgmentO is setting new standards for convenience, efficiency, and customer engagement. With a commitment to innovation, sustainability, and customer satisfaction, OgmentO is poised to lead the retail automation revolution in India and beyond.

“Retail 5.0 is our future, and we are excited to bring this vision to life, one smart vending machine at a time,” Parmar emphasizes.

In the rapidly evolving world of commerce, where digital transformation has become the cornerstone of success, the role of artificial intelligence (AI) stands out as a game-changer. With its ability to analyze vast amounts of data, predict consumer behavior, and drive personalized experiences, AI is reshaping the retail landscape like never before. At the forefront of this revolution is Bhaskar Ramesh, Director of Omnichannel Business at Google India, whose insights offer a compelling glimpse into the transformative power of AI in retail.

Navigating the Evolution of Commerce

Ramesh's journey begins with a reflection on the evolution of commerce, tracing humanity's transition from hunters and gatherers to the information age and finally, the AI era. As a company born in the Internet age, Google has played a pivotal role in connecting users with brands and businesses. However, with the rise of AI, a new era of intelligence-driven commerce is upon us—a paradigm shift that promises to redefine the retail experience.

Unleashing the Potential of AI

Central to Ramesh's narrative is the distinction between analytical and generative AI. Drawing parallels with the human brain, he elucidates how analytical AI, akin to the left brain, excels at synthesizing and predicting data. On the other hand, generative AI represents the right brain, unleashing creativity and innovation through content creation and dynamic interactions. The convergence of these capabilities heralds a new era of intelligent commerce, where data-driven insights and creative ingenuity converge to drive growth and innovation.

Empowering Retailers of All Sizes

A key tenet of Ramesh's vision is the democratization of AI, ensuring that retailers of all sizes can harness its transformative potential. By making AI accessible and affordable, Google aims to empower businesses to thrive in an increasingly competitive market. From small startups to established enterprises, AI offers unparalleled opportunities for growth and innovation, leveling the playing field and driving inclusive economic development.

AI in Action

Ramesh provides concrete examples of AI in action, illustrating how retailers can leverage their capabilities to enhance customer experiences, streamline operations, and drive revenue growth. From personalized recommendations to automated cataloging and dynamic pricing, AI-powered solutions are revolutionizing every aspect of the retail journey. Moreover, AI's role in data security and privacy management underscores its significance in safeguarding consumer trust and business integrity.

Embracing the Future

As retailers navigate the complexities of the AI era, Ramesh urges them to embrace innovation boldly yet responsibly. With great power comes great responsibility, and AI is no exception. By prioritizing ethical considerations and data privacy, retailers can build trust with consumers and foster long-term loyalty. Moreover, by fostering a culture of innovation and experimentation, retailers can stay ahead of the curve and capitalize on emerging trends and technologies.

READ MORE: Trends in AI that are Revolutionizing the Retail Landscape

Charting the Course for Intelligent Commerce

In conclusion, Bhaskar Ramesh's insights offer a compelling vision for the future of retail — an era defined by the transformative power of AI. As retailers navigate this new landscape, they must embrace innovation, prioritize ethics, and harness the full potential of AI to drive growth and deliver value to consumers. By embracing the AI-powered future, retailers can unlock new opportunities, drive operational efficiency, and redefine the retail experience for generations to come.

The vast majority (90 percent) of online retailers say customers’ misuse of return policies and loyalty programs is affecting their bottom line, according to a global study in 2023 by Riskified[1]. However, 93 percent of retailers said it is “somewhat important” or “very important” to offer generous refund and return policies to win new customers and retain loyal ones. This leaves Indian retailers selling online with a big dilemma. How do they make returns easy, yet discourage fraudulent activity at the same time?

Different Types of Returns Fraud

‘Serial returners’ are shoppers who regularly and deliberately buy multiple items and repeatedly returning them. ‘Wardrobers’ abuse the system by wearing clothes for one occasion only, then sending them back. More overt scams include claiming that an item that arrived, has never arrived, or that the item does not match the product description, or was damaged in transit.

Other fraudulent activities include returning shoplifted items, and ‘merchandise exchange’ whereby shoppers purchase a new item, then return an older or non-working version of the same item, using the packaging from the newer merchandise. Such scams are not solely practiced by individuals. Organized international crime rings are often co-ordinating fraudulent returns activities on a grand scale.

Time to Take Action

Retailers are pushing back. For instance, in 2019, Asos.com said it would begin deactivating[2] the accounts of serial returners on its site. Some fashion brands, including Zara, J.Crew[3] and Uniqlo[4], have begun charging for returns in order to claw back lost revenue.

The key to addressing the scale of these problems is having digital systems in place that will alert retailers and spot which SKUs – and which customers - are problematic. Data analytics of returns patterns is something Asendia can offer clients through the e-PAQ Returns[5] solution. The system provides a full suite of retailer reports and dashboards. The power is in spotting the trends and taking timely action to stamp out returns fraud activity, wherever in the world it is happening.

Here are four ways data analytics can assist in the fight against returns fraud:

1. Pattern Recognition and Anomaly Detection

It’s possible to process vast amounts of transaction, inventory, and customer data to establish normal shopping patterns and behaviors. By using advanced algorithms, retailers can identify anomalies that might indicate returns fraud. Unusual patterns, such as frequent returns of high-value items, or returns from the same address with different customer names, can be flagged for further investigation. Analysis of the reason for returning can also flag suspicious, repetitive behavior.

2. Customer Data Analysis

Retail loss prevention teams can deploy analytics to detect potential networks of fraudsters working together. By examining shared IP addresses, shipping addresses, and payment methods, retailers can uncover hidden associations that might indicate organized fraud rings. Identifying such networks can help retailers take pre-emptive action to prevent fraud.

3. Predictive Modeling for Fraud Prevention

Retailers with a costly returns problem can leverage historical data to assess the likelihood of a particular transaction being fraudulent. These predictive models can factor in variables, such as purchase history, device information, and behavioral patterns. Retailers can then set customizable risk thresholds, automatically flagging or blocking transactions that exceed these thresholds, thereby reducing returns fraud.

4. Real-time Monitoring and Alerts

Implementing real-time data analytics allows retailers to monitor transactions as they happen. By using machine learning algorithms, retailers can instantly evaluate each purchase for signs of potential fraud. If suspicious activity is detected, alerts can be sent to fraud prevention teams for immediate action, such as manual review or order cancellation.

Make Your Returns Policy Crystal Clear

Retailers can protect themselves against fraud by having a clear and stringent returns policy – and always enforcing it. Requesting that customers send a printout of the receipt when returning items can also help, alongside confirmation of address and zip code information, plus the last 4 digits of the payment card used.

Well-established parcel shipping partners, who are increasingly handling returns on behalf of retailers, are in a strong position to help retailers manage reverse logistics.

Leveraging Market-Specific Insights

According to a recent report by Asendia, 76 percent of Indian shoppers would be prepared to pay a nominal fee for returning items. This indicates a receptiveness in the Indian market to levying charges on returns, offering retailers an opportunity to deter unnecessary returns and cover some costs.

Data analytics provides retailers with a powerful arsenal against returns fraud by detecting unusual patterns, and enabling informed decision-making. When better-informed, online stores can cut down on returns fraud and make sure honest shoppers feel safe and confident.

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[1] https://www.riskified.com/lp/policy-abuse-global-benchmarks-report/

[2] https://www.bbc.co.uk/news/business-47820387

[3] https://www.jcrew.com/help/returns-exchanges

[4] https://faq-uk.uniqlo.com/articles/en_US/FAQ/What-is-your-online-returns-policy

[5] https://www.asendia.com/e-paq/returns

Helen Scurfield, CEO – Global Returns, Asendia

The Indian e-commerce industry is on a rapid upward trajectory, poised to surpass the US to become the second-largest e-commerce market globally by 2034. With projections estimating the industry to reach a staggering US$ 300 billion by 2030, the growth is driven significantly by the grocery and fashion/apparel sectors.

According to India Brand Equity foundation, the Indian online grocery market is set for explosive growth, expected to surge from $3.95 billion in FY21 to $26.93 billion by 2027, expanding at a compound annual growth rate (CAGR) of 33 percent. This segment, along with fashion and apparel, will be the key drivers of incremental growth in the e-commerce sector. Overall, e-commerce sales are predicted to rise at a CAGR of 18.2 percent between 2021 and 2025, reaching Rs 8.8 lakh crore ($120.1 billion).

B2B E-commerce

India’s Business-to-Business (B2B) online marketplace is anticipated to become a $200 billion opportunity by 2030. India's e-B2B market is projected to reach a Gross Merchandise Value (GMV) of $100 billion by the same year, demonstrating significant potential for growth in this segment.

In fiscal year 2023, Indian e-commerce platforms achieved a significant milestone by hitting a GMV of $ 60 billion, marking a 22 percent increase from the previous year. This growth is mirrored by the burgeoning internet user base, with India boasting over 821 million users, making it the second-largest internet market in the world. The number of internet connections rose to 895 million in 2023, fuelled by the 'Digital India' initiative.

Festive Season Surge and Steady B2C Growth

The first week of the 2023 festive season alone saw Indian e-commerce platforms generating sales worth $5.67 billion in GMV. The Business-to-Consumer (B2C) e-commerce segment is expected to grow steadily at a CAGR of 8.68 percent during 2023-27.

Government Initiatives and Market Expansion

The Government e-Marketplace (GeM), an online public procurement platform, has significantly enhanced efficiency and transparency in procurement activities. By FY23, procurement from GeM crossed the Rs 2 lakh crore ($24 billion) mark, with a total of Rs 3,34,933 crore ($40.97 billion) in orders since its inception.

Social and Live Commerce

India’s social commerce sector is projected to expand to $16-20 billion by FY25, with an impressive CAGR of 55-60 percent. By 2030, this could potentially reach $70 billion. Live commerce, driven by beauty and personal care (BPC) segments, is expected to hit a GMV of $4-5 billion by 2025.

Global giants like Facebook and Google have made significant investments in the Indian e-commerce market, notably in Reliance Jio. Facebook's investment in Jio and Google's $4.5 billion investment are pivotal moves that signal strong growth prospects. The acquisition of Future Group by Reliance Retail further consolidates the Ambani Group's position in the e-commerce sector.

READ MORE:Flipkart Grocery Rockets: 1.6X Growth, 50 pc EV Deliveries, and Tier II+ Domination

Expanding Horizons in Tier II and III Cities

The rapid expansion of e-commerce into Tier II and III cities is a notable trend. In 2022, these cities contributed 41.5 percent of the market share, up from 34.2 percent in 2021. This growth is expected to continue, driven by increasing internet penetration and digital literacy in these regions.

Regulatory Support and Future Prospects

India’s e-commerce sector benefits from favorable government policies, such as 100 percent Foreign Direct Investment (FDI) in B2B e-commerce and automatic route FDI in the marketplace model of B2C e-commerce. The Digital India campaign aims to create a trillion-dollar online economy by 2025, with initiatives like the Open Network for Digital Commerce (ONDC) fostering a competitive and inclusive digital marketplace.

India’s e-commerce industry is poised for unprecedented growth, with significant contributions from online grocery, fashion, B2B markets, and social commerce. The combination of favorable government policies, major global investments, and increasing internet and smartphone penetration are driving this dynamic and rapidly evolving market toward becoming a global leader in e-commerce.

The retail industry is experiencing a transformative shift driven by advancements in artificial intelligence (AI). AI technologies are reshaping various aspects of retail operations, from enhancing sustainability to improving customer experiences and operational efficiency. As of 2023, the global AI in the retail market is on an exponential growth trajectory, with projections indicating a revenue surge to $119.9 billion by 2032, according to a report by Acumen Research.

Here are some of the AI trends that are revolutionizing the retail landscape:

Sustainability Initiatives

One of the most notable trends in the AI in retail market is the growing emphasis on sustainability initiatives. As environmental consciousness becomes a priority for both consumers and businesses, retailers are increasingly leveraging AI to bolster their sustainability efforts. AI-powered analytics play a crucial role in reducing waste, optimizing energy consumption, and streamlining supply chains to minimize environmental impact.

Reducing Waste

AI enables retailers to predict demand more accurately, thereby reducing overproduction and minimizing waste. By analyzing historical sales data, market trends, and other relevant factors, AI algorithms can forecast future demand with greater precision. This allows retailers to adjust their production schedules accordingly, ensuring that they produce only what is needed. Consequently, this reduces the likelihood of excess inventory and unsold goods ending up in landfills.

Optimizing Energy Consumption

Energy consumption is a significant concern for retail businesses, particularly those with large physical stores or distribution centers. AI-powered systems can monitor and analyze energy usage patterns, identifying opportunities for optimization. For example, AI can adjust lighting and HVAC systems based on occupancy levels and weather conditions, leading to substantial energy savings. By reducing energy consumption, retailers can lower their carbon footprint and contribute to environmental sustainability.

Streamlining Supply Chains

AI-driven logistics solutions are transforming supply chain management by optimizing delivery routes and reducing carbon emissions. AI can analyze traffic patterns, weather conditions, and other variables to determine the most efficient routes for delivery vehicles. This not only reduces fuel consumption but also ensures timely deliveries. Additionally, AI can help retailers manage inventory more effectively, ensuring that products are transported in the most efficient manner, thereby reducing the environmental impact of logistics operations.

Enhanced Customer Experiences

AI is playing a pivotal role in reshaping customer experiences in the retail sector. Personalized shopping experiences, powered by AI, are becoming the norm, as retailers strive to meet the evolving expectations of their customers. Several AI-driven technologies are enhancing customer service and engagement, making shopping more convenient and enjoyable.

Personalized Recommendations

AI algorithms analyze customer behavior, preferences, and purchase history to provide tailored recommendations and offers. By understanding individual customer needs and preferences, retailers can offer more relevant products and promotions. This personalized approach not only enhances customer satisfaction but also drives sales and customer loyalty. For instance, online retailers like Amazon use AI to recommend products based on previous purchases and browsing history, creating a more engaging shopping experience.

Virtual Assistants and Chatbots

Virtual assistants and chatbots, equipped with natural language processing (NLP) capabilities, are revolutionizing customer service. These AI-driven tools can provide instant support, answer queries, and assist customers in making purchasing decisions. Chatbots are available 24/7, ensuring that customers can get help whenever they need it. This improves customer satisfaction and reduces the workload on human customer service representatives, allowing them to focus on more complex issues.

Augmented Reality (AR) and Virtual Reality (VR)

AI is also driving the adoption of augmented reality (AR) and virtual reality (VR) technologies in retail. These immersive technologies offer customers unique shopping experiences that bridge the gap between online and offline retail. For example, AR can allow customers to visualize how furniture will look in their homes before making a purchase. VR can create virtual stores where customers can browse products in a 3D environment. These innovations not only enhance the shopping experience but also increase customer engagement and conversion rates.

Operational Efficiency

AI technologies are significantly improving operational efficiency in the retail sector. Automation of routine tasks and advanced analytics are enabling retailers to optimize their operations, reduce costs, and enhance productivity.

Automation of Routine Tasks

AI-powered automation is streamlining various routine tasks such as inventory management, order processing, and customer support. Automated systems can monitor inventory levels in real-time, generate orders when stocks are low, and process transactions quickly and accurately. This reduces the need for manual intervention and minimizes the risk of errors. By automating these tasks, retailers can allocate human resources to more strategic activities that require creativity and problem-solving skills.

Predictive Analytics

Predictive analytics, driven by AI, is transforming supply chain management by enabling retailers to forecast demand more accurately and optimize inventory levels. By analyzing data from multiple sources, AI can predict trends and identify potential disruptions in the supply chain. This allows retailers to take proactive measures to ensure that the right products are available at the right time, reducing the likelihood of stockouts or overstock situations. This not only improves customer satisfaction but also reduces carrying costs and improves overall efficiency.

READ MORE: India Retail Landscape Set for a Recast with AI-Powered Engagement

Fraud Detection

AI-powered fraud detection systems are enhancing security and reducing financial losses for retailers. These systems analyze transaction data in real-time, identifying patterns and anomalies that may indicate fraudulent activity. By detecting fraud early, retailers can take immediate action to prevent losses and protect their customers. AI-driven fraud detection systems are continually learning and evolving, becoming more effective over time in identifying new and sophisticated fraud schemes.

The local retailers in Telangana have taken a commanding lead in the e-commerce sector, witnessing an astonishing 1100 percent growth in transactions. Following Telangana, retail stores in Uttar Pradesh have also seen a substantial increase in e-commerce transactions, recording a 164 percent growth. This surge reflects a broader trend where semi-urban and rural areas are becoming significant players in the e-commerce space. Popular product categories among these transactions include groceries, mobile phones and accessories, and clothing.

According to the latest PayNearby report, titled ‘Atmanirbhar Bharat Digital Empowerment,’ highlights the growing acceptance of assisted financial and digital services at semi-urban and rural retail stores such as kirana stores, medical stores, and mobile recharge outlets.

Growing Ticket Sizes and Popular Categories

The average ticket size for e-commerce transactions stands at Rs 1,500. In the branded shop segment, the average ticket size is higher, at Rs 3,000. This indicates a robust demand for a variety of products and a growing comfort among consumers in these regions to engage in higher-value transactions.

Anand Kumar Bajaj, Founder, MD & CEO of PayNearby, stated, “Rural commerce is undergoing a significant shift with aspirational customers getting access to various products at a nearby store. At PayNearby, we are leveraging the Distribution-as-a-Service (DaaS) architecture so that tech-shy customers can embrace the e-commerce revolution with superior experience, local retailers have enhanced income opportunities and e-commerce partners can expand their footprint, even to the remotest of areas. We are dedicated to empowering local retailers and ensuring that essential digital and financial services are accessible to everyone and everywhere."

Financial Services at Retail Stores: A Growing Trend

The report highlights a growing reliance on local retail stores to provide essential financial services such as cash withdrawals, deposits, credit, and insurance. Assam leads this trend with a significant increase in the number of retailers offering these services and overall transaction volumes.

AePS and Micro ATM Adoption on the Rise

The adoption of AePS (Aadhaar-enabled Payment System) and Micro ATM services at retail stores is also increasing, particularly in Jammu & Kashmir and the Northeastern states. In J&K, AePS adoption saw over 134 percent growth in transaction value and 89 percent in volume, while Micro ATM transactions rose by 31 percent. In the Northeastern states, Meghalaya witnessed a staggering 1000 percent growth in AePS transaction value and a 712 percent increase in transactions, followed by notable growth in Nagaland and Assam.

MSME Loans and Insurance Disbursals

Punjab has emerged as the leader in disbursing MSME loans through retail stores, with a 29 percent increase. Insurance disbursals have also seen significant growth, with Kerala and Madhya Pradesh recording increases of 24 and 14 percent, respectively.

Digital Payments Surge

The report indicates a strong shift towards digital payments, with transactions on UPI QR codes at retail outlets growing by an impressive 84 percent. This surge underscores the increasing adoption of digital payment methods across various regions of India.

The data, collected for FY 2023-24 and compared to the previous financial year, underscores the significant strides being made in empowering local retailers and consumers through digital and financial inclusion.

In recent years, India has witnessed a transformative surge in e-commerce, positioning itself as a vibrant epicenter of digital commerce that is fundamentally altering the country's economic fabric. This seismic shift is propelled by a confluence of factors, including widespread internet connectivity, the proliferation of smartphones, the rise of digital payment systems, and shifting consumer behavior patterns.

At the heart of India's e-commerce boom lies its vast population, exceeding 1.44 billion people. This demographic dividend presents a colossal consumer base, making India one of the largest and most lucrative markets for e-commerce globally. The allure of convenience and accessibility offered by online shopping platforms has captivated consumers across the socio-economic spectrum, particularly those residing in urban centers and Tier II and Tier III cities, where traditional retail infrastructure may be lacking. India's e-commerce market is expected to reach $200 billion by 2026, according to a report by Morgan Stanley. As of 2022, India had over 700 million internet users, with over 600 million smartphone users, creating a vast digital audience for e-commerce platforms.

The exponential growth of e-commerce in India has been significantly propelled by the rapid adoption of digital payment systems, spurred by government initiatives and the widespread embrace of mobile wallets and Unified Payments Interfaces (UPI). This seamless and secure online transaction environment has instilled consumer confidence, leading to a fervent embrace of online shopping and a deepening penetration of e-commerce in Indian society. The COVID-19 pandemic further accelerated this trend, with a 30 percent increase in online shopping reported by the United Nations Conference on Trade and Development. Lockdowns and social distancing measures compelled consumers to turn to online platforms, highlighting the resilience and indispensability of e-commerce, which has solidified its position as a vital component of India's retail landscape.

Beyond catering to consumer demands, India's e-commerce revolution has unleashed a wave of entrepreneurial dynamism, providing a fertile breeding ground for start-ups and small and medium enterprises (SMEs) to thrive. Online marketplaces offer a level playing field for businesses of all sizes to showcase their products and services, democratizing access to markets and enabling even the smallest ventures to reach a global audience.
Moreover, the e-commerce boom has spurred significant investments in logistics and supply chain infrastructure tailored to the unique needs of digital commerce. Companies have poured resources into building robust delivery networks and last-mile connectivity, ensuring swift and reliable fulfillment of orders across the vast expanse of the Indian subcontinent.

Nevertheless, formidable challenges loom on the horizon, threatening to impede the sector's momentum. Logistics bottlenecks, regulatory complexities, and infrastructural deficiencies pose formidable hurdles that must be surmounted to sustain the e-commerce juggernaut. Furthermore, safeguarding consumer trust and data privacy is imperative to foster a resilient and inclusive e-commerce ecosystem that benefits all stakeholders.

Looking ahead, the trajectory of India's e-commerce sector appears poised for continued expansion and evolution. As technology continues to advance and consumer preferences evolve, the e-commerce landscape will undergo continual metamorphosis, presenting both opportunities and challenges for businesses, policymakers, and society at large. Embracing innovation, fostering collaboration, and nurturing an enabling regulatory environment will be essential to unlocking the full potential of India's e-commerce revolution and ushering in a new era of digital prosperity. The Indian government's Digital India initiative aims to ensure that government services are made available to citizens electronically by improving online infrastructure and increasing Internet connectivity.

Authored By

Ayush Gupta, CEO,SwopStore

From January 1st to April 30th, consumers displayed robust spending habits online, amounting to $331.6 billion, marking a 7 percent year-over-year (YoY) increase. This growth trajectory has been sustained by steady expenditure in discretionary sectors such as electronics and apparel, alongside a continued surge in online grocery shopping. Adobe anticipates the first half of 2024 to drive over $500 billion in online spending, representing a 6.8 percent YoY growth.

Adobe has unveiled comprehensive insights into the landscape of U.S. e-commerce for the first four months of 2024. Leveraging Adobe Analytics data, the report offers unparalleled visibility into online commerce transactions, encompassing over one trillion visits to U.S. retail sites, analyzing 100 million SKUs, and delving into 18 product categories. Adobe Analytics, an integral part of Adobe Experience Cloud, is trusted by over 85 percent of the leading 100 internet retailers in the U.S. for delivering, measuring, and personalizing online shopping experiences.

Key Spending Trends

In the first four months of 2024, consumers allocated $61.8 billion towards electronics (up 3.1 percent YoY) and $52.5 billion towards apparel (up 2.6 percent YoY). Despite marginal YoY increases, both categories collectively accounted for 34.5 percent of overall e-commerce expenditure, bolstering overall growth. Notably, groceries emerged as a standout category, witnessing a significant 15.7 percent YoY growth, with $38.8 billion spent online.

Emerging Categories

The report sheds light on the burgeoning cosmetics category, which recorded $35 billion in online spending in 2023, experiencing a robust 15.6 percent YoY growth. This upward trajectory persisted into 2024, with consumers spending $13.2 billion online for cosmetics, reflecting an 8 percent YoY increase.

Shifts in Consumer Behavior

Persistent inflation has prompted consumers to gravitate towards more affordable goods across major e-commerce categories. Adobe's analysis reveals a notable increase in the share of cheaper goods across various sectors, such as personal care, electronics, apparel, and home goods. Furthermore, the report underscores the revenue impact of inflation within specific categories, highlighting contrasting trends in consumer behavior based on price sensitivity and brand loyalty.

Continued Adoption of Buy Now Pay Later (BNPL)

Consumers continue to embrace Buy Now Pay Later (BNPL) options for enhanced budget management, with $25.9 billion of e-commerce spending attributed to BNPL from January to April 2024, marking an 11.8 percent YoY increase. Adobe anticipates further growth in BNPL adoption, with projected spending between $81 billion and $84.8 billion in 2024, reflecting YoY growth between 8 percent and 13 percent.

Insights into Online Shopping Trends

The report underscores the increasing dominance of mobile commerce, with a revenue share from mobile surpassing desktop during the 2023 holiday season and maintaining momentum into 2024. Additionally, Adobe provides insights into retailers' marketing investments, with paid search emerging as the primary driver of sales, followed by direct web visits, affiliates/partners, organic search, and email marketing.

Impact of Inflation

Despite strong consumer spending, Adobe's Digital Price Index reveals a consistent decline in e-commerce prices over the past year, down 5.6 percent YoY in April 2024. This deflationary trend, coupled with net new demand, has driven robust growth in overall consumer spending, indicating resilience in the digital economy.

By providing comprehensive data and analysis, Adobe's insights offer invaluable perspectives on the evolving landscape of U.S. e-commerce, guiding retailers and stakeholders in navigating dynamic market dynamics and consumer preferences.

In 2024, India's e-commerce is pivoting towards sustainability due to increasing consumer demand for eco-friendly practices. This shift sees major players adopting greener methods, like carbon-neutral logistics and renewable energy, setting new standards for environmental responsibility in the digital era.

The transformation focuses on minimizing the carbon footprint throughout the product life cycle, from raw material extraction to disposal. It involves "green supply chain practices" such as transport optimization and minimalistic packaging, ensuring products are eco-friendly and meet consumer demands.

Digital transformation, integral to e-commerce growth, introduces the challenge of increased greenhouse gas emissions from energy-intensive computing. Increased compute and GPU intensive GenAI adoption across the customer experience and operations journeys leave a heavy carbon footprint. Research estimates the development of GPT-3 required 1,287 megawatt-hours of electricity, resulting in 502 tons of CO2 emissions—equivalent to the annual emissions from 112 gasoline cars. This is before consumers started using it. Other studies found that the world’s data centers account for 2.5 to 3.7 percent of global greenhouse gas emissions, surpassing the aviation industry’s carbon output. Despite using only 0.9 to 1.3 percent of the world's electricity in 2021, their energy demand could rise to 1.86 percent by 2030, with a projected surge in data center power consumption to approximately 4,250 megawatts by 2028, marking a 212X increase from 2023.

Sensing this existential crisis, the e-commerce sector is turning towards green data centers, which can mitigate the environmental costs associated with online commerce.

Green data centers significantly reduce the carbon footprint of an organization’s digital operations. Most major hyperscale operators (including Microsoft and Google) are either already powering their cloud computing data centers with 100 percent carbon-free energy or have roadmaps to do so by 2030, to achieve net-zero operational carbon emissions with reduced reliance on fossil fuels. Icelandic data centers are gaining popularity, for running on a mix of geothermal and hydroelectric energy.

However, energy consumption is not limited to computing alone in large data centers. Green data centers improve energy efficiency by employing advanced cooling technologies such as liquid immersion, direct-to-chip cooling, plan-based cooling, and zero-water cooling and by optimizing server configurations, significantly reducing energy use and heat output. Innovative solutions, such as underwater data centers and free chillers-based cooling technologies are bringing in more efficiency.

Collaboration with industry peers and NGOs, alongside certifications from recognized sustainability standards, is key to promoting green data center initiatives, highlighting a commitment to environmental stewardship. As of September 2022, India had over 200 large data centers. India has been striving to go green since 2010, and the CII-IGBC (The Confederation of Indian Industry - Indian Green Building Council) Green Data Center Rating was launched in 2016. Data center operators are being encouraged to use renewable energy like solar and wind power by collaborating with the ministry of Power. Prominent data center players in India such as CtrlS Datacenters & Sify Technologies, have been at the forefront of LEED (Leader in Energy and Environmental Design) certified green data centers.

The e-commerce sector aims for carbon neutrality through measures such as carbon offsetting via reforestation, renewable energy investments, sustainable building and waste management practices, and the use of energy management systems for efficiency optimization.

This holistic approach to sustainability extends beyond operational changes; it influences brand image and consumer loyalty. Today's discerning consumers gravitate towards brands that reflect their environmental values, compelling e-commerce companies to align with these expectations. Strategic partnerships and technological innovations are key, enabling businesses to amplify their sustainability impact. Such initiatives not only contribute to environmental health but also bolster brand reputation and consumer trust.

The Green Revolution showcases the potential for aligning economic progress with environmental sustainability, boosting India's global reputation and its role in combating climate change. This movement highlights the importance of innovation, dedication, and collective efforts towards achieving a sustainable future.

The Indian e-commerce sector is not just adapting to current demands but is also driving a shift towards sustainability. This change promotes a balance between commerce and environmental care, ensuring long-term benefits. With actions like green data centers and life cycle assessments, the industry presents a sustainable model, emphasizing the importance of corporate responsibility for a greener planet. This eco-conscious revolution signifies a major step towards a sustainable market landscape.

Authored By

Partha Ghosh, Head of Consulting, Digital Experience, Europe, Infosys

It is no longer about neon lights and fancy storefronts that dictate the footfall into the retail store, the digital window dressing is the real lure. The pandemic has permanently shifted a chunk of the retail traffic to the digital channel and charted an evolutionary path like never before. Fuelled by rapid digitization, present-day consumers have access to an on-demand economy where they desire to engage with retailers on a channel of their preference at the click of a button and receive answers to a host of queries ranging from order changes and delivery tracking to complaints and returns.

Meeting the expectations of personalized and seamless interactions across channels has raised the stakes for retailers. According to a study by Genesys, 80 percent of consumers will buy more from companies that consistently personalize their interactions, anticipate their needs, and proactively offer solutions. Today, the biggest challenge for retailers is automating smarter, adapting faster, and following through with a curated value proposition that caters to clients. By overcoming these challenges, retailers can build loyalty and retention in the long run.

With the rise of e-commerce and digital channels, organizations are witnessing a large influx and increased volume of customer data. This data can provide valuable insights into the consumer psyche if it is tapped meaningfully. However, many retailers are not able to harness the right technology and find it tough to process this large quantity of data to enhance client engagement and loyalty. They inadvertently miss the opportunities that digital promises, such as maintaining seamless experiences, understanding buyer preferences, and expanding client reach.

Having a state-of-the-art cloud contact center can provide retailers with strategic insights into the nature of customer queries, behavior, and pain points, which they can harness to carve out strategies and orchestrate meaningful experiences along the entire journey. However, very often internal silos and complex tasks lead to operational challenges in a contact center, which results in negatively impacting employee engagement, managing resources, and eventually affecting the bottom line. Artificial Intelligence (AI) and machine learning can play a vital role here. By marrying automation and logic, employees can utilize tools to gain productivity and efficiency, which can eventually result in improved experiences and business results for the end user. Forrester Research states that organizations that effectively leverage AI can expect an increase of 5-10 percent in their revenues. They can take advantage of AI in contact centers to adapt to increasing demands and improve overall business performance while also using it to improve quality, consistency, and employee experience. Businesses with the right AI tools can predict, listen, understand, and act in real time, allowing them to remove friction for their workforce and provide more personalized services for their customers.

Harnessing AI for Predictive Routing & Personalised Engagement

Maximising AI for enhancing employee engagement does not entail just adding the latest application as a magic bullet but building an AI strategy that encompasses data, analytics, and the many applications of AI and machine learning -- routing, scheduling, forecasting, predictions, and more. When these elements come together, they provide compelling business outcomes.

Of the various components responsible for the success of a contact center, routing ranks high. Most of the contact centers still use queue-based routing, a technology that was developed more than 40 years ago. However, such traditional routines pose severe bottlenecks when new channels are built. It is challenging to align with new demands and alter business rules as queues in such a routing system are inflexible, siloed, and static. All this leads to a dependency on the IT team, which decreases employee efficiency and delivers a high effort and fragmented experience for customers.

To stay competitive, organizations must transition to a predictive routing technology that has the potential to support a larger, omnichannel experience spanning the entire customer journey by harnessing the power of data over time. Here leveraging AI and machine learning,  clients are paired with those agents who are best suited for the customer’s case.

Today, predictive engagement is emerging as a powerful tool, enabling organizations to connect with their audience precisely when it matters most. For instance, predictive engagement initiates a proactive chat when a customer abandons their shopping cart. It seamlessly connects the visitor with a dedicated sales representative who can offer guidance through the purchase journey. Lastly, predictive engagement goes above and beyond to ensure that the customer’s resources are dedicated to the most valuable and gratifying inquiries, ultimately enhancing the overall customer experience by providing the right level of assistance to the customer.

The Future of Retail: Personalised & Automated Engagement Pave the Way

An e-commerce concept known as connected retail which has the potential to go beyond a transactional approach to lend customers a personalised experience across each touchpoint using digital technologies, is gaining recognition. With a customer-centric approach, retailers can address customer expectations across all channels by understanding who they are, where they came from, and what they want to do next. The key lies in leveraging high-quality insights effectively to connect with the audience better for a more empathetic, personalized approach. Insights can be garnered in real-time, to figure out who, when, and how to engage, and based on the outcome prediction retailers can proactively identify their target audience and surface relevant offers to capture upsell opportunities and drive conversions.

With AI, retailers can adapt quickly to changing business demands, personalize experiences with consumers, and beat the competition through a showcase of value and increased digital bandwidth. Today’s AI can also be implemented and managed with limited resources. Predictive routing and personalized engagement, powered by AI and machine learning, combine employee performance capabilities with user collaborations in a unique manner to accomplish better client and employee interaction. In these times of flux, it is important for businesses to make the most of the next-generation routing solution and take their retail businesses to the next level of growth by delivering incredible experiences powered by transformative AI technologies.

About the Author

Raja Laksmipathy, Managing Director of Genesys India

A seasoned professional with 30 years of experience in Unified Communications and Collaboration applications. Adept at devising and executing strategies to accomplish high-end revenue growth, Customer acquisition & retention, and managing client relationships at all levels.

In the age of convenience-driven consumption, where every click brings a package to your doorstep, the environmental impact of online shopping cannot be overlooked. As the world grapples with sustainability challenges, there's a growing awareness about the excessive packaging accompanying our online purchases. In a recent study commissioned by Amazon, it was revealed that seven out of 10 Indian adults would gladly receive their online orders sans additional delivery packaging, marking a significant shift in consumer attitudes towards eco-conscious practices.

The findings come at a time when essential items are increasingly being delivered to Indian doorsteps without the burden of excess packaging. The rationale behind this shift is compelling – more than half of Indian shoppers cited a desire to minimize packaging material consumption as their primary motivation. This aligns with global efforts by Amazon, which has managed to slash outbound packaging weight per shipment by a staggering 41 percent since 2015, eliminating over 2 million tons of packaging material in the process.

The company has been pioneering sustainable packaging initiatives in India and globally. By utilizing reusable crates or tote bags to protect eligible items, Amazon has managed to bypass the need for supplementary packaging, leading to lighter shipments and reduced carbon emissions per package.

However, not all items are created equal in the eyes of consumers when it comes to packaging preferences. The study identified certain product categories, such as clothing apparel, detergent, and stationery, where customers are content to receive items in their original packaging with just an address label added. On the other hand, discreet packaging remains crucial for sensitive products like contraceptive devices and medical supplies.

Abhinav Singh, Vice President of Operations at Amazon India, emphasized the company's commitment to sustainable practices, stating, "“Like us, our customers really care about reducing packaging, and we’ve made significant progress doing so for years,” said Abhinav Singh, Vice President- Operations, Amazon India. “That said, we aren’t satisfied with continued reduction. Where possible, we want to eliminate packaging altogether.

“One way we do this is by working with manufacturers to design packaging that’s capable of shipping safely, without additional paper bags, envelopes or boxes from us. We’ve already achieved a lot, increasing the number of orders shipped to customers with no added delivery packaging in India by 83 percent since 2021. We are working to ship even more deliveries the same way.”

To assuage concerns regarding product safety, the subjects selected items to rigorous drop tests, ensuring they reach customers unscathed. Leveraging machine learning algorithms, Amazon evaluates the durability of manufacturer packaging, customizing shipping solutions based on distance traveled and product fragility. While tech accessories, homeware, and shoes are often shipped with minimal packaging, items requiring extra protection, such as liquids and fragile goods, still warrant additional packaging.

Despite the transition towards reduced packaging, customer confidence remains paramount. The study found that one in three respondents felt reassured by the refund or replacement policy for missing items, underscoring the importance of trust in driving sustainable shopping practices.

In tandem with its packaging reduction initiatives, Amazon has positioned itself as a leader in environmental stewardship through initiatives like The Climate Pledge. By committing to achieve net-zero carbon by 2040 and transitioning to 100 percent renewable energy across its operations by 2025, Amazon is setting a precedent for corporate sustainability efforts worldwide.

As consumers increasingly prioritize sustainability in their purchasing decisions, the shift towards minimal packaging in online shopping represents a pivotal moment in the retail landscape. With Amazon spearheading these efforts, there's hope that other industry players will follow suit, ushering in a future where convenience and environmental responsibility go hand in hand.

Given the significant developments in 2023, such as the growth of retail media, generative AI, connected TV (CTV), shoppable content, and digitally enabled stores, 2024 is poised to advance even further and facilitate additional disruptions. According to a study, sales initiated through live commerce could constitute 20 percent of all e-commerce by 2026. Projections indicate that India's e-commerce market will reach $220 billion by 2025, with live commerce contributing over $50 billion in Gross Merchandise Value (GMV), as reported by EY India.

1. AI in Retail

AI and predictive analytics will continue to drive optimizations like dynamic pricing, fraud prevention, and supply chain management. The use of AI in retail is predicted to grow, providing enhanced efficiency, better decision-making, and a more personalized and easy shopping experience for customers.

2. The Rise of AI Shopping Agents

AI shopping agents, trained on individual customer preferences and favorite influencers, function as virtual stylists and shoppers. These agents can recommend items based on our preferences and style, identify wardrobe gaps, notify us of relevant bargains and deals, and even execute orders on our behalf. This transition from incremental savings to disruptive, personalized experiences showcases AI's capacity to profoundly reshape purchasing behavior and revolutionize the retail industry. Instead of mere optimizations, these AI agents/personalized GPTs could evolve into trusted advisors and purchasing partners.

In 2024 and beyond, numerous AI applications are expected to emerge. Similarly, generative AI stands out as a powerful technology that leverages vast datasets to create personalized experiences and streamline various facets of retail operations. It offers numerous advantages for a variety of purposes and is not limited to a single domain. GenAI extends its capabilities to customer interactions by generating relevant responses in various formats, such as text and visuals, based on real-time data. It can identify upselling and cross-selling opportunities and efficiently handle client inquiries. The real-time capabilities of Gen AI also extend to pricing optimization, allowing it to adjust prices in response to market conditions, demand patterns, and competition pricing.

3. Shoppable Content & Live Commerce

Live commerce is also transforming the online shopping experience by combining entertainment and quick purchasing. It represents a novel approach to e-commerce that blends real-time engagement with online buying, enabling e-commerce websites to deliver personalized, interactive, and real-time experiences instead of static content.  By harnessing these capabilities, e-commerce websites can enhance user engagement, build trust, and ultimately increase conversions and revenue. One of the primary advantages of live shopping is its ability to elevate the entire e-commerce experience. Through live interactive streaming of videos or events, brands can engage with customers in real-time, making the purchasing process more personalized and enjoyable. Features such as live demonstrations, Q&A sessions, and exclusive offers create a sense of urgency and anticipation, encouraging immediate purchases. In addition to shoppable livestreams, various platforms offer solutions for live auctions, personalized shopping experiences, and e-commerce-related video chat for customer assistance.

Live shopping sets itself apart in a crowded e-commerce landscape by offering a unique and compelling purchasing experience. It enables businesses to bridge the gap between in-store and online purchasing experiences, making them more engaging and memorable for customers.

About the Author

Ranga Jagannath, Senior Director, Agora

Savvy Indian retailers are capitalizing on growing app fatigue to deliver an all-inclusive digital experience to consumers through super apps. The rise of super apps in India like PhonePe and Tata Neu is evidence of the growing customer preference for these all-in-one applications that combine multiple digital services into one single platform. However, the profitability of super apps relies not only on convenience but also on providing excellent digital experiences to customers. 

According to the New Relic State of E-commerce in India report, Indian customers had potential concerns with super apps that were related to bandwidth and storage, including the need for 4G/5G internet capabilities (45 percent), and a lot of storage space on devices (42 percent). Despite strong interest in the segment, reliability is still a key concern for many Indians and represents a hurdle to adoption.

Scaling confidently without compromising user experience

As super apps add new integrations and scale their user and revenue base, their tech stack naturally becomes more complex, making it hard to pinpoint and resolve issues when they arise. These apps serve millions of customers so any disruptions or downtime will result in significant revenue losses and potential customer churn.

In India, 59 percent of customers cited poor user experience as one of the major reasons for uninstalling an app. The potential for super apps to fail is multifold: high traffic volumes, poor third-party integrations, the lack of adequate monitoring, troubleshooting, and blindspots in the IT environment to name a few. While the reasons are numerous, every time the app crashes, the brand loses face in front of its customers, risking customer attrition, and potential revenue for its business and integrated partners.

Irrespective of whether an outage occurs due to problems within the application, the cloud it runs on, or even the customer’s internet connectivity,  the brand will often take the hit for a compromised digital user experience. It’s perhaps why one in three customers will leave a brand behind when encountering a poor experience.
 
Scaling confidently requires super apps to deliver a seamless user experience. Full-stack observability helps to solve these problems by giving engineering and technology teams actionable insights into business-impacting issues, ensuring optimal application performance at all times. It also helps to pinpoint any issues with ISPs, SaaS apps, DNS, or third-party providers so engineering teams can find and fix issues proactively and minimize any impact on the customer experience.

Creating frictionless transition between services

The key to super app success lies in ensuring smooth transitions between different services. Eliminating each step that creates friction increases the activation rate, ultimately offering super apps a competitive edge. Another strength of super apps is the ability to analyze large volumes of data to learn user behaviors that help to customize the experience. However, making sense of vast amounts of data can be challenging without the right tooling.

Globally, data scientists spend nearly 40% of their time cleaning and organizing data. Teams get bogged down by silos, where data from individual tools inevitably ends up on multi-tabbed spreadsheets, losing crucial context and insight. The same goes for engineers.  For them to be more proactive in improving app reliability, they must be able to make sense of their telemetry data so they can pinpoint its impact on business outcomes. This level of contextualization helps super apps to expand and grow with confidence, but can only be achieved with observability.

Full-stack observability platforms are designed to identify patterns proactively as they provide full visibility into applications, storage, services, and networks, ensuring that engineering teams have in-depth visibility into the behavior, performance, and health of the app. The success of super apps are reliant on this level of insight. Without observability, engineering teams run the risk of blind spots that can impact the customer experience, and businesses risk losing those customers to the competition.

Authored by

Rohit Ramanand, GVP of Engineering India, New Relic 

In retail, the rise of the metaverse and Web 3.0 marks a shift towards new business approaches. Starting from gaming, the metaverse is now driving fresh ways for brands and consumers to interact, especially in retail. This digital environment integrates the physical world with enhanced developments, presenting numerous models of engagement and opening up new opportunities.

The growing popularity of the metaverse extends beyond businesses; consumers are eagerly anticipating the possibilities within this virtual domain. According to Gartner, projections indicate that by 2026, approximately 25% of individuals will spend an hour daily immersed in the metaverse for various activities including shopping, entertainment, education, and work. As we explore this early stage, understanding the implications for the retail sector becomes imperative. Given that retail depends on direct consumer engagement, the metaverse offers a foundational platform for retailers to redefine customer interactions.

Prominent global retailers such as Zara and Nike, alongside luxury brands like Gucci and Balenciaga, have already established strong presences in the metaverse. Nike's creation of NIKELAND within the virtual world of Roblox exemplifies this trend, enabling users to explore a virtual array of sneakers. Remarkably, in Roblox, a digital version of a Gucci bag sold for $4,115, surpassing its real-world price.

The appeal of virtual stores lies in their capacity to spark curiosity and entertainment, encouraging extended engagement with the brand. Data from Emperia's virtual store indicates that visitors spend an average of 14 minutes browsing through virtual showrooms, highlighting the potential for immersive experiences in the metaverse.

A Boom for Online Retailers

A McKinsey survey forecasts that the metaverse industry will generate $5 trillion by 2030, with e-commerce poised to reap significant benefits, estimated at $2 to $2.6 trillion. Online retailers possess a distinct advantage in tailoring consumer experiences based on collected engagement data. Customization of layout, colors, showcased products, and interaction creates a personalized experience for users worldwide.

Metaverse for Retail Success

The metaverse is transforming how retailers engage with consumers. Here are five key insights into its impact on retail success:

1. 3D Product Experiences from Home: The metaverse facilitates immersive experiences, allowing consumers to interact with products in three dimensions from the comfort of their homes. This enhances the shopping experience and reduces the uncertainty associated with online purchases.
2. Consistent Global Engagement: Through the metaverse, retailers can engage with customers consistently across geographical boundaries, transcending physical limitations and expanding their global reach.
3. Personalized Engagement: Leveraging consumer data, retailers can deliver personalized experiences tailored to individual preferences, fostering stronger brand loyalty and increasing conversion rates.
4. New Sales Challenges: The metaverse presents novel sales challenges and opportunities for retailers to innovate and adapt, driving creativity and strategic thinking in marketing and sales strategies.
5. Reducing Operational Costs and Environmental Impact: Establishing a presence in the metaverse enables retailers to reduce operational costs associated with physical stores, redirecting resources towards digital enhancement. This enhances sustainability and reduces environmental impact.

As retailers enter the metaverse, they find vast potential for growth. Extending from physical showrooms offers fresh engagement and branding. Loyalty programs and subscriptions can bridge the physical and virtual worlds. With brands embracing the metaverse, it becomes a major retail trend. Retailers must adapt. Now is the time to explore the metaverse, promising to reshape customer experiences and drive retail forward.

Piyush Gupta, CEO, VOSMOS

In the ever competitive Indian e-commerce landscape, the quest for a platform that blends seamless functionality with localized performance has led many to seek Shopify alternatives. Do Indian startups have what it takes to take on this $100 bn+ behemoth?

Enter Hypestore, a revolutionary e-commerce website builder designed with the Indian market in mind. This platform is not just another addition to the array of online retail solutions; it's a tailored answer to the specific needs of Indian merchants, promising enhanced performance, unparalleled ease of use, and a comprehensive suite of built-in growth tools.

Load Speed & Performance

One of the standout features of Hypestore is its cloud server in India, which significantly boosts website speed compared to Shopify's servers that are not primarily focused on the Indian demographic. Speed is a critical factor in e-commerce success, with faster First Contentful Paint (FCP) and Largest Contentful Paint (LCP), Time to First Byte (TTFB) and more, it is directly correlating to better conversion rates. Hypestore excels in these technical metrics, ensuring that every page load is quick and every interaction is smooth.

This local optimization means that Hypestore websites load faster for Indian users, reducing bounce rates and securing higher sales conversions.

Ease of Use: The No-Code Revolution

Hypestore champions the no-code philosophy, empowering merchants to create, customize, and manage their online stores without the need for technical expertise. This is a significant departure from Shopify, where merchants often rely on intermediaries or need to navigate a complex ecosystem of apps and customizations. Hypestore's intuitive drag-and-drop interface ensures that merchants can easily design their storefronts, manage products, and process orders, all without writing a single line of code. This ease of use democratizes e-commerce, making it accessible to a broader range of business owners, from startups to established brands looking to expand their online presence.

Beyond an App Store: Integrated Growth Tools

While Shopify operates largely as an e-commerce app store, requiring merchants to subscribe to multiple apps for additional features, Hypestore offers a more integrated approach. It is not just an e-commerce website builder - it's a comprehensive platform with growth tools included. This means merchants have access to advanced features like SEO optimization, marketing automation, and analytics without the need for external apps. This all-in-one functionality not only simplifies the merchant experience but also significantly reduces the costs associated with running an online store.

The answer is clear. Hypestore stands out as a leading Shopify alternative and e-commerce website builder for the Indian market. Its focus on performance, ease of use, and integrated growth tools makes it an ideal choice for merchants seeking to capitalize on the booming e-commerce sector in India. By choosing Hypestore, Indian businesses can ensure they have a fast, efficient, and user-friendly online store, ready to meet the demands of the modern consumer and equipped to compete in the digital age.

E-commerce has revolutionized the way businesses operate around the world, including the fashion retail industry in India. Over the past decade, the growing prominence of E-commerce platforms has drastically transformed the landscape of the Indian fashion retail sector. 

To understand the role of E-commerce in the Indian fashion retail industry, we must first delve into its historical context. E-commerce in India was relatively nascent until the early 2000s when the internet began gaining widespread popularity. In 2007, the launch of Flipkart, an online marketplace, marked a turning point for E-commerce in India. Flipkart provided a platform for retailers to sell their products online, fueling the growth of E-commerce in the country. This was followed by the entry of other prominent players such as Amazon and Snapdeal, further accelerating the adoption of online shopping among Indian consumers.

In the vast fashion landscape, MYNTRA and AJIO have played a crucial role in curating and personalizing the shopping experience for their customers. These platforms employ big data analysis and machine learning algorithms to understand individual preferences and provide tailored recommendations. By employing advanced technologies, MYNTRA and AJIO have revolutionized how consumers discover and choose fashion, rendering each shopping experience highly personalized.

E-commerce platforms have also played a significant role in bridging the gap between fashion designers and consumers. In the past, small-scale designers struggled to find a market for their creations due to their limited reach. However, E-commerce has provided them with a global platform to showcase their designs and sell directly to consumers, eliminating the need for intermediaries. This has given rise to a thriving ecosystem of independent designers who can now compete with established fashion brands. As a result, the Indian fashion retail industry has become more diverse and inclusive, fostering creativity and innovation.

Several influential individuals have contributed to the field of E-commerce in the Indian fashion retail industry. Sachin Bansal and Binny Bansal, the founders of Flipkart, were pioneers in introducing E-commerce to the Indian market. Their entrepreneurial spirit and vision revolutionized the way Indians shop for fashion. Similarly, Jeff Bezos, the founder of Amazon, played a crucial role in popularising E-commerce in India through the launch of Amazon India, which became a major player in the fashion retail sector.

Despite the numerous benefits, the role of E-commerce in the Indian fashion retail industry also presents challenges. One of the main concerns is the impact on traditional brick-and-mortar stores. Many small retailers have struggled to compete with the convenience and affordability offered by online platforms. This has led to several store closures and job losses, particularly in smaller towns and rural areas where E-commerce penetration is high. Additionally, counterfeit products and fraudulent sellers pose a significant threat to the credibility of e-commerce platforms, undermining consumer trust.

However, the future of E-commerce in the Indian fashion retail industry looks promising. The rapid growth of internet penetration, especially through smartphones, has fueled the adoption of E-commerce among a large section of the population. This presents an enormous opportunity for players in the industry to tap into the potential of a vast consumer base. Moreover, the advancements in technology, such as artificial intelligence and virtual reality, hold the potential to enhance the online shopping experience, making it more personalized and immersive.

In conclusion, the role of E-commerce in the Indian fashion retail industry has reshaped the way business is conducted and revolutionized consumer shopping habits. The historical context, key figures, and impact we have discussed shed light on the transformative power of E-commerce in this sector. While there are both positive and negative aspects to consider, the future looks promising as E-commerce continues to evolve and adapt to the changing needs and expectations of Indian consumers. The role of influential individuals and potential developments highlight the potential for continued growth and innovation in the Indian fashion retail industry through E-commerce.

Authored By

Vedant Bang, Director, Thomas Scott India

In a significant move, bigbasket, a notable entity under the Tata group, unveiled its latest venture, the Precia brand, in collaboration with renowned Padma Shree Awardee Chef Sanjeev Kapoor. The announcement marked the introduction of a diverse range of frozen foods by the online grocery platform, encompassing frozen vegetables, snacks, and sweets. The new brand, Precia, sets ambitious goals, aiming to achieve Rs 100 crore in online sales by the year 2026.

Derived from the word ‘Precious’, Precia’s culinary assortment includes food and desserts specially crafted, tasted, and curated by Chef Sanjeev Kapoor. According to statistics, India’s frozen food sector is projected to reach $4.5 billion in the next 5 years at a CAGR of 16 percent.

Product Differentiation is a Key

Speaking on the collaboration, Hari Menon, CEO, and Co-founder of bigbasket, said, "This venture is our endeavor to unite India through its diverse cuisine. Moving forward, we are committed to continuously introducing new products, sourcing from every corner of the nation."

He further said, “Sanjeev is not just the brand ambassador of the product; he has created these products for us. We have the largest footprint of cold chain infrastructure in the country. This helps us deliver such products in their right size and shape to customers. Reaching customers within ten minutes, ready to be cooked.”

Talking about the expansion of their private labels and the differentiation around the products available in the market, Menon said, “Our philosophy in building private labels is much differentiated. We won’t find somebody better than Sanjeev to work with and help us do this. Everything we do while building private labels is highly differentiated. We don’t offer run-of-the-mill products under our own labels.”

Menon said, “Differentiation is the biggest business strategy for us; 36 percent of our business is private label. It is not about driving higher margins but it is more about driving our brand home.”

Aiming Quick Growth 

In January, Bigbasket revamped its slotted delivery service to ‘supersaver’ with the assurance of fulfilling orders in under two hours. It will also provide an additional 5% savings on a range of products.

Menon said, “We will reach the Rs 150 crore level pretty quickly from a growth standpoint. One of the things that worked best is that we could deliver products like this to homes much faster and in a form that is absolutely safe and good.”

He further said, “We have the largest footprint of cold chains in India. We have great products, and now we have made our slotted delivery faster. Today, you can get a product that you normally receive in a day or two within 2 hours. This immensely helps product service.”

Tailored for Indian Households

Chef Sanjeev Kapoor shed light on the technology employed to preserve the authenticity of Precia products, stating, "We utilize individual quick freezing (IQF) technology to maintain the flavors intact. bigbasket's robust cold chain infrastructure has been pivotal in making this endeavor a success."

Kapoor also emphasized the focus on catering to Indian preferences, mentioning, "These products are tailored for Indian households, featuring unique dishes and a range of Indian mithai previously unexplored."

The Precia brand offers a wide array of frozen grocery items, including green peas, sweet corn, and a mix of five vegetables. Ready-to-cook options include momos, French fries, cheese and corn momos, and chicken momos, while sweet delicacies encompass rabdi, moong dal halwa, gulab halwa, rasmalai, and gajar ka halwa.

In a dynamic landscape where consumer habits evolve rapidly, the retail industry finds itself at a significant turning point. This transformation is fueled by the convergence of technological innovation and shifting economic dynamics. By the year 2025, it is anticipated that 20 percent of the top global retailers will leverage distributed AI systems to achieve holistic results, revolutionizing various facets of their operations including sales, marketing, supply chains, and overall business operations. Furthermore, approximately 45 percent of marketing leaders plan to invest in GenAI within the next 12-24 months, underlining the growing importance of AI in driving business strategies.

The recent joint report titled “Future of Retail: Profitable Growth through Technology and AI,” presented by Deloitte and the Retailers Association of India (RAI) at the Retail Leadership Summit 2024, sheds light on the pivotal role of Artificial Intelligence (AI) in reshaping India’s consumer retail landscape. The report predicts a paradigm shift wherein AI transitions from being a mere tool to becoming the bedrock of profitable growth for retailers.

The digital revolution has catalyzed the evolution of retail into ‘phygital’ or omnichannel experiences, disrupting traditional models and prompting brands to harness technology to enhance customer experiences and drive greater return on investment (ROI). Anand Ramanathan, Consumer Products and Retail Sector Leader at Deloitte India emphasizes the pivotal role of technology in this transformation. He asserts that technology is no longer just a tool but an essential foundation upon which retailers must build to meet the expectations of modern consumers and ensure the success of their investments. AI, in particular, is heralded as a game-changer in retail, offering personalized recommendations and solutions, with 71 percent of consumers expecting tailored experiences. This signifies a shift towards experiential engagement beyond mere transactions across various consumer touchpoints.

Kumar Rajagopalan, CEO of the Retailers Association of India (RAI), underscores the significance of embracing the digital revolution in India’s retail sector. He highlights the indispensable role of technologies such as AI and IoT (Internet of Things) as the building blocks for future-proofing the retail industry. Rajagopalan contends that these innovations are not fleeting trends but rather fundamental elements that will shape the future of retail. The insights gleaned from the report not only demonstrate the transformative power of emerging technologies but also provide a roadmap for retailers to navigate this new era successfully.

With India’s burgeoning economy empowering consumers with increased purchasing power and choice, forward-thinking retailers must prioritize crafting superior shopping experiences. Technologies such as AI, IoT, mixed reality, and advanced analytics offer immense potential to streamline operations, personalize experiences, and redefine the essence of shopping itself.

Key Trends Driving Emerging Retail Technologies

Personalization and Customer Experience Enhancement

Retailers are harnessing the power of AI and advanced analytics to deliver personalized shopping experiences. AI algorithms analyze vast troves of customer data to tailor product recommendations, marketing messages, and even in-store experiences, catering to individual preferences and behaviors.

Supply Chain Optimization

The adoption of IoT and AI is revolutionizing supply chain management. IoT devices facilitate real-time inventory tracking, providing valuable data for inventory management, while AI enables predictive analytics for demand forecasting. This trend is propelled by the imperative for retailers to reduce costs, minimize waste, and adapt swiftly to market fluctuations.

Automation and Efficiency

Robotics technology is increasingly prevalent in both customer-facing and backend operations in retail. Smart robots are employed for inventory management, cleaning, and even as shopping assistants, aiming to enhance operational efficiency, reduce labor costs, and elevate customer service standards.

Omnichannel Integration

Retailers are integrating AI and IoT technologies to create seamless omnichannel experiences. By synchronizing online and offline channels, retailers can offer a consistent and convenient shopping journey, crucial as consumers seamlessly transition between digital and physical storefronts.

Data-Driven Decision-Making

Advanced analytics and AI empower retailers to make informed decisions. By analyzing vast datasets, retailers can gain insights into customer behavior, market trends, and operational efficiency, enabling them to stay ahead of the curve in a rapidly evolving landscape.

Enhanced Security and Fraud Detection

AI and advanced analytics are instrumental in bolstering security and detecting fraudulent activities. These technologies can identify suspicious transactions and prevent theft, both online and in physical stores, safeguarding profits and enhancing customer trust.

Innovative Business Models for Retailers

Subscription-Based Services

Retailers can offer personalized subscription boxes utilizing AI algorithms to predict customer preferences. This fosters customer loyalty and generates steady revenue streams, aligning with the growing demand for curated experiences.

Retail-as-a-Service (RaaS)

RaaS enables small brands to leverage retail infrastructure, from physical spaces to e-commerce platforms, creating new revenue streams while expanding the product offerings available to customers.

Experience and Community-Focused Retail

Retail spaces are transformed into experiential hubs, hosting workshops, product demonstrations, and community events tailored to customer interests and insights. This fosters engagement and brand loyalty by connecting customers with shared interests and local vendors.

READ MORE: Unveiling India's Retail Revolution: Tech Disruptions, Consumer Shifts, and the Future of E-Commerce

In conclusion, the retail landscape in India is undergoing a profound transformation propelled by technological innovation and shifting consumer preferences. Retailers must embrace emerging technologies such as AI and IoT to stay relevant, drive profitability, and deliver unparalleled shopping experiences in an increasingly competitive market. By leveraging these technologies and embracing innovative business models, retailers can position themselves at the forefront of the retail revolution, catering to the evolving needs and expectations of modern consumers.

In a spirited discussion on AI and the retail industry, Puneet Chandok, President of Microsoft India and South Asia delved deeply into India's role in transforming the world through Artificial Intelligence and technology enablement. He discussed Microsoft's commitment to India, not only in training Indian talent but also in leveraging it.

On Monday, Prime Minister Narendra Modi had praised the Tech Entrepreneurs Association of Mumbai (TEAM) for hosting Mumbai Tech Week and their ongoing involvement in building tech startups in the country. During a panel discussion with Haptik CEO Aakrit Vaish at Mumbai Tech Week, Puneet Chandok, President of Microsoft India and South Asia, emphasized the transformative impact AI could have on various aspects of daily life.

Chandok stated, “When we look at India through the lens of demand, supply, and impact, there is no other market like India today. There are 7,000 listed companies in India and one hundred thousand startups. Many startups are in Maharashtra, and one hundred new startups are emerging in India every day. India is the largest SMB market globally, making it one of the most exciting markets today.”

He further added, “When we look at the supply lens and examine Microsoft's data, one out of four projects on AI in GitHub today is run out of India. Every sixth AI researcher in the world is from India. In the next ten years, 25 percent of the global workforce will come from India, meaning every fourth worker in the world will be from India.”

Discussing the growing influence and power of Artificial Intelligence, Chandok mentioned, “Last night, my 12-year-old daughter was creating text-to-video, and she told me that AI will change her life. She is an artist; she draws and paints. This also indicates how the younger generation perceives AI.”

Expanding on this, Chandok continued, “People will stop searching and instead have conversations. I have stopped searching myself; in fact, I was conversing with my Copilot to understand what is happening at the event and what I should speak about. We have shifted from searching to genuine conversations. This is not just chat drama anymore. These are sophisticated engines providing reasoning within.”

Regarding his personal perspective, Chandok remarked, “People say AI is overhyped, but I think it's not hyped enough. The next generation, which will use this in the next few years, will have much higher expectations of what technology can do for them. So, how you build it for that generation, how you build it for that future, will be really interesting to see."

Chandok also emphasized that those who do not embrace AI, risk falling behind in the rapidly evolving technological landscape. He encouraged Indian developers to seize the "lifetime opportunity" to become unstoppable by learning to use and deploy AI effectively.

He concluded, “If you are not learning AI, you are falling behind. I myself spend 30 minutes a day to learn more about AI. Technology is changing every day, and it has been 15 months since ChatGPT was launched. The speed of technology diffusion is unlike anything I have seen in my life, and it is advancing very rapidly. My call to action for everyone is to find a way to learn, otherwise, we will all fall behind.”

Igniting the debate on the Mumbai versus Bengaluru startup ecosystem, Deputy Chief Minister Devendra Fadnavis, during Mumbai Tech Week, remarked that Maharashtra is the startup capital while Pune is the tech capital of the country. Fadnavis also mentioned that the Maharashtra government is in active talks with 2-3 global tech giants to help them establish their tech operations in Maharashtra.

Devendra Fadnavis, Deputy Chief Minister of Maharashtra, launched Mumbai Megapolis Metaverse during Mumbai Tech Week organized by Tech Entrepreneurs Association of Mumbai (TEAM).

During the Fireside Chat with Rishi Darda, Joint MD and ED of Lokmat Media Group, remarked, “I must tell you that when we talk about the startup ecosystem, Bengaluru and Hyderabad are boasted as good startup ecosystems, but let me tell you that the actual reality, as per the numbers, is that Maharashtra is the startup capital.”

Fadnavis said, “The highest number of startups which are functional (those that have not moved to Bengaluru) are in Maharashtra, and the highest number of Unicorns, out of all the registered startups in India, are in Maharashtra, while 25 percent of the Unicorns are also housed in Maharashtra. Ultimately, the future of the startup ecosystem is Artificial Intelligence and technology, and now with the capacity of Data Center that we have created. I think that the entire future belongs to Mumbai.”

Elaborating on the issue of affordability of living in Mumbai, Fadnavis said, “Mumbai had become unaffordable for many, and that is why people shifted to other cities. But now, we are making Mumbai affordable. Once Mumbai becomes affordable, it will be the city of dreams. One should note that nobody wants to move out of Mumbai and in fact, people want to come to Mumbai.”

Talking about future plans for the tech startups in Maharashtra, Fadnavis said, “We have planned something very big with TEAM for the tech and Startup industry. TEAM really represents Mumbai and this will bring back Mumbai to its true position. Maharashtra was the first state in 2016 in which we came up with the startup policy and startup fund. We are now pushing to create a new startup policy to make the ecosystem much more effective and make it most attractive in the country. The future of startups belongs to Maharashtra.”

It was in 2023, Google began construction on its new Hyderabad campus. The office, which will be a 3 million ft structure, and located in the Financial District of the city, will be Google’s largest office anywhere outside the US, and its second-largest office worldwide after the company’s headquarters in Mountain View, California.

Talking about the big tech companies investing in other states rather than in Maharashtra, Fadnavis said, “I must tell you that the biggest investment in data centers is being made in Maharashtra. Recently, we went to Pune and entered into an MoU with Google, the search engine giant, to utilize artificial intelligence for agriculture, healthcare, and education solutions.”

He elaborated further and said, “The country head of Google told me that we will pitch Pune as the tech city. So today, not just Mumbai, Pune is the tech capital. In fact, many times Pune is overshadowed by Mumbai. But every tech company is present in Pune. Not only Pune but they are present in Nagpur and other Tier II cities as well.”

Discussing the role of government in bringing tech companies to the state, Fadnavis said, “As a government, we are in active talks with tech giants to offer them good facilities. They do not require anything from the government, but they just require good governance, which of course, we are committed to giving. There are 2-3 very big tech companies coming to Maharashtra soon.”

India’s dynamic entrepreneurial ecosystem has undergone a remarkable transformation as the mindset of hardworking entrepreneurs shifts from merely contributing towards maximizing profits to employing innovative social media marketing strategies. By 2022, India boasts a staggering 448 million social media users, a number that is projected to exceed 500 million by 2025. According to sources, this massive growth in digital connectivity has become a compelling factor for new entrepreneurs who, not only specializing in online activity content but tangible digital communication, have also mastered the art of turning it into money.

From the vibrant streets of Delhi to the bustling industrial areas of Bengaluru, this article delves into the business minds of clever Indians. These forward-thinking individuals have successfully harnessed the power of social media, reshaping traditional business models and establishing a unique footprint in a fiercely competitive market. As we absorb their story, we unravel the ongoing narrative of 19th-century labor.

How to Master the Art of Social Marketing

Today's savvy entrepreneurs are garnering millions of "likes" in the art of social marketing.

• Spicy Stuff: Think mouth-watering food demos, insightful local fashion tips, and interactive Q&As that tap into your audience’s appetite. 80 percent of Indians engage with relevant content.
• Understanding the Market: Go beyond still photos! 46 percent of Indians make purchases while watching a live stream, so showcase your products in action, answer questions in real-time, and turn shopping into a virtual celebration.
• Influencer Chai Parties: Partner with local social stars who inspire your niche. Their recommendations carry the weight of trusted "auntie" advice, influencing 77 percent of Indian consumers.
• Ultra-Local Haats: Dining for everyone! Tailor your offerings to regional tastes and celebrations. From Kerala handmade sarees to Rajasthani spices, celebrate the diversity of India and watch the benefits dance.
• Customer Service with a "Hello": Treat every "like" like your digital tavern guests. Respond promptly, answer questions cheerfully, and provide seamless customer service. 64 percent of people in India switch brands due to poor online experiences, so make them feel like family!

Takeaways

Content King (and Queen): 80 percent of Indians engage with relevant content, so make it come alive like your Holi! Embrace the available market: 46 percent buy after a live stream, so showcase your products in action and turn shopping into a virtual fair! Find your local influencers: They are the trusted "aunties" of the digital world, influencing 77 percent of Indian consumers. Partner with the right ones and watch your brand sizzle! The ultra-local is ultra-powerful: from saris to perfumes, it caters to regional tastes and celebrations. India’s diversity is your goldmine! Customer Service with a "Hello": Treat every interaction like a hot cup of tea. 64 percent of people switch brands for a negative experience online, so make them feel like family! Remember that India’s social selling revolution has just begun. Grab your apron, stir up some fun, and watch your business rise like a fragrant dosa on a Sunday morning!

About the Author

Gaurav Bhagat, Managing Director, Consortium Gifts

In a rapidly evolving landscape, retail brands are recognizing the imperative need to integrate Artificial Intelligence (AI) for sustained growth. At the recent Microsoft AI Tour in Mumbai, Puneet Chandok, Microsoft Country Head, hailed India as a formidable force in this AI-driven era.

Microsoft commenced 2024 with a groundbreaking move, launching the professional version of its AI chatbot, Copilot. Boasting capabilities such as custom GPTs and seamless Office integration, this innovation positions Microsoft at the forefront of AI advancements.

The impact of Microsoft's AI tools on the company's performance is evident, with an impressive 18% year-on-year revenue surge, exceeding $60 billion from September to December. Satya Nadella, Microsoft's Chairman and CEO, emphasized the shift from theoretical discussions on AI to its widespread application across their tech stack.

Nadella said, "We’ve moved from talking about AI to applying AI at scale. By infusing AI across every layer of our tech stack, we’re winning new customers and helping drive new benefits and productivity gains across every sector.”

At the heart of Microsoft's commitment to AI integration is a comprehensive approach, infusing AI across all layers of technology to win new customers and drive productivity gains across sectors, as Nadella stated during the Q4 earnings call.

A detailed breakout session at the event, titled "Empowering Retail in the Era of AI", featured Samik Roy, Executive Director of Corporate, Medium, and Small Businesses at Microsoft, Praveen Shrikhande, Chief Digital and Information Officer at Aditya Birla Fashion and Retail and Sandeep Jabbal, Chief Digital Transformation and Information Officer at Shoppers Stop .

Roy shed light on the transformative role of AI in the retail industry, citing examples of retail brands benefitting from Microsoft's AI-powered solutions.

Roy underscored the accelerated digital transformation prompted by the pandemic, with educational institutions planning to incorporate AI and ChatGPT into their operations. He identified the retail industry, spanning hypermarkets, supermarkets, shops, and company-owned retail stores, as actively leveraging AI in various capacities.

Highlighting the potential synergy between cloud and data, Roy advocated for the integration of AI Language Models (LLMs) and Speech Language Models (SLMs) to unlock new possibilities and enhance organizational capabilities.

Responsible AI usage took center stage in Roy's discussion, with an emphasis on adherence to design, security, compliance, and coding standards. Notably, key figures like Satya Nadella, Sam Altman of OpenAI, and Sundar Pichai of Google were invited at the White House for an in-depth discussion on the responsible AI rulebook.

Praveen Shrikhande, Chief Digital and Information Office, Aditya Birla Fashion and Retail shared insights into the use case of AI in enhancing sustainability within the retail fashion sector. Shrikhande highlighted AI's role in reducing wastage and streamlining recycling processes, contributing to sustainable manufacturing practices.

Sandeep Jabbal, Chief Digital Transformation and Information Officer, Shoppers Stop, emphasized AI's multifaceted impact on organizations. From suggesting tailored products for consumers to enabling trend predictions by Gen AI, Babbal stressed that embracing AI is not just a trend but a necessity for survival in the ever-changing business landscape.

Jabbal said, “Today trend predictions by Gen AI is helping brands tremendously, making it easier for brands to strategize its product designs and promotional strategies. Embracing AI will be the buzz word and a company who doesn’t work with AI will not survive for long. People have to be ready and adapt the change." 

Jabbal dispelled concerns about job displacement, asserting that AI will catalyze transformative changes led by big tech companies rather than replace human roles. As retail brands increasingly recognize the power of AI, its responsible and strategic integration emerges as a key driver for future success.

In the fast-paced world of e-commerce, last-mile delivery has developed into a crucial battleground for those looking to satisfy customer expectations. Precise, timely, and error-free deliveries can lead to satisfied customers, while delays or mistakes can result in dissatisfaction. As the e-commerce landscape evolves, the integration of automation and robotics emerges as a transformative solution to overcome the challenges associated with last-mile logistics. Automation is at the forefront of this transformative shift and is actively developing solutions to redefine last-mile logistics and enhance efficiency.

Efficiency in last-mile logistics begins within distribution centers and warehouses. Robotic arms, conveyor systems, and automated guided vehicles (AGVs) are increasingly deployed to enhance order fulfilment speed. The use of robots in Indian warehouses is on the rise, recognizing their potential to improve operational efficiency. However, careful consideration of factors like existing infrastructure and workforce adaptability is crucial for successful integration.

Drones and other last-mile delivery technologies, such as autonomous delivery systems, enroute manufacturing, robotic stores on wheels, and delivery lockers, are emerging as promising solutions for the future of e-commerce. These innovative solutions are part of the vision for the future of e-commerce. Combined with the expertise, these can revolutionize delivery processes, making them faster, more cost-effective, and more reliable.

Major e-commerce retailers continue to innovate, pushing for fast delivery options. Consumer expectations for convenience, speed, and affordability have risen, placing substantial pressure on retailers' bottom lines. Shorter delivery times have become a determining factor for online shoppers, influencing purchasing decisions.

The rise of automation has revolutionized e-commerce fulfilment, streamlining operations from order processing to shipping. Robotics, AI, and machine learning are examples of technologies have significantly improved efficiency, reduced errors, and enhanced overall productivity. Faster order processing, accurate inventory updates, and reliable shipping information enhance customer satisfaction and foster brand loyalty.

Technology-driven fulfilment systems empower e-commerce businesses to scale efficiently, adapt to fluctuating demand, and make data-driven decisions. Cloud-based platforms and on-demand warehousing solutions provide greater flexibility. Data analytics offer valuable insights into customer behavior, inventory levels, and shipping patterns.

Fulfilment centers equipped with automation technologies are becoming crucial for quick order processing in hyper-urban locations. These centers contribute to fulfilling the instant gratification needs of customers and form a significant part of automating the last mile.

While integrating automation technologies promises transformative benefits, it has challenges. The substantial initial investment, regulatory hurdles, safety concerns, and the essential role of human involvement in handling exceptions and customer interactions must be considered. The last mile is among the most expensive and challenging parts of the delivery process. The perennial debate on whether customers are willing to pay for deliveries and returns has led companies to seek ways to optimize, automate, and reduce the cost of last-mile delivery. Challenges like training and retaining last-mile delivery executives are addressed through automation, reducing dependency and minimizing errors.

Last-mile delivery automation is the final piece of the puzzle in the rapidly evolving world of e-commerce. Whoever successfully solves this puzzle stands to gain the greatest advantage. While challenges exist, the integration of automation and robotics holds the key to shaping the future of last-mile delivery, offering businesses the opportunity to enhance efficiency, reduce costs, and meet the ever-growing expectations of online shoppers. The journey toward an automated last mile is not without obstacles. Still, the rewards in terms of customer satisfaction, operational excellence, and market leadership make it a strategic imperative for e-commerce players worldwide.

Nirav Doshi, Founder and Managing Director, NIDO Group

In the ever-evolving landscape of online shopping, the traditional dominance of metros and Tier I cities is undergoing a transformation. While comprising only 14 percent of the total population, these urban centers command a significant 43 percent share of online shoppers, according to a recent report by Alliance Bernstein. However, as the aftermath of the COVID-19 pandemic continues to unfold, growth patterns are experiencing a notable shift.

As we navigate the post-COVID era, the dynamics of online shopping are undergoing a profound transformation. The expansion into Tier II and beyond, the normalization of growth patterns, and the influence of seasonal trends underscore the resilience and adaptability of the online market. The evolving landscape presents both challenges and opportunities, making it imperative for internet companies to stay agile and responsive to ever-changing consumer behaviors.

Changing Trends

The overall monthly shopper base (MTUs) has surged, constituting 31 percent of Active User Base (ATUs), a considerable leap from the pre-COVID figure of 23 percent. This signals a maturation of the online user base, with an evident rise in the frequency of online shopping activities. Concurrently, internet companies are strategically expanding their supply chains into Tier II and beyond, capitalizing on improving consumer bases and ordering metrics in these cities.

Post-COVID Normalization of Growth

Across various internet sub-segments, user growth is gradually normalizing after the initial COVID-induced traction. Particularly, in severely under-penetrated markets like grocery delivery, which accounted for less than 1 percent of total grocery retail spend, there was a remarkable surge in active user base, peaking at an impressive 228 percent YoY growth in July 2022. Meanwhile, slightly mature sectors such as E-Commerce and Fashion continue to witness sustained growth rates, fueled by increased competition from a plethora of Direct-to-Consumer (D2C) platforms.

OTT's Uptick

The Over-The-Top (OTT) segment experienced an uptick towards the end of the year, showcasing a 10 percent increase in Monthly Active Users (MAUs) in July-23, which escalated to an impressive 55 percent increase in MAUs by November-23. This surge was attributed to the broadcast of World Cup screenings, especially in cricket (ICC World Cup, T20) and football (FIFA World Cup). Noteworthy gainers in this arena were Jio Cinema and Disney+Hotstar, boasting exclusive broadcasting rights.

Seasonality Trends

Three sectors have emerged as notable examples of strong seasonality trends. Firstly, in the realm of E-Commerce, the festive season in October drives the highest uptick in active user base, culminating in end-of-year sales across various categories. Secondly, Fashion Commerce, particularly apparel-led firms, experiences two festive seasons each year, with Q1 and Q3 being the strongest quarters, propelling user growth through end-of-season sales. Lastly, Digital OTT's key growth driver lies in sports content viewership, primarily cricket and football, with platforms like Jio Cinema and Disney+Hotstar securing exclusive broadcasting rights.

The retail industry, recognized for its adaptability, is standing at the threshold of a transformative era with the advent of Generation AI (Gen AI). Traditionally relying on data to predict consumer behavior and manage inventories, the industry is now poised to leverage Gen AI for unprecedented insights and efficiency gains across the entire retail value chain. Here we explore the potential impact of Gen AI on the retail landscape.

Gen AI in Retail: A Paradigm Shift

Traditionally reliant on data for predicting consumer behavior and managing inventories, the retail sector is now gearing up to leverage Gen AI for a seismic shift in operations. Recent findings from a comprehensive survey conducted by EY underscores this readiness, revealing that 6 percent of the surveyed audience has already implemented Gen AI, while a staggering 71 percent within the retail sector plans to adopt it within the next 12 months.

The Promise of Gen AI in Retail

Gen AI touted as the next frontier in artificial intelligence, holds the promise of revolutionizing the retail experience by tapping into vast repositories of unstructured data. The survey projects current AI investments in the retail sector, estimated at $5 billion, to skyrocket to $31 billion by 2028. An overwhelming 88 percent of respondents within the retail sector believe that Gen AI will have a medium to high impact on their business.

Impact Areas: Beyond Customer Experience

While 76 percent of respondents foresee the highest impact on customer experience, the industry is also actively exploring Gen AI's potential impact on product innovation (65 percent), cost reduction (54 percent), and the entire value chain (50 percent). This signals a comprehensive approach, where Gen AI is seen as a catalyst for positive change across various aspects of retail operations.

Economic Implications: Gen AI's Contribution to Profitability

According to the EY report, by 2025, Gen AI could potentially elevate the retail sector’s profitability by a substantial 20 percent. The technology not only reduces overheads but also has the potential to significantly boost sales through tailored consumer experiences. This economic implication positions Gen AI as a critical driver of financial success for retailers.

Global Hub: India's Potential in Gen AI Retail Solutions

Given its IT prowess, India is positioned to emerge as a global nucleus for Gen AI retail solutions. Even local retailers can leverage Gen AI tools to provide 'hyper-local' personalized shopping experiences, contributing to the technology's global adoption.

Industry Insights and Leadership Perspective

Angshuman Bhattacharya, National Leader – Consumer Product and Retail Sector, EY India, shared valuable insights, emphasizing that Gen AI is not just a technological leap but a seismic shift in how retailers adapt, innovate, and enhance customer experiences. He stressed the importance of leadership in navigating the AI revolution, balancing innovation with the responsibility to craft a future where technology enriches shopping experiences with integrity and transparency.

Challenges and Ethical Considerations: Privacy at the Forefront

Despite the enthusiasm for Gen AI, the retail industry faces challenges and ethical dilemmas, particularly concerning privacy. As the technology promises valuable insights through features like real-time promotions using location tracking, transparency in data usage becomes imperative. The survey reveals that 80 percent of organizations express low-to-moderate readiness, citing unclear use cases and a skills gap. Currently, 82 percent prefer partnerships with external tech providers for Gen AI implementation.

READ MORE: India's E-Retail Market Poised to Soar Beyond $160 Billion by 2028

Navigating the Gen AI Revolution in Retail

As the retail industry embraces the Gen AI revolution, the integration of this technology brings with it a responsibility to address privacy, ethical considerations, and workforce readiness. Industry leaders must navigate this transformative era, ensuring that Gen AI not only drives profits but also enhances shopping experiences with integrity and transparency. The journey toward a future shaped by Gen AI requires a delicate balance between innovation and responsibility, marking a new chapter in the evolution of the retail landscape.

Even though online shopping has become a staple choice for Indian consumers, physical stores are still popular destinations. Little wonder, then, that a digitally enabled physical space (with the best of both worlds) holds all the aces today in customer engagement.

Take, for instance, the sports gear brand Decathlon, which provides hassle-fee shopping with a phygital approach. With features like scan and go, a virtual reality zone, and a welcome zone at its store, Decathlon has seamlessly fused its physical stores with online buying experiences.

This shift isn’t just limited to popular apparel retailers and extends to the D2C stratosphere. Changing the face of the Kirana ecosystem are marquee players like Reliance Retail and D-Mart. Reliance has enhanced its D2C offerings with JioMart, and D-Mart has launched D-Mart Ready, the new formats that seamlessly combine physical retailing with online shopping.

Why the Shift to Phygital Engagement

Because the Indian customers say so!

Indians actively seek brands that go above and beyond after that first purchase. Consider a scenario where brand A, a show retailer, sells a pair of Oxfords to a customer, takes their money, and ends the interaction with a “Thank you for your order” email with the shipping details. Now imagine another shoe retailer, brand B, follows the same path but doesn’t end the interaction at the shipping details email. Brand B reaches out to the customer with relevant shoe recommendations of Brogues (a formal-wear shoe) on WhatsApp, aligned with the customer’s interest in Oxfords (also a formal-wear shoe). The customer mentioned above gets relevant coupon codes in their email and priority notifications for sales, referral codes, etc. There is no need to specify which of the two brands secures a loyal customer just from that single transaction.

The bottom line is that customers expect consistent engagement across all channels. In fact, siloed messaging across channels is one of the primary reasons for negative customer experiences. 

The findings from a recent study on the personalization pulse of Indian consumers corroborate this sentiment. A significant proportion of consumers surveyed (40.5 percent) said they interact with a brand across 2-3 channels before making a purchase. Therefore, brands that respond with a cohesive customer experience that is consistent and seamless across various channels to meet the diverse preferences of their customers will stay ahead of the game.

So, What’s the Hold-up?

While the perks of having an omnichannel/phygital customer engagement strategy are numerous, a couple of issues hamper adopting this approach for the better.

● Data silos are one of the biggest barriers brands face while adopting an omnichannel strategy. When confronted with isolated and unconnected data, brands have to look into manually merging segmented data gathered from different channels and sources. Naturally, the entire process becomes quite expensive and time-consuming.

● Conversations across all channels must be consistent and aligned completely. It is frustrating for the customers if the brand engages with them through contradictory communication. Channels have to collaborate their data in real-time to offer seamless omnichannel experiences.

Choosing the Right Engagement Partner to Ensure Maximum ROI

The cornerstone of a successful omnichannel approach is building strong customer relationships through personalized and highly satisfactory shopping experiences. Over time, the direct results are increased average order values (AOV) and higher retention rates. However, as mentioned before, creating consistent customer experiences across channels takes time and effort. To overcome these challenges, brands should invest in an insights-led customer engagement platform (or CEP).

Why?

Well, such an AI-powered platform can:

• Help brands garner deep-level insights like what the most-used channels are by their customers
• Map entire customer journeys
• Identify gaps between channels that are causing friction in the customers’ experiences
• Create a unified engagement strategy across channels that gets optimized in real-time.

Furthermore, a well-equipped CEP helps optimize costs (a one-stop solution to say goodbye to multiple tools and channel providers) and increases operational efficiency significantly (through AI-powered functionalities, reducing the manual effort required to orchestrate campaigns).

An integrated omnichannel/phygital strategy can solidify a brand’s footing in the customers’ hearts, ergo, keeps them coming back for more. It all boils down to who the brand’s trusted engagement partner is and how they utilize the platform. As rightfully quoted by Sean Gerety, “The technology you use impresses no one. The experience you create with it is everything.”

 Author: Raviteja Dodda, CEO & Co-Founder, MoEngage

The ongoing Vibrant Gujarat Global Summit 2024 is not merely a congregation of leaders and policymakers; it is a melting pot of ideas and strategies that promise to shape the future of various industries. One such crucial domain under discussion was the digitalization of e-commerce. A seminar titled 'E-Commerce: Business at Fingertips' on January 11, held at the Mahatma Mandir Convention Centre, brought together industry leaders and experts to delve into the role of technology, artificial intelligence, and cross-border policies in the evolution of the Indian e-commerce landscape.

The seminar, headed by Pankaj Mall, Founder Director of Astittva Welfare Foundation, and Business Catalyst at Farmitopia Pvt Ltd, featured a distinguished panel - Prof. Triveni Singh IPS, Superintendent of Police, Cyber Crime, Uttar Pradesh Cyber Police; Vishal Mehta, Chairman & Managing Director at Infibeam Avenues Ltd; and Samar Singla, CEO/Founder at Jungle Works/Jugnoo, added their valuable perspectives to the discussion.

Key Takeaways:

1. Cybersecurity is Paramount: In an era of heightened cyber threats, awareness campaigns and robust cybersecurity measures are crucial for the effective functioning of a digital economy.
2. Financial Inclusivity Drives Growth: Digital payments and financial inclusivity are not just trends; they are powerful tools that open doors for small entrepreneurs, fostering economic growth.
3. Grassroots Empowerment Unleashes Potential: The focus on empowering entrepreneurs in Tier II and Tier III cities can unlock tremendous opportunities, creating a ripple effect of job creation and economic development.
4. Government Support is Crucial: Collaborative efforts between the government and private sector, as seen in Gujarat, play a pivotal role in fostering a conducive environment for e-commerce growth.

E-commerce in India: A Growth Trajectory

India is poised to become the world's second-largest e-commerce industry by 2034, according to a report from Shiprocket. The country currently ranks as the ninth highest contributor to global cross-border trade growth. Pankaj Mall - Founder Director – Astittva Welfare Foundation, Business Catalyst, Farmitopia Pvt Ltd added, "The seminar aims to enable stakeholders to benefit from the opportunities arising from progressive digitalization of the domestic economy, mainstreaming segments of our economy, and enabling domestic players to sustain themselves in the digital economy."

Empowering Grassroots Entrepreneurs

Samar Singla - CEO/Founder at Jungle Works / Jugnoo passionately advocated for the empowerment of entrepreneurs at the grassroots level. He stated, "The focus should be on India, especially Tier II and Tier III cities. Transactionally cheap technology, necessary training, and effective branding can unlock immense potential, creating millions of grassroots jobs."

Digital Payments and Financial Inclusivity

Vishal Mehta - Chairman & Managing Director at Infibeam Avenues Ltd underscored the permanence of digital payments and the significant opportunities they bring. He emphasized, "Financial inclusivity opens doors for small entrepreneurs, providing them with vast opportunities. The synergy of technology and inclusivity creates an environment conducive to growth."

Cybersecurity: Safeguarding the Digital Realm

Prof. Triveni Singh highlighted the urgent need for cybersecurity awareness, emphasizing the exponential rise in cybercrime. He stressed, "There is a requirement of awareness campaigns which should not only target the corporates but every individual residing in the country to maintain cyber hygiene. As Cybersecurity is not just a necessity; it's a prerequisite for the effective realization of Digital India."

Gujarat's E-commerce Initiatives

The seminar also shed light on Gujarat's efforts to boost e-commerce. Chief Minister Bhupendra Patel's launch of IndiaHandmade.com last year, an online platform for artisan weavers, exemplifies the state's commitment to digitalization. Partnerships with Flipkart and Amazon further illustrate Gujarat's dedication to supporting local businesses in reaching a global audience.

A Vision for Viksit Bharat@2047

The seminar concluded with a vision for the future - 'Viksit Bharat@2047.' The discussions not only highlighted the opportunities presented by progressive digitalization but also underscored the need for inclusive growth, where every segment of the economy, from large businesses to grassroots entrepreneurs, can thrive.

As India inches closer to becoming the world's second-largest e-commerce industry, it is imperative to address the challenges and leverage the opportunities that digitalization brings. The insights shared by industry stalwarts at the Vibrant Gujarat Global Summit 2024 emphasize the collaborative effort required from policymakers, businesses, and individuals alike to realize the full potential of a digitized and inclusive e-commerce landscape.

In a recent collaborative report by Bain & Company and Flipkart, the e-retail market in India is projected to witness a remarkable surge, surpassing the $160 billion mark by 2028. The study highlights key factors contributing to this growth, such as affordable data, enhanced logistics and fintech infrastructure, and robust digital consumer ecosystems.

Current Scenario and Growth Projections

As of 2023, the Indian e-retail market is expected to range between $57-60 billion, with an annual shopper base of approximately 240 million. This represents an annual addition of $8-12 billion since 2020. Despite this substantial growth, online spending in India constitutes only 5-6 percent of total retail spending, indicating vast potential for expansion. In comparison, the United States and China boast online spending percentages of 23-24 percent and 35 percent, respectively.

The report anticipates a rebound in the market, with growth levels reaching 23-25 percent in the coming years. By 2028, the e-retail market is poised to surpass $160 billion, showcasing massive headroom for growth.

Driving Factors and Opportunities

The report underscores the enduring fundamentals of India's e-retail industry, including factors such as affordable data, improved logistics, and a thriving fintech infrastructure. With 94-95 percent of retail spending still happening offline, there is immense scope for the e-retail sector to capture a larger share of the market as GDP per capita increases, particularly beyond the $4,000 mark.

Currently, the per capita income in India stands at around $2,600, and as this figure rises, there is an expected surge in online spending, particularly on discretionary products. The report suggests that the majority of internet users in India, over 60 percent, are yet to embrace online shopping, highlighting the untapped potential within the market.

Expanding Seller Ecosystem

The seller ecosystem in India is rapidly expanding, with twice as many sellers added in 2022 compared to the previous year. Notably, around two-thirds of these new sellers originate from Tier II and smaller cities, indicating a democratization of the e-retail landscape beyond metropolitan areas. More than half of the total seller base is concentrated in seven major cities, including Delhi NCR, Surat, Jaipur, Mumbai, Bengaluru, Hyderabad, and Kolkata.

Emergence of New Business Models

The e-retail industry in India is witnessing the emergence of innovative business models to cater to evolving consumer needs. These include Quick Commerce (Q-commerce) platforms, Hyper-Value Commerce, Inspiration-Led Commerce (Live Commerce), and Fast Fashion.

Q-commerce, in particular, has experienced significant growth, with orders doubling over the past year and accounting for a substantial portion (40-50 percent) of India's e-grocery spending. The Hyper-Value sector has also witnessed substantial growth, with its share of overall e-retail expanding five times between 2020 and 2022.

In conclusion, the e-retail landscape in India is poised for significant growth, driven by factors such as affordable data, improved logistics, and a flourishing digital ecosystem. The projections of the market surpassing $160 billion by 2028 underscore the tremendous potential within the sector. As the seller ecosystem expands, new business models emerge, and online spending continues to rise, the Indian e-retail market is set to play a pivotal role in shaping the country's retail landscape in the years to come.

In the dynamic landscape of today's business environment, effective supply chain management is a critical determinant of success. As Indian businesses strive for operational excellence, Vendor-Managed Inventory (VMI) emerges as a strategic solution to streamline processes, enhance efficiency, and elevate supply chain performance. In this innovative model, the supplier assumes a more proactive role, engaging in continuous monitoring of inventory levels, forecasting demand trends, and autonomously replenishing stock as needed. The primary goal of VMI is to create a seamless and efficient inventory management process that benefits both the supplier and the buyer. This method goes beyond the traditional buyer-initiated replenishment process, introducing a more dynamic and synchronized relationship between the two parties.

Key Components of Vendor-Managed Inventory

Real-Time Visibility: Vendor-Managed Inventory (VMI) offers real-time visibility into inventory levels, providing businesses with accurate data for informed decision-making. Leveraging advanced technologies such as IoT and RFID, VMI ensures that inventory data is continually updated, thereby minimizing the risks associated with stockouts or overstock situations.

Demand Forecasting: A key strength of VMI is its capacity to accurately forecast demand. Utilizing data analytics and analyzing historical consumption patterns, suppliers can anticipate future requirements, reducing the likelihood of stock imbalances and optimizing inventory management.

Automated Replenishment: VMI streamlines the replenishment process by introducing automation. This feature enables suppliers to proactively restock inventory levels, reducing the need for manual intervention. The automated replenishment not only enhances efficiency but also ensures timely deliveries, minimizing disruptions in the supply chain.

Trends Shaping the Adoption of VMI

Technology Integration: The integration of cutting-edge technologies, such as Artificial Intelligence and Machine Learning, is increasingly prevalent in VMI systems. These technologies play a pivotal role in enhancing predictive analytics, providing businesses with more accurate demand forecasts and ultimately contributing to more efficient inventory management.

Collaborative Partnerships: Indian businesses are increasingly recognizing the significance of establishing strong collaborative partnerships with their suppliers. These relationships are built on principles of transparency, trust, and a shared commitment to operational efficiency. By fostering these collaborative ties, businesses aim to create a more integrated and responsive supply chain.

Multi-Location VMI Models: A notable trend in India is the proliferation of multi-location VMI models. This approach allows businesses to synchronize inventory management across various locations, thereby optimizing the supply chain on a broader scale. The adoption of multi-location VMI models reflects a strategic effort to enhance coordination and efficiency in managing inventory across diverse geographical areas.

The Impact of VMI

Improved Efficiency and Cost Savings: VMI significantly improves operational efficiency and generates substantial cost savings by automating inventory management processes. The reduction in manual intervention streamlines operations, enabling businesses to optimize order quantities, minimize carrying costs, and achieve overall cost-effectiveness in their supply chain.

Enhanced Customer Satisfaction: The implementation of VMI ensures a consistent and reliable supply of products, allowing businesses to meet customer demands promptly. This reliability positively impacts customer satisfaction and fosters loyalty, as customers can rely on businesses to consistently deliver the products they need.

Risk Mitigation: VMI plays a crucial role in mitigating risks associated with stockouts or excess inventory. The system's emphasis on accurate demand forecasting and timely replenishments equips businesses to navigate uncertainties and disruptions in the supply chain effectively. This risk mitigation aspect contributes to the overall resilience and stability of Indian businesses adopting VMI practices.

In the intricate landscape of contemporary supply chain management, Vendor-Managed Inventory emerges as a pivotal catalyst for transformative change in Indian businesses. Embracing VMI and aligning with prevailing industry trends enables businesses to strategically position themselves for enduring growth, operational excellence, and a distinctive competitive advantage in the dynamic marketplace. A great VMI program ensures shorter lead times, greater transportation planning, and improved customer experience. Hire a vendor you trust with your sensitive business data to ensure maximum ROI for your business.

 Author: Anish Popli, CEO & Founder, ProcMart

As we bid farewell to the transformative year that was 2023, the Indian e-commerce landscape emerges as a tapestry woven with threads of innovation, adaptability, and resonance with evolving consumer dynamics. Examining the broader industry canvas, we delve into the overarching trends and narratives that shaped the narrative of e-commerce, with a focus on insights from industry leaders, and a synthesis of the journeys undertaken by Myntra and Snapdeal.

The E-Commerce Tapestry: Industry Insights

Macro-Level Growth and Consumer Adoption

At a macro level, e-commerce witnessed an outstanding 26 percent year-on-year order volume growth, reflecting the robustness of the industry. The transformation in consumer preferences, inclining towards innovative product categories and a surge in awareness of sustainable options, has been a pivotal driver of this growth.

Tiered Triumph

One of the standout trends was the remarkable surge in e-commerce adoption from Tier II, III, and IV cities. Over 65 percent of prime members who participated in the festive season shopping hailed from these smaller towns, a substantial increase from the previous year's 50 percent. This shift signifies the democratization of e-commerce, reaching deeper into the heart of India.

SMBs and Artisans Shining

In a heartening turn of events, the festive season witnessed not only the traditional success of blue-chip companies but also a notable rise of Small and Medium-sized Businesses (SMBs), women entrepreneurs, and artisans. A substantial 30 percent increase in SMB participation during the festive season, coupled with a 35 percent surge in sales within the initial 48 hours, paints a picture of inclusivity and economic empowerment.

Seller Success Beyond Metros

Sellers from Tier II and III cities, often overlooked in the grand narrative, emerged as significant contributors. Over 65 percent of sellers who received sales were from these smaller cities, fueled by a robust distribution network that ensured almost 50 percent of all orders were delivered within 2 days or less pan India.

In the words of Mr. Anuj Bhatia, Founder of eTrade, "Apart from the buyers, sellers from Tier II and III cities also witnessed successful strides all around the year. This has been complemented by a large distribution network, making 2023 a year full of opportunities and growth for the industry."

E-Commerce Giants: Myntra and Snapdeal's Unique Stories

Myntra's Fashion Democracy

Myntra, a stalwart in the fashion e-commerce space, embarked on a journey to democratize fashion in India. The platform's milestones in 2023 spoke volumes about its ability to resonate with diverse consumer segments. “From crossing the 75 million mark in new app users to achieving a 100 percent year-on-year growth in loyal customers, our success mirrors a larger narrative of inclusivity,” said Myntra’s spokesperson.

Snapdeal's Niche in Value E-Commerce

On the other end of the spectrum, Snapdeal carved its niche in value e-commerce. By strategically curating its product selection, with over 90 percent of items priced below Rs 1,000, Snapdeal fostered loyalty from budget-conscious consumers. “Our success lies in recognizing the value-seeking, middle-income users predominantly located in Tier II+ cities, offering a wide selection of quality, value-priced products,” stated Himanshu Chakrawarti, CEO, Snapdeal.

Key Industry Strategies and Technological Leaps

Diversity in Product Categories

Both Myntra and Snapdeal observed shifts in consumer preferences in specific product categories. Categories like ethnic wear, sports, and casual footwear, and wearables saw surges in demand. This reflects a nuanced understanding of consumer needs and a commitment to providing a diverse range of products.

Technological Prowess

Technological advancements played a pivotal role in enhancing user experiences across platforms. Features like voice assistance in multiple dialects, AI/ML tools, and data science capabilities were leveraged to make the e-commerce journey seamless. Virtual try-ons, personalized interfaces, and app makeovers were among the strategies to enhance customer engagement and satisfaction.

Sustainable Growth and Focus on Value

The overarching theme across the industry has been a shift towards sustainable growth and a focus on providing value. Snapdeal's emphasis on a curated selection of value products below Rs 1,000 aligns with the industry's recognition that the future of e-commerce revolves around the 'value' segment.

READ MORE: Customer Experience Needs to Be Disrupted With the Power of AI in E-Commerce

Looking Ahead: Sustaining Growth, Innovation, and Customer-Centricity

As we gaze into the future, the e-commerce industry is poised for sustained growth, continued innovation, and a steadfast commitment to customer-centric practices. The stories of Myntra and Snapdeal serve as beacons, showcasing the adaptability and resilience required to thrive in this ever-evolving landscape.

The narrative of e-commerce in India is far from reaching its final chapter. With a focus on inclusivity, sustainability, and technological innovation, the industry is set to unfold new chapters, presenting both challenges and opportunities. The echoes of 2023 reverberate with a promise – a promise of an industry continually redefining itself to meet the diverse needs of a dynamic and ever-growing consumer base.

The Indian e-commerce industry has been growing by leaps and bounds and is expected to surpass the US by 2034 to become the world’s second-largest. In 2022, Indian shoppers spent over 8.7 billion hours on shopping apps, which is almost 50 percent higher than the numbers in 2019. More and more people are now choosing to shop online, demanding seamless, personalized interactions at every touchpoint. This makes it imperative for e-commerce businesses to embrace innovation and introduce exceptional functionalities that ensure remarkable customer experiences. This would further enable them to gain a competitive edge and capture a larger share of the market.

One such powerful tool that has the potential to revolutionize customer experience in the realm of e-commerce is Artificial Intelligence (AI). With its strong data analyzing and predictive capabilities, AI is already making multiple breakthroughs in various aspects of e-commerce operations. Platforms powered by AI can speedily scan and analyze volumes of customer data from various channels to gauge interesting insights about consumer behavior, preferences, shopping patterns, etc. E-commerce businesses can better understand their consumers and use this knowledge to create personalized deals, recommendations, pricing, promotions, and rewards for each buyer. These tailored strategies ultimately increase the chances of successful purchases.

AI chatbots and voice assistants have also evolved significantly and can now drive deep personalized communications with consumers through customized content. In addition to elevating customer experiences, this personalized approach also contributes to improved sales and stronger customer loyalty. When customers feel understood and catered to, they are more likely to make a comeback for future purchases. Interestingly, 89 percent of customers expect e-commerce companies to understand their unique expectations, while a notable 64 percent lose trust in businesses that fail to deliver targeted communication.

AI has also been making great strides in simplifying product search on e-commerce platforms. With the sheer number of products available on any e-commerce platform, finding the right product at times becomes overwhelming for customers. This complexity often prompts shoppers to abandon their carts and leave without making an actual purchase. In India, the average cart abandonment rate is 51 percent. However, with the integration of AI in e-commerce, the search process has been greatly simplified. AI-powered insights enable e-commerce players and aggregators to provide relevant filters and sorting options, which makes it easier for shoppers to quickly find what they need. Moreover, voice search mechanisms that are quick to understand human speech, are playing a key role in changing the dynamics of product search on online shopping platforms.

Additionally, e-commerce companies deal with complex logistics challenges to ensure timely delivery of products to consumers. This happens at the back end and involves massive coordination between various suppliers, warehouses, and shipping partners. AI-driven inventory management has proved to be extremely advantageous in this case. By analyzing historical data and current market conditions, the use of AI allows e-commerce businesses to accurately predict product demand. This knowledge further allows them to optimize their stock levels and mitigate the risks of stock surplus or shortages. The use of AI robots have proved effective in enhancing warehouse efficiency by streamlining order processing and reducing human error. Additionally, AI can efficiently predict lead times, transportation delays, and other supply chain disruptions, which makes it easier for businesses to make proactive adjustments. By automating repetitive tasks and providing real-time insights on the best shipping routes, AI can help businesses deliver products faster, reduce costs, and improve customer satisfaction.

Looking at the current trend, 51 percent of e-commerce businesses have already integrated AI into their operations to create highly distinct customer experiences. The trend is swiftly becoming more widespread, with AI knocking on the doors of many more players. Gazing into the future, as the technology continues to evolve and penetrate deeper into the e-commerce ecosystem, more possibilities for enhancing customer experience are likely to emerge in this space.

Businesses that can harness the disruptive power of AI will secure a long-term advantage in attracting and retaining customers. For others, the battle could prove to be tough, since, in today’s hyper-competitive era, it is always the survival of the fittest.

About the Author

Anuj Bhatia, Founder, eTrade

With a passion for innovation and a keen eye for market trends, Anuj founded eTrade in 2010, aiming to revolutionize the way people engage with online commerce. With over 16 years of experience in the industry, Anuj possesses a wealth of knowledge and expertise that has propelled eTrade to become a leading player in the market. Anuj's extensive experience spans across multiple industries, enabling him to effortlessly navigate the ever-evolving business landscape.

In the heart of the ever-evolving digital landscape, the Kids' Digital Entertainment Market stands as a dynamic realm, where creativity, technology, and imagination converge to shape the narratives that captivate young minds. A recent panel discussion, featuring industry leaders, delved into the nuances of this fascinating journey, shedding light on cross-media franchises, interactive storytelling, and the transformative impact of technology.

Cross-Media Franchises: Weaving Anime's Tapestry Beyond Screens

The panel discussion kicked off with Ashish Kulkarni, Chairman of AVGC-XR Forum - FICCI & Founder - Punnaryug Artvision, unraveling the trend of anime being adapted into various media forms. He remarked, "Cross-media franchises have become a powerhouse in the kids' entertainment market. The adaptation of anime into video games, novels, and movies creates a multi-dimensional universe that engages fans across different platforms."

This trend mirrors the industry's response to the changing preferences of young audiences. A stroll through the digital landscape reveals iconic anime series seamlessly transcending the boundaries of the screen, extending their narrative prowess into interactive gaming experiences, gripping novels, and blockbuster movies.

The benefits are two-fold, as Kulkarni explains: "Expanding the anime narrative across different media not only broadens the reach but also fosters a deeper connection with the audience. Fans can immerse themselves in the story through diverse mediums, enhancing the overall storytelling experience."

Navigating Challenges: The Tightrope Walk of Expanding Narratives

However, the path to crafting cross-media franchises is not without its challenges. Manoj Mishra, CEO of Powerkids Entertainment, sheds light on the delicate balancing act required. "Maintaining narrative coherence across various platforms is a challenge. Each medium comes with its unique storytelling demands, and harmonizing these elements while staying true to the essence of the original content is crucial."

Mishra's insight reflects the industry's quest for synergy, striving to seamlessly translate the magic of anime into formats that resonate with diverse audiences. This challenge, while daunting, serves as a catalyst for innovation, pushing creators to explore new dimensions of storytelling.

Rise of Interactive and Gamified Content: A Playground for Imagination

As the discussion pivots, Munjal B. Shroff, Co-founder of Graphiti Studios, highlights the rising tide of interactive and gamified content for kids. He notes, "The landscape is evolving, and today's kids crave more than passive viewing. They seek participative experiences where they can shape the narrative. Interactive content, whether in the form of games or immersive storytelling apps, empowers children to be co-creators of their entertainment."

Shroff's observation aligns with the industry's response to the digital-native generation. From educational games that make learning fun to interactive story apps that encourage decision-making, the market is witnessing a paradigm shift towards engagement-driven content.

Technological Marvels: Augmented Reality and Virtual Reality in Kids' Entertainment

In the realm of kids' digital entertainment, technology plays a pivotal role in transforming experiences. Ashish Kulkarni, a tech visionary in the space, delves into the impact of augmented reality (AR) and virtual reality (VR). "AR and VR are not just buzzwords; they're transformative tools that redefine how children engage with entertainment. These technologies open portals to fantastical worlds, allowing kids to step beyond the screen and be active participants in the narrative."

The adoption of AR and VR in kids' content is evident in the array of educational AR apps and VR experiences tailored for young audiences. These technologies not only add an immersive layer to entertainment but also provide educational value, blending learning seamlessly with play.

"The fusion of technology and storytelling is not just a trend; it's a necessity. We need to adapt to the changing preferences of our tech-savvy audience while ensuring that the essence of storytelling remains intact," emphasizes Ashish Kulkarni.

Interactive Storytelling: Nurturing Cognitive Development

As the narrative unfolds, the impact of interactive storytelling on children's cognitive development takes center stage. Manoj Mishra reflects on this aspect, stating, "Interactive storytelling is a powerful tool for cognitive development. It stimulates critical thinking, decision-making, and creativity in young minds. As creators, we have a responsibility to harness this potential for positive impact."

This sentiment echoes the broader industry shift towards creating content that not only entertains but also contributes to the holistic development of children. Educational apps, interactive e-books, and narrative-driven games are designed not only to captivate but also to foster essential skills in the formative years.

The Road Ahead: A Tapestry of Possibilities

In conclusion, the landscape of kids' digital entertainment continues to evolve, driven by the dynamic interplay of creativity and technology. The panel discussion, a snapshot of this ever-changing narrative, reveals a future brimming with possibilities.

"The journey ahead involves continuous innovation, adapting to technological advancements, and above all, staying true to the essence of storytelling. As creators, we are the architects of dreams, shaping the digital odyssey for the next generation," affirms Munjal B. Shroff.

The cross-media frenzy, the rise of interactive experiences, the infusion of AR and VR, and the focus on interactive storytelling collectively paint a picture of a vibrant and inclusive market. The industry, propelled by these trends, is set to create immersive, enriching, and purposeful content that will define the digital childhood of generations to come. As we navigate this landscape, one thing is certain—the adventure has just begun, and the future of kids' digital entertainment is a canvas awaiting the strokes of innovation and imagination.

In the vibrant tapestry of India's booming e-commerce industry, Myntra stands as a trailblazer, shaping the landscape of fashion, beauty, and lifestyle. As the country's fifth-largest economy, and with a staggering 1.3 billion population, Myntra has not only tapped into the diverse and dynamic market but has also become a beacon of innovation. Speaking at the recent Labels Summit 2023, Manika Mittal, Director and Head of International Brands, Myntra, shared how the giant revolutionized fashion in India. 

The Indian Market Dynamics

1. Demographic Dividend:

India's demographic profile sets the stage for a revolution in consumption. With 50 percent of the population below the age of 25, the country is witnessing a surge in demand across various categories, including fashion, lifestyle, and beauty. This young and hungry consumer base is a driving force behind the shift to a middle-income-dominated economy.

2. Premiumization Trend:

As India strides confidently into a middle-income-dominated economy, the premiumization trend becomes evident. Comparable to countries like Mexico, Brazil, the UK, and Canada, India's upper-middle-class segment is on the rise, moving from 21 percent to 42 percent. This economic shift has created a demand for international names and licenses, as the country embraces a premium lifestyle.

3. E-commerce Boom:

The e-commerce wave in India is surging, with the online fashion market projected to reach $124 billion by 2024-25, boasting an impressive 11 percent CAGR. Notably, the e-tail penetration is on the rise, moving from 9 percent to a projected 25 percent. This surge is not limited to major metros but extends to non-metro regions, representing 70 percent of the fashion market and growing steadily at 50-60 percent.

Myntra's Position in the Market

1. A Fashion Powerhouse:

Myntra, as one of India's leading fashion, beauty, and lifestyle players, has successfully positioned itself as a fashion destination for the masses. With 55 million active users, the platform provides a diverse array of brands, both Indian and international, making it a one-stop shop for fashion enthusiasts.

2. Omni-Channel Model:

Myntra's unique omni-channel model seamlessly connects 4,500 stores and their inventories to the Myntra app. This not only ensures a vast selection but also offers consumers the convenience of choosing products from nearby stores, enhancing the overall shopping experience.

3. Tech-Driven Engagement:

At the core of Myntra's success lies its tech-driven approach. The predictive fashion engine ensures a personalized app experience based on individual shopping histories. The brand's commitment to speed and reach is exemplified by its under-two-day delivery across the country and coverage of 98 percent of PIN codes.

4. Inclusivity Across Tiers:

Understanding the diverse demographics of India, Myntra caters to consumers between the ages of 22 and 34, with a balanced distribution of men and women. While it remains accessible to metro and Tier I cities, Myntra is actively bridging the gap to reach Tier II and III cities, where 45 percent of its consumers reside.

Myntra's Innovations

1. Myntra Forward:

Addressing the unique shopping habits of Gen Z, Myntra Forward introduces a revolutionary "spot and shop" model. Departing from traditional searches, Gen Z consumers can now seamlessly spot trends and make purchases directly, enhancing the speed and efficiency of the shopping experience.

2. Social Commerce Engine:

Myntra's social commerce endeavors host up to 10 hours of content and 1,500 live sessions on the app. This interactive platform enables consumers to engage with brands, as exemplified by co-brands like HRX, facilitating a seamless transition from product awareness to purchase.

3. Virtual Fashion Influencer – Maya:

To assist users in fashion decisions, Myntra introduces Maya, a virtual fashion influencer. Still in its evolutionary phase, Maya aims to guide users on pairing items, providing a personalized touch to the shopping experience.

4. Myntra Cross Border:

One of Myntra's standout innovations is the Myntra Cross Border program, a tech-enabled solution providing live access to global fashion trends. This B2B2C cross-border e-commerce platform allows Indian consumers to choose and order products from international catalogs, overcoming logistical challenges faced by fast fashion brands.

Myntra's Collaborations and Brand Management

1. International Success Stories:

Mango, a renowned international brand, stands as a success story on the Myntra platform. Exclusive styles of Mango are made available, showcasing Myntra's prowess in fostering global brands within the Indian market.

2. Own Brand Stores:

Myntra provides a unique platform for brands to tell their stories through own brand stores on the app. This feature allows consumers to understand the ethos of each brand, whether it stands for sustainability or caters to the Gen Z audience.

3. Myntra Omni Ecosystem:

With a vast network of 300 points of sale across 60 cities, Myntra operates an omni ecosystem that includes renowned brands like Mango, Nautica, and Bebe, along with its in-house brands such as HRX, Taavi, and Roadster.

In the dynamic realm of Indian e-commerce, Myntra emerges as a force to be reckoned with, embodying innovation, inclusivity, and a commitment to meeting the diverse demands of its consumers. As the fashion landscape continues to evolve, Myntra's tech-driven strategies, collaborations, and unique offerings solidify its position as a trendsetter in the industry. Through Myntra Cross Border and other groundbreaking initiatives, the platform not only adapts to market changes but also shapes the future of fashion consumption in India. With 55 million active users engaged on the app, Myntra remains at the forefront of the e-commerce revolution, paving the way for a more connected and fashionable India.

It’s the time of the year when retailers and e-commerce businesses in India ramp up for annual festive season sales. Annual sale events are crucial to the industry, and in 2022 alone, India’s e-commerce industry reached Rs 40,000 crore ($480 million) in revenue. In a few days from now, Black Friday and Cyber Monday will be here. 12.7 percent of annual shopping will take place across this eight-day shopping marathon, making it one of the largest drivers of revenue for the Indian retail market.

When large, revenue-driving sales are underway, businesses face challenges with maintaining the uptime of their websites and mobile apps due to an increase in traffic. Because downtime drives customers away, competitors with more reliable systems will come out on top. When website and mobile app traffic volumes rise during sale days, backend teams need to constantly fight issues, which they may not be able to address fast enough. This is perhaps why research into Cyber Monday sales revealed that only 36 percent of customers in India were satisfied with their online experience during this sale period.

Today’s retailers face fierce competition amid a risky macroeconomic climate, with major hikes in energy costs, growing inflation, interest rates and supply chain disruptions causing consumers to tighten their purse strings. This makes festive sales even more critical, as customers look to find a bargain.

With millions of dollars on the line, it is critical for retailers to double down on their digital customer experience (DCX) strategies to create seamless customer journeys. Observability is important here, as it allows teams to proactively analyze and optimize their systems based on logs, metrics and traces, in order to provide a real-time view of collated data. Retailers need powerful AI-driven observability solutions to ensure they can offer seamless customer experiences for festive season shoppers.

The Cost of Doing Business without Observability

With the festive season sales already well underway, Indian e-commerce and retail businesses must ensure that their services can scale efficiently to meet the demand of peak traffic periods, as even a small outage can have an adverse impact.

According to the New Relic State of Observability in Retail report, nearly 4 in 10 global retailers report having high-impact outages once a week. What’s concerning is the time taken to resolve these, as the longer a resolution takes, the more revenue is lost. Currently, 61 percent of retailers say it takes at least 30 minutes to resolve such outages, and this is costing them dearly. The median annual cost of IT outages among retailers stands at $9.95 million. During a sale, this could mean more revenue is lost. For businesses that aren’t using full-stack observability, the process of finding and fixing issues becomes very difficult and ultimately ends up costing the business new customers and brand loyalty.

Fixing Incidents Quickly to Maintain Uptime

Retailers are realizing the benefits of observability because the payoff is evident. By adopting observability, retailers improved the time taken to detect and fix incidents. Many of them are realising the monetary benefits of maintaining uptime. The State of Observability in Retail report also revealed that nearly 60 percent of retailers derived more than $500,000 in total annual value, with 43 percent saying they derived a total annual value of $1 million or more after adopting observability.

In most retail and e-commerce companies, the responsibility for maintaining uptime falls on engineering teams. To enable an omnichannel approach, retailers often depend on third-party solutions that they have little or no access to like kiosks, video cameras and POS systems. They also use different technologies for payments and external distribution logistics. With such a variety of technology in play, teams often find it challenging to easily implement telemetry in their retail strategy. And when outages occur, engineering teams at the backend have to spend hours trying to parse logs, analyse metrics and toggle between different monitoring tools. Spending a significant amount of time on fixing a single issue can pose a challenge to maintaining uptime.

All-in-one observability platforms consolidate the entire process of monitoring and analyzing the IT infrastructure. It helps engineering teams find out what’s going wrong and also to derive valuable context of how it went wrong and what’s needed to fix the problem. When these processes are automated, DevOps teams can fix issues faster, ensuring uptime.

Retailers aiming to keep their digital storefronts operational this festive season must invest in full-stack observability. This will provide them with comprehensive visibility into their software, and the ability to proactively collect and visualise data, apply intelligence and understand the behaviour of the IT ecosystems. Observability solutions have emerged as a competitive differentiator for retailers and ecommerce companies, and the time for these businesses to adopt them is now. Otherwise, they risk losing millions in revenue.

  Author: Prasad Rai, Vice President Sales for India, New Relic

The retail landscape is undergoing a seismic shift, largely propelled by technological advancements. The global pandemic and the ascent of eCommerce have only intensified the influence of technology. Retailers have leveraged technology innovations to enhance efficiency while remaining steadfast in their commitment to customer centricity. The result? Total experiences that delight both customers and employees.

However, the retail journey doesn't stop here. The evolution of customer behavior and technology continues unabated. Retailers are mandated to stay attuned to this evolution to stay ahead of the curve in terms of sales and customer satisfaction.

The future of retail is poised to ride the technology wave, further bridging the physical and digital realms. Retailers are looking beyond mere product sales on shelves, aspiring to build comprehensive ecosystems that encompass services spanning health, finance, entertainment, and more capitalizing on digitization and technology's ability to offer enhanced accessibility to consumers. In this era of technological transformation, barriers between industries are blurring, enabling retailers and other operators to seize opportunities rapidly by engaging directly with consumers.

Some of the technologies that are scripting this transformation and will continue to do so in the future are Artificial Intelligence (AI), Augmented Reality (AR), Virtual Reality (VR), Blockchain, Internet of Things (IoT), and others. These multifaceted technologies promise to revolutionize both physical and virtual operations and reshape customer relations. Let’s take a closer look at these modern-day technologies that will undoubtedly shape the future of retail, catering to a digital-first, digital-only consumer base.

Generative Artificial Intelligence will Drive Customer Benevolence

The ability of Generative AI to work with Large Language Models applying in-context learning to learn from analogy and generate responses based on enhanced understanding of context, improved reasoning, inference skills, and tailored problem-solving capabilities has come out as a potent force for businesses.

Generative AI is a powerful technology that leverages vast datasets to create personalized experiences and optimize various aspects of retail operations. It's not limited to one area but offers multiple benefits across different functions. In content creation and optimization, Gen AI autonomously generates and improves product descriptions and copy, reducing the need for extensive human involvement. It also excels at providing personalized discounts by analyzing purchase history.

Gen AI extends its capabilities to customer interactions through the development of intelligent bots. These bots go beyond traditional AI bots by generating relevant responses in various formats, such as text and visuals, based on real-time data. They are efficient in handling customer inquiries and can identify upselling and cross-selling opportunities.

In the context of inventory management, Gen AI analyzes multiple data sources, including consumer sentiment and competitor data, to predict demand accurately. This helps retailers drive sustainability by optimizing supply and delivery, preventing inventory deficits, and avoiding wastage.

In the instance of supply chain management, Gen AI can assist with product configuration in transport, ensuring the best possible use of space and safe handling of goods, apart from suggesting the most viable transport routes. This ability to optimize the operational aspect of logistics not just saves costs but also augurs well for sustainability reducing carbon footprints, and ensuring minimum wastage of perishable and high-value goods.

Gen AI's real-time capabilities also extend to pricing optimization, where it can adjust prices based on competitor pricing, demand trends, and market conditions.

Gen AI can also play a crucial role in fraud detection by identifying counterfeit products, unauthorized sellers, and fraudulent activities, helping retailers save valuable resources and drive sustainability. Similarly, the technology can be utilized for product and packaging design optimization, reducing material use, and encouraging recyclable materials.

The versatility of the technology is already a talking point among retailers around the globe with 92% planning to ramp up their investments in Generative AI as per a GlobalNewswire release.

Immersive Reality will No Longer be a Novelty

Retailers bet big on experience as a major differentiator and try using technology to drive experience as a differentiator. The evolution of Augmented Reality (AR), Virtual Reality (VR), and Mixed Reality has thrown open a new paradigm in experience that seamlessly marries the physical with the virtual. The ability to experience furniture, fashion, and more from the comfort of the drawing room is a relatively new experience, one that customers are eagerly absorbing and consuming. According to a survey by PWC, India, China, and Qatar are most keen on VR. The survey states that 32% of users buy products after checking them out on VR platforms. A similar report on AR from NielsenIQ highlights that 56% of customers feel more confident about the product using AR, while 61% said they prefer to shop with retailers offering AR experiences.

AR/VR and MR empower retailers to:

• Entertain – Walmart collaborated with DC Comics and Marvel to bring superhero-themed AR experiences to selected outlets
• Educate – Vanity Planet’s skin reporter app scans users faces to educate them about their skin types and possible skin conditions, aligning it with complementing makeup recommendations
• Evaluate product fit – IKEA uses AR to help users gauge the fit of furniture within a given surrounding enabling consumers to validate their purchase against their exact requirements
• Enhance the post-purchase experience – McDonald's used AR to help users discover the origins of ingredients used in their products to ensure customers know the source of their produce and enjoy consuming the products without hesitation

The evolving wave of spatial computing that utilizes a range of technologies, including AI, ML, AR, and IoT, to establish an awareness of the three-dimensional (3D) environment surrounding an object, enable it to interact seamlessly with its surroundings is a fast-developing technology poised to take the experience quotient to another level and promise an immersive, engaging future for retail consumers and better returns for retailers. The growing influence of immersive technologies is charting the way for retailers into the evolutionary world of the Metaverse. Retail giants like Nike, Gucci, and Adidas among others have already made a foray into the virtual world by buying real estate, building digital stores, conducting fashion shows, and hosting concerts. The future state of this space holds a lot of promise for retailers as it is expected to create a digital connection between the customer and the brand, like never before. Retail brands are excited about the opportunity as it provides them with direct access to zero-party data of customers, enabling retailers and service providers to establish a hyper-personalized connection with the customers. The customer is enthusiastic and buoyed by the surreal experience that is being rendered across these new digital platforms, which promises to better all previous experiences from the past.

Expanding the Expanse with Omnichannel Integration

Powering the futuristic omnichannel retail ecosystem at the front end will be a headless commerce architecture that delivers a distinctive, consistent customer experience across channels and supports all touchpoints with shared functionalities, such as wish lists, appointment booking, and payments. This architecture is also expected to be more scalable and flexible than a traditional monolithic architecture as it is decoupled from the backend giving retailers the ability to drive changes faster. The world is steadfastly embracing IoT in the shape of wearables, home automation, and more. The headless architecture will help retailers deliver content across each device type without reinventing the wheel, keeping the experience consistent. Talking of the backend, the move towards a microservices-based architecture at the backend can also be a game changer for retailers. This decoupling of the monolithic architecture at the backend will help retailers to upgrade or revamp a specific function quickly, for example integrating biometrics into the sign-in function or integrating gesture recognition for payment. These new-age capabilities can be separately developed and deployed in a modular fashion. This is unlike how it is done in the traditional monolithic architecture where the complete system would need a revamp for the addition of any functionality.

Blockchain Safeguarding Digital Assets Across the Virtual Terrain

Blockchain technology is a decentralized ledger system that provides robust security and transparency for safeguarding digital assets in the retail sector across the digital landscape. Through its immutable and distributed nature, blockchain ensures the integrity of transactions and data, reducing fraud and enhancing trust. For example, in supply chain management, blockchain can trace the origin and journey of products, allowing customers to verify the authenticity and quality of goods. It also acts as a powerful tool for driving sustainability within the retail sector by providing retailers insight into their supply chains, promoting responsible sourcing and reducing waste. By verifying product authenticity, blockchain helps combat counterfeiting, ensuring that consumers receive genuine, quality products discouraging the production of environmentally damaging fakes.

In e-commerce, blockchain-based payment systems like Bitcoin offer secure and borderless transactions, eliminating the need for intermediaries. Blockchain can also be a game changer in driving loyalty programs enabling retailers to offer customers rewards securely, while smart contracts, an agreement based on blockchain technology that kicks in automatically once certain conditions are met, can enforce credible, transparent agreements on product authenticity, warranties, or refund policies, ensuring a seamless and trust-driven retail experience. Blockchain holds significant value in a rapidly digitizing world that is embracing Non-Fungible Tokens, or unique digital identifiers recorded on a blockchain ledger as an identification of ownership and authenticity for digital assets such as art, music, fashion, or any other collectible owned by an entity. One of the main advantages of NFTs is that they allow people to own and intellectual property. NFT cannot be replicated, a strong reason why fashion labels, and multinational retail conglomerates, are exploring the use of NFTs to secure ownership of digital assets and thwart counterfeiting.

Embracing the Future of Retail Technology, Today

As inflation and fears of an economic slowdown weigh heavy on the minds of consumers, curtailing their spending, retailers will need to embrace the advances in technology to attract, convince, and drive sales to build an all-encompassing retail ecosystem. Retailers will need to deploy new-age strategies powered by contemporary technologies such as artificial intelligence, blockchain, augmented and virtual reality, and more to get up close and personal with their customers building long-lasting trust and value. Retailers will have to look at technology not just for delivering convenience and experience but also as a medium to drive sustainability and security. The time is ripe for retailers to embrace the future of technology to catapult from digital transformation to digital ascendance.

Author: Nareshraj Gururaj, Sr. Vice President, India Delivery & Operations, Innover

"Phygital" describes the seamless integration of physical and digital experiences, revolutionizing the way consumers shop. This innovative approach combines elements from both the physical and digital realms, creating immersive and convenient shopping encounters. Phygital technology is pivotal in merging online and offline retail, enabling retailers to offer customers a harmonious blend of traditional and online shopping benefits.

Why is Phygital Relevant?

Understanding the significance of phygital requires tracing the evolution of shopping. Traditionally, shopping meant physically visiting a store mostly in groups either, either with families, or friends, exploring products, and making a purchase. However, the emergence of e-commerce has transformed this process, allowing customers to shop individually from home and receive deliveries. While e-commerce offers convenience and variety, it lacks the physical and social aspects of traditional shopping. Phygital retail addresses this gap by merging online and offline experiences, providing a seamless customer journey.

Phygital technology incorporates various tools like augmented reality (AR), virtual reality (VR), interactive displays, and mobile apps or even a physical experience stores. These innovations empower retailers to craft immersive experiences, engaging customers both online and in physical stores. It also enables consumers to explore the brand further by providing an opportunity to engage with the brand physically while also enjoying the convenience of digital shopping. Same-day deliveries are also becoming increasingly common.

Importance of Phygital Marketing in Retail

Phygital has emerged as a crucial strategy for modern businesses, responding to the growing demand for seamless and consistent customer experiences. This approach integrates the physical and digital dimensions of a brand, fostering a robust brand identity and cultivating lasting customer loyalty.

One of its key merits lies in the realm of personalization. Through adept use of data and analytics, businesses can tailor their marketing efforts to cater to specific consumer needs, both online and offline. This level of customization forges a profound connection with consumers, leading to heightened loyalty and enthusiastic brand advocacy.

Furthermore, phygital marketing in retail offers a distinct advantage by enabling the creation of a unique brand identity. The fusion of physical and digital elements allows businesses to craft a memorable and distinctive brand encounter, setting them apart from competitors. This not only fosters brand loyalty but also bolsters customer retention significantly.

In the realm of outreach, phygital strategies widen the audience net. Digital channels complement physical presence, enabling businesses to showcase their in-store displays through social media or establish online stores to supplement their brick-and-mortar locations.

Additionally, phygital marketing serves as an invaluable tool for understanding customer behavior and preferences. By meticulously tracking interactions across various touchpoints, businesses can gain profound insights into what stimulates customer engagement and loyalty. Armed with this knowledge, they can optimize their marketing and sales approaches effectively.

In our increasingly interconnected world, it is imperative for brands to evolve in response to shifting consumer demands and expectations. The fusion of physical and digital realms, known as Phygital, represents the future of retail, promising substantial benefits for those who adopt it. Although Phygital concepts are still in their early stages, their permanence in the market is evident. As technology progresses, we anticipate witnessing more inventive approaches from brands in seamlessly connecting physical and digital experiences.

  Author:  Aman Jain, Co-founder and CEO, Doodhvale

More than 80 percent of Indian retailers do not see e-commerce as a threat, finds the NeoInsights study – ‘Click & Mortar: The Evolution of India’s Retail Ecosystem’ – released today by NeoGrowth, the MSME-focused NBFC in India, leveraging the digital ecosystem.

The study, covering around 3,000 Indian retailers and shoppers across more than 25 top cities in India, has analyzed how physical and online retail experiences complement each other.

Arun Nayyar, Managing Director and CEO of NeoGrowth said: “India’s retailers have stood the test of time and have always innovated to keep growing and enhancing customer experience. Their remarkable business growth is a testament to their creativity, persistence, and long-term engagement with customers. Our study revealed that Indian shoppers have a strong preference for shopping at physical stores and enjoy the personalized approach of their local retailers.

With customer-centricity and competition from e-commerce in mind, retailers are upgrading the in-store experience with technology. Offline retail will continue to occupy a larger share of the Indian retail sector, elevating itself to a ‘Click and Mortar’ model by adopting digital tools.

At NeoGrowth, our mission has always been to empower MSME retailers by providing them with timely financial support. We are positive about the future of India’s retail ecosystem and are committed to supporting retailers in their growth journey.”

Resilience of Offline Retail:

Despite the rapid growth of e-commerce in India, a significant majority of retailers remain confident about their physical storefronts. Only 18 percent say that their sales have been impacted by online selling platforms.

The top industries witnessing the highest contribution from offline sales are FMCG & Retail (97 percent), Food & Beverage (95 percent), and Consumer Durable & Electronics (93 percent).

Special Offers, At-Home Delivery Enabling Offline Retail:

Indian retailers are bringing the best of both worlds to shoppers by integrating digital tools with specialized in-store offers to encourage offline sales. The top 5 strategies used by offline retailers are Specialised offers, discounts, using instant messaging apps to connect with customers, doorstep delivery, and multiple payment options. 60% of retailers have adopted digital payments at their stores for ease of payment and a hassle-free buying experience for their customers.

At-home delivery remains a top priority for shoppers, with 60 percent of offline retailers receiving customer requests to start home delivery services. Retailers have initiated free home delivery services for their customers, taking orders via phone or through instant messaging apps for products available at their physical stores.

The top industries with the highest number of home delivery requests include Food & Beverage (73 percent), Healthcare (68 percent), Fashion & Lifestyle (63 percent), and FMCG & Retail (55 percent).

Ability to Touch and Feel the Product, Indian Family-Oriented Value System Drives Indians to Shop at Offline Stores:

Physical stores remain the most popular mode of shopping for Indians despite the proliferation of online marketplaces. The ability to touch and feel the product is the top reason for the popularity of in-store shopping. 54 percent prefer offline shopping due to the assured authenticity and quality of products. Approximately 50 percent of respondents are loyal to their local stores, with multiple generations of a family often shopping from the same retailer leading to trust and familiarity. 35 percent of Indians shop from their local retailer to encourage and support small businesses.  

Popular segments for in-store shopping in India include Consumer Durable & Electronics, Food & Beverage, Fashion & Lifestyle, and Healthcare.

‘Shopping Only Online’ occupies a minimal share of India’s shopping channels:

Only 10 percent of Indian shoppers are shopping exclusively on online selling platforms. This contribution further varies by generation. While only 14 percent Gen Z population shops online, this number falls to only 5 percent for the Gen X population. 11 percent of millennials shop only online. Online shopping sees a spike during flash sales and times when higher discounts are offered by e-commerce platforms, with nearly 35 percent of shoppers preferring online shopping only during flash sales.

Festive Season Increases Offline Retail Sales:

Festive shopping is a family affair in India when all members of the family across age groups get together to celebrate. More than 70 percent of Indian shoppers value a family shopping experience in a physical store. Indian retailers see the maximum footfall at their stores during special occasions such as festivals. During this time, they ramp up product inventory, introduce differentiated offers, and aggressively promote their businesses.

Industry segments that see maximum offline sales during the festive season include FMCG & Retail (80 percent), Consumer Durables & Electronics (79 percent), and Fashion & Lifestyle (75 percent).

Click & Mortar - Path Ahead for Indian Retail:

Almost 60 percent of retailers want to focus on physical stores with assistance from digital tools in the future to drive in-store sales. The relevance of offline retail is evident from the study with one in two retailers receiving requests from their customers to replicate products based on online reference images.  Fashion & Lifestyle and Consumer Durable & Electronics retailers receive the majority of such requests.

Online selling is yet to pick up among India’s retailers, with 46 percent saying that they are at the nascent stage of understanding the workings of online retail. 16 percent of retailers are yet to find digitally savvy staff to use online selling platforms.

The study revealed that 7 in 10 retailers plan to open new stores to strengthen their physical presence. This expansion and growth of offline retail will be facilitated by digital building blocks including digital payments, digital order fulfillment, and digital in-store operations.

The COVID-19 pandemic spurred businesses to rethink traditional practices across industries and hence, companies rapidly adopted digital solutions to adapt to shifting consumer behavior. The retail industry, in particular, has experienced a significant transformation due to a growing emphasis on technology, increased online accessibility, changes in consumer behavior, and the emergence of new business tactics.

The pandemic made retailers revamp their business models, fueling the expansion of omnichannel strategy. The use of technology in retail has become essential, from virtual storefronts to AI-powered chatbots for customer service, enhanced online platforms, delivery, and returns for a seamless shopping experience. Therefore, the retailers have adopted a hybrid business model combining both online and offline strategies, valuing the digital-physical blend.

The pandemic caused retail to embrace omnichannel strategies. This includes popular options such as buy-online-pick-up-in-store (BOPIS) and curbside pickup, bridging virtual and physical retail. This trend in the retail industry is leading to major changes in the retail space landscape as well since customers can easily buy products online and then pick them up in-store, saving them time and adding convenience.

Developers are now focusing on creating retail spaces that are well-suited to their target customers, considering the location, accessibility, and unique selling points of each locality, eventually crafting spaces to reshape the future of the shopping world. The integration of technology like augmented reality, and virtual reality enhances the customer experience, allowing virtual try-ons. Additionally, automated floor plans and street views enable customers to seamlessly navigate through their shopping journey. Tech-driven data collection, resource optimization, and sustainability promotion are also disrupting retail businesses.

Besides, a variety of high-quality dining options, cinemas, game arcades, concert halls, and bowling alleys, are all aimed at creating a holistic leisure and shopping experience for people. A report from KPMG and the Retailers Association of India predicts a 45 percent growth in the utilization of AI within the Indian retail sector over the next two years. This growth is driven by the need to improve customer experiences by personalizing services and enhancing operational efficiency. 

Retailers are leveraging this approach to provide convenience, personalization, and a seamless shopping journey by ensuring that they cater to the new normal. The pandemic has been a catalyst for change in the retail industry, pushing it towards a future where technology, convenience, and adaptable physical spaces are paramount.

The evolving retail landscape anticipates future expectations, reflecting resilience and innovation. Developers focus on safety, efficiency, and enhancement of the overall shopping experience by understanding consumer’s habits and preferences to succeed in this evolving retail market. 

Authored by

Ms. Kaustubh Chandra, Manager, Marketing and Leasing, Brahma Group

A big part of the nation's industrial innovation is played by the logistics industries. Similar to the developed countries, India is accessible to technological progress. Technology and logistics are two of the many sectors that are connected. Wherever technology is extensively used. Due to modern business methods and innovations, the flow of commodities from manufacturers, merchants, or wholesalers to customers has changed. The transition from manual to automated technologies and communication, as well as advancements in information technology, have had a significant impact on the logistics business.

As a result, it is now crucial to keep track of the supply chain and the transparency of logistical activity in order to maintain the needed pace, ensure customer happiness, and guard against any delivery ecosystem inefficiencies.

Below are some prominent ways that the Indian logistics sector has been transformed by technological advancements:

Improved Supply Chain Management

Due to AI's crucial position in supply chain management, technology has undergone tremendous change. One example is the development of predictive optimization, which is anticipated to become one of the biggest forces in the logistics sector. The entire supply chain is strengthened and improved through supply chain visibility solutions, which provide constant data access to all users. Predictive optimization facilitates efficient last-mile delivery by bridging the supply and demand gap through accurate forecasts. The last-mile delivery intelligence, which includes route optimization and ETA prediction, will also ensure smooth operations.

Digitization Ends Warehousing Problems

One of the most important advantages of digital warehousing is increased visibility. Real-time understanding of inventory levels and shipment status is hampered by slow, error-prone manual methods, which cause delays and mistakes. Similar to how this data may be organized, warehouse management systems (WMS) may provide staff with real-time positional information. This level of sight helps warehouses avoid several common accidents. Improved visibility makes warehouses more useful. This augmentation might be most obvious in preference. Employees who are knowledgeable about the precise position of every item spend less time rummaging through and perusing shelves.

Enhanced Routing Assistance

Another important impact of technical developments on the logistics industry is the enhancement of routing. Modern GPS technology makes it unlikely that drivers would get lost or that consumers will have to wait for deliveries.

Technology can also be used to optimize routes, ensuring that drivers take the fastest paths possible to their destinations. In addition to knowing this before leaving, drivers can also be notified of a better route while on the road, depending on things like traffic jams, roadwork, or other unexpected delays. Businesses benefit from this flexibility to take more economical routes because it lowers fuel costs and vehicle usage.

Smooth Functioning

The ability to track a product's delivery from start to finish is one of the most common client expectations in logistics. Internet of Things (IoT) can be used to monitor an object's temperature and location. The position and temperature of items being moved by vehicles can also be tracked using IoT. The logistics sector is seeing substantial changes in its manufacturing processes as a result of technical improvements and the e-commerce boom.

The use of data to drive operations and decision-making will rise as logistics becomes more and more digitized. A seamless exchange of information between humans and machines will result from AI data analytics. AI can ascertain how logistics movement might be optimized by analyzing data and automating procedures like capacity estimation, demand patterns, network analysis, and other similar elements.

The improvement of fleet performance visibility is one of the most significant ways AI may assist in lowering logistics costs. A logistics platform powered by AI would allow for precise load-vehicle matching and onboard capacity optimization. With fewer trucks, it would be possible to transport shipments that currently demand more trucks, reducing overall vehicle overburden. A logistics company can significantly increase its cost utilization in warehousing by implementing AI-based automation in inventory management. Time is saved, and fewer human resources are required, which also lowers operational costs.

Tech Powered Fourth-Party Logistics

With a 4PL, a firm outsources all of its logistics, supply chain management, and supply chain optimization to an outside logistics service provider. All distribution chain and logistics tasks are handled by 4PL Logistics, which also keeps an eye on the operational and financial effectiveness of the supply chain. These logistic aggregators cover all aspects of a company's logistics needs as well as its strategic planning. They also collaborate with 3PLs to outsource some logistics and transportation-related tasks. Significant changes in the logistics processes are made as a result of a 4PL company's strategic, operational, and technological partnership, increasing efficiency and lowering costs. One of a 4PL's key features is that it provides total visibility, real-time information, and communication to gather, store, and manage supply chain data

Even if reinventing the processes is necessary, Indian logistics firms must invest in modernizing technologies to create creative and effective solutions. Robotics and artificial intelligence are increasingly being used to automate operations in warehouse and transportation management. As a result, companies will be able to use fewer human help.

About the Author

Pawan Kumar, Co-Founder of Shipease

Despite a challenging start to the year in CY23, online sellers are gearing up for a festive season comeback. They anticipate a substantial year-on-year sales boost of at least 15 percent during the upcoming festive period. The median projection stands at an impressive 26 percent growth compared to last year's festive season. Sellers spanning various product categories, including those with lower average selling prices like fashion, are displaying a bullish outlook on this growth trajectory. This surge in sales is poised to offer a much-needed respite in the face of an otherwise demanding macroeconomic environment.

The latest report by Redseer Strategy Consultants on the Indian festive season, reveals the market readiness and seller’s bullish sentiments for a profitable festive season. Redseer surveyed a few hundred sellers (primarily the smaller sellers) prior to the festive sales 2023. Our findings show that despite modest sales growth on e-commerce platforms recently (only 40 percent of sellers we surveyed reported a >10 percent increase in current quarter sales vs JFM 23 quarter), anticipation for a festive sales boost amongst the sellers is high across categories.

e-Commerce platforms are tailoring solutions to meet the optimism of sellers and as a consequence of which, seller perceptions around support provided by eTailing platforms have seen an uptick – with 62 percent of sellers agreeing with the sentiment that the platforms have been supportive in their festive planning vs. 53 percent sellers who observed this in the lead-up to the last year’s festive season. Through our surveys, sellers have highlighted the strong support received from platforms in terms of data analytics, trends predictions, and consumer visibility, among others.

Driven by this seller bullishness, they are expected to ramp up their ad spendings on the online platforms meaningfully- creating the right sales impact for themselves and also benefiting the platforms

Our survey results indicate that sellers are willing to spend more on marketing/advertising during the festive season on online platforms to drive sales growth. Overall, across the surveyed sellers, they anticipate a 15 percent spending growth vs last year’s festive season and 50 percent ad spending growth vs business as usual (BAU) periods of this year.

Interestingly, smaller sellers are highly willing to spend on ads and bullish on overall sales growth- smaller sellers anticipate a 22 percent ad spend growth vs last festive season and 75 percent growth vs BAU period of this year per our surveys.

“Our interactions with sellers prior to this 10th eCommerce festive season reaffirms the transformative impact eCommerce has on these MSMEs. The festive period is expected to enable sellers especially the smaller ones to come out of the challenging sales environment seen through this and sellers are optimistic about strong sales growth. Accordingly, they are willing to significantly ramp up their advertising spending on the e-commerce platforms during this festive period. In the longer term, more and more sellers will continue to benefit from eCommerce growth given its strong positive impact on seller topline and bottom line that emerges from our research,” says Mrigank Gutgutia, Partner at Redseer Strategy Consultants.

In the dynamic realm of retail, one phrase has emerged as the ultimate mantra for success: "Direct-to-Consumer" or D2C. This approach has fundamentally altered how businesses connect with their audience by eliminating intermediaries and establishing direct relationships. However, in today's digital commerce landscape, marked by intense competition and soaring consumer expectations, thriving as a D2C brand requires more than just cutting out the middleman. It necessitates a strategic blend of two forces: personalization and artificial intelligence (AI).

D2C, short for Direct-to-Consumer, represents a business model empowering brands to oversee every aspect from production to marketing and order fulfillment. This model has surged in popularity due to a growing appetite for unique, personalized products. In contrast to the traditional supplier-to-retailer (S2R) approach, where intermediaries like wholesalers come into play, D2C brands directly sell their products through various channels, including e-commerce websites, mobile apps, and brand-owned physical stores. Freed from shelf space constraints and intermediary pricing policies, D2C brands leverage their in-depth knowledge of their target audience to curate captivating product offerings, fueling innovation and fostering close client relationships. 

When it comes to  Artificial Intelligence, which is gaining a stronger foothold in our world day by day, D2C brands are not only able to collect data about consumers but also derive meaningful insights from it. This data-driven strategy enables brands to curate product catalogs with unmatched accuracy, anticipate consumer needs, and optimize pricing strategies. These brands can improve their marketing strategies, streamline their business processes, gain greater insight into their customers, and ultimately thrive in the market by utilising the power of AI. 

For example, imagine an online store that knows exactly what you’re looking for. It recommends products that you didn’t even think you needed. Such is the strength of AI personalization, allowing consumers to enjoy a highly curated experience. This in turn leads to a rise in consumer loyalty as well as conversions. An advantage artificial intelligence has over the human mind is that it is able to analyze and process large amounts of data, identifying patterns that humans might miss.  AI-driven recommendation engines leverage customer browsing and buying patterns to offer tailored product suggestions and content, thereby enhancing the likelihood of customers completing a purchase.

Direct-to-consumer (D2C) brands are reshaping the retail landscape through a powerful arsenal of AI-driven tools, such as recommendation engines, dynamic pricing algorithms, personalized email marketing, natural language processing (NLP), computer vision, machine learning, augmented reality (AR), and virtual assistants. This technological synergy enables D2C brands to deeply connect with consumers and redefine their shopping experience while transcending traditional retail norms. Beyond customer engagement, these tools optimize operations, predict market trends, manage inventory efficiently, and reduce costs and waste through machine learning. Augmented reality and virtual assistants further elevate the customer journey, offering real-world product visualization and personalized assistance. As a result, D2C brands are thriving and pushing the boundaries of what's possible in the retail industry, creating a more seamless and immersive shopping experience for consumers.

In a world where competition is fierce and consumer expectations are higher than ever, D2C brands that embrace personalization and AI as core pillars of their strategy are not only surviving but thriving in the dynamic e-commerce landscape. As technology continues to advance, it's clear that the future of D2C retail will be defined by those who harness the potential of AI to forge deeper connections with their customers and deliver exceptional, tailor-made experiences.

About the Author

Parth Patel, Co-founder & Director, Cossouq.com

Gifting is an age-old tradition that has found a new heartbeat in the digital era. E-commerce gifting platforms have redefined the art of expressing sentiments, transforming it into an experience transcending traditional boundaries. This article explores the evolving world of e-commerce gifting platforms, uncovering how they're simplifying the gift-buying process, harnessing the power of artificial intelligence for personalized connections, and shaping a promising future of gifting that resonates deeply in 2023 and beyond.

E-commerce Dignify the Emotions Behind Every Gift

The digital age has brought a sweeping transformation in almost all aspects of life, including gift-giving. While this may seem like a simple enough activity, one has to understand the intricacies and emotional overtures of selecting a gift that communicates the right emotions. Therefore, these platforms help one go beyond the physical exchange of presents, acknowledging that the gifting experience is an emotional journey. It encompasses the entire narrative, from the meticulous selection of the perfect gift to that heartwarming instant of giving and the genuine reaction of the recipient.

These platforms have evolved beyond transactional entities. They have emerged as architects of memories, championing the cause of convenience and forging deeper connections. 

Convenience in the Process of Gift Selection

One of the most praiseworthy features of e-commerce gifting platforms is their ability to simplify gift buying. These platforms have successfully undertaken the Herculean task of stripping away the complexities and anxieties traditionally accompanying the search for the perfect gift. Users are greeted with an appealing and easy-to-use interface, allowing them to effortlessly sift through a treasure trove of gift ideas expertly categorised by occasion, recipient, or budget. The pressure of time no longer hangs heavy; informed decisions can be made with ease. The user-friendly interfaces encourage a culture of appreciation and participation, where giving takes centerstage.

Ever-evolving E-commerce Gifting Platforms

E-commerce gifting platforms have been able to evolve with the changes in the preferences of the customers.  Once confined to mundane options like flowers and chocolates, these platforms have expanded their horizons to align with emerging market trends and demands. Today, the range of gift options available is nothing short of staggering, from meticulously personalised items to unforgettable experiences and eco-conscious and sustainable choices.

This diversification is rooted in the modern consumer's quest for meaningful and thoughtful gifts. E-commerce platforms now serve as one-stop destinations for all occasions, whether a personal celebration, a festive extravaganza, or a corporate gala. Their adaptability ensures that customers are never at a loss for that apt, memorable gift, no matter the context.

AI as Pathway to Foster Connection

Artificial Intelligence (AI), the modern-day marvel, has become a key player in online gift shopping. It's like a digital assistant that understands your preferences by analysing what you've bought before and how you shop online. Then, it uses this knowledge to suggest gifts just right for you.

Social media has vast amounts of information related to individual style. AI mines this goldmine, scouring social interactions, likes, shares, and comments to decipher interests and trending preferences. This insight goes beyond what meets the eye, uncovering the subtleties that define personal tastes. Armed with these comprehensive insights, AI becomes a gift-giving virtuoso. It suggests gifts that reflect the shopper's love, care and appreciation and help the recipient feel valued and cherished.

Furthermore, AI doesn't stop at the act of gifting. It continues to engage, sending reminders for special occasions and suggesting meaningful follow-up actions. This constant interaction and engagement is like having a trustworthy assistant who ensures you never miss a moment to connect.

Bottomline

E-commerce gifting platforms are at the forefront of reshaping the art of gift-giving, emphasizing the entire gifting experience. They have simplified the gift-buying process, expanded their offerings, and harnessed AI for deeply personalised connections. As we gaze toward the horizon, these platforms are poised to continue their journey, making gifting more accessible and meaningful to individuals across the globe. Digital gifting has thus become a convenient and reliable way of ensuring your loved ones receive the best possible gift on their special day. The future of gifting holds the promise of bringing people closer together, one heartfelt gift at a time.

     Author: Dhanunjaiah Koppolu, Director, MINIKART

In a rapidly evolving tech landscape, companies must adapt to stay relevant. Netcore, once known as a legacy email company, successfully transformed itself into a global MarTech leader by rebranding and focusing on customer-centricity, continual partnerships, and product innovation. Praveen Sridhar, VP - Growth & Special Projects speaks to Indian Retailer about the phenomenal growth journey – from its roots in India to the global MarTech space, the company’s unique strategies for growth, technological innovations, and long-term goals.

From Legacy Email to MarTech Marvel

Netcore began its journey as a legacy email company, but it didn't stop there. The shift in focus towards MarTech products paved the way for success. It strategically started by catering to its home ground, India, where its approach aligned with the sentiments of Southeast Asia. The initial response was promising, validating the value of their products. This positive reception emboldened the company to look beyond Indian shores and go global.

Rebranding and Breaking Free from Legacy Tech

Having spent almost three decades in the industry, Netcore recognized the need to shed its legacy image. The first step in this transformation was rebranding, showcasing a bolder and more vibrant identity. This shift resonated well with the market, but it also posed a challenge. The company had an array of product offerings, albeit siloed. Recognizing the immense market opportunity, Netcore integrated these offerings into a cohesive suite of products. This consolidation allowed for a tightly knit story, converting potential clients into loyal customers. “If you don't have a story, people are not going to get the full value. That's a challenge which we faced. Although we had separate products, we wanted to system that had one suite of products where our goal was simple. For example, if there was an e-commerce customer or a D2C customer, our goal was clear: Help convert your shoppers to buyers. That included everything from product discovery to closure, to reactivation and repurchase,” elaborated Praveen.

A Diverse MarTech Powerhouse

Netcore's journey towards becoming a MarTech powerhouse marked a turning point. The company's diverse portfolio, extended far beyond email services, becoming a comprehensive MarTech solutions provider. This evolution was further validated by reports from industry authorities like Forrester and G2, positioning Netcore as a contender for the MarTech market leadership.

Netcore's strategic vision for future growth today centers around a few core principles. According to Praveen, its Continual Partnerships, Customer-Centricity, Product Innovation and Employee Experience.

• Continual Partnerships: Netcore believes in forming meaningful partnerships with customers, affiliates, and organizations. The emphasis is on mutual value, ensuring that every engagement delivers tangible benefits.
• Customer-Centricity: Unlike traditional product-centric companies, Netcore places the customer at the core of all its operations. Every team member, from developers to sales and marketing, is driven by the customer's needs and experiences.
• Product Innovation: Netcore is committed to constant product innovation, making customer and marketing teams' lives more comfortable. This innovation serves as a core strategy for the company's future growth.
• Employee Experience: Recognizing that employee experience directly impacts customer experience, Netcore has invested in empowering its teams to drive profitable growth for its customers. This holistic approach has set Netcore apart from competitors.

Technological Innovations

Netcore's technological edge extends beyond its strategies. Unique features like the full-stack offering, search algorithms, and the journey builder distinguish them from their competitors. The company's intelligence on customer and catalog data, coupled with AI-driven personalization capabilities, ensures that Netcore offers an unparalleled experience to its clients.

The brand has set ambitious long-term goals to solidify its position as a one-stop solution for customers' profitable growth. “The company's vision encompasses covering a wide range of verticals, making marketers' lives easier, and reducing friction in consumers' lives. Additionally, we aim to amplify our model of continual partnership to keep customers' growth and happiness at the forefront of its operations,” concluded Praveen.

India's private label sector and direct-to-consumer sector are currently valued at Rs 13 billion, making up 10-12 percent of the organized retail sector in the country. These labels also enable a significant influence in the offline retail space, dominating a staggering 90 percent of sales in the large apparel and fashion retail sector, while making a substantial 40 percent contribution to sales in the thriving online grocery retail segment. Prominent retailers like Pantaloons, Tata Group’s Trent Ltd, Shoppers Stop, and Spencer’s Retail have been increasingly emphasizing private label retailing, with private labels accounting for 90 percent of Trent’s sales, 80 percent of Reliance’s, and 75 percent of Pantaloon’s overall sales. Aditya Birla Retail is also planning to boost the contribution of its own brands in sales from the current 3 percent to 10 percent over the next 2-3 years.

InGovern, a leading corporate governance advisory firm, released a research report titled, ”Private Labels and Direct to Consumer Brands: Democratising Retail Commerce in India,” analyzing the role of private labels and D2C products and their growing adoption in retail. The report highlights the advantages that private labels and D2C brands bring to retailers and small businesses while simultaneously helping consumers by providing more affordable and higher-quality products.

Speaking on this, Shriram Subramanian, Managing Director, InGovern said, “Private labels and direct-to-consumer brands offer a mutually beneficial scenario in India’s retail sector, empowering MSMEs with increased revenue streams, brand recognition, and global access while providing consumers with cost-effective, customizable, and trusted alternatives. As the e-commerce industry soars, regulatory clarity and streamlined oversight are imperative for sustained growth and innovation. The government can enable the start-up community by creating a policy environment that creates more investment opportunities and selling platforms both offline and offline. There is no reason for the government to bar the D2C approach as long as they are compliant with the law. The government must allow the same equitable treatment of e-commerce e-tailers/marketplaces as they do for offline sellers.”

The report also mentions how these brands are owned and manufactured by retailers/marketplaces for reasons such as generating higher margins, filling product range gaps not covered by branded suppliers, differentiating their store's product range from competitors, and enhancing profitability and customer loyalty. Additionally, it emphasizes how partnering with retailers for private label and D2C products offers MSMEs numerous benefits, including diversifying revenue streams, reducing reliance on single products, and fostering stable collaborations, which, in turn, boosts financial stability through increased sales. These partnerships aid in building brand recognition and loyalty by exposing products to a wider audience over time.

The report concludes by pointing out how sharing marketing and distribution duties with retailers/marketplaces through private labels and D2C products can help MSMEs focus on innovation and product enhancement, and be part of economies of scale by cutting production costs, elevating profitability, fueling economic growth and expanding the customer base.

In today's digital landscape, relying solely on static images on product pages is insufficient to motivate shoppers and ensure they follow through with their purchases. According to McKinsey & Company, live-commerce-initiated sales could account for 20 percent of all e-commerce by 2026. India's e-commerce market is projected to be $220 billion by 2025, while live commerce could touch upwards of $50 billion in terms of Gross Merchandise Value (GMV), according to EY India. To boost the conversion rate and drive successful orders, it's crucial to empower content creators within your marketplace to establish personal connections with customers through live video and chat interactions. This interactive approach enhances the shopping experience by allowing content creators to engage directly with shoppers, answer their questions, and address any concerns in real-time, thereby encouraging them to proceed with their buying decisions.

By leveraging Real Time Engagement (RTE), e-commerce websites can provide a personalized and interactive experience to their users, enhancing customer engagement and ultimately driving conversions. Here are some ways RTE enables e-commerce websites to engage with users:

RTE can help bring a marketplace to life with human interaction. It helps decrease shopping cart abandonment and increase cross-selling by encouraging customers to socialize with each other and influencers to purchase an entire look, find seasonal necessities, get expert advice, and more. RTE empowers e-commerce websites to go beyond static content and deliver personalized, interactive, and real-time experiences to users. By leveraging these capabilities, e-commerce websites can enhance user engagement, build trust, and ultimately drive conversions and revenue.

About the Author

Ranga Jagannath, Senior Director, Agora

To grow digital commerce and leapfrog competitors, it’s critical to establish both the right technological and leadership foundation. It’s not surprising that chief marketing, sales, and revenue officers drive stronger business performance, given their customer-centric focus. But that’s not to say that technology leaders take a back seat. Business leaders can only bring their visions to life when the tech stack supports the experience roadmap. Today, that means hyper-personalized, hyper-channel capabilities that bring commerce functionality to physical stores, mobile and smart devices, chatbots, social networks, and non-standard points of engagement.

Data from a recent study found organizations that combine customer-centric leadership with flexible, future-forward technology that is Microservices-based, API-first, Cloud-native, and Headless (MACH) are best positioned to win the digital race. This framework allows enterprises to handle any new experience and deliver it far faster than traditional commerce technologies.

The monolithic era is over

Like all enterprise systems, e-commerce platforms were historically architected as monoliths, meaning backend components such as Catalog, Pricing, Accounts, Cart, and Checkout all live within a single code base, along with the front end. While many monoliths can be customized by adding code (within limits), they all eventually hit their breaking points – becoming too large and too fragile to maintain without introducing bugs or adding technical debt. With a tight-coupled front end, they also struggle to hook into important, non-standard consumer touchpoints like mobile applications, video, digital screens, social networks, and chat applications to make them natively “shoppable.”

In recent years, a new pattern has emerged, commonly called MACH (Microservices, API-first, Cloud-native, Headless), or ‘composable commerce’. This approach breaks the monolith into smaller, independent pieces (microservices) that communicate with each other through an API layer. Microservices’ independent code and data store enable developers to build new features and experiences much faster and with less risk than hacking the monolith, including experiences built for novel touchpoints. For this reason, it’s rare for an enterprise to procure new systems in monolithic form – MACH has become mainstream.

Because an organization can use microservices alongside existing legacy monoliths (provided they are “headless” with a supporting API layer), migration to MACH can be done fast, or gradually over time using the strangler pattern.

Solving with extensibility

To provide even greater flexibility, this evolved version of MACH can add extensibility to the equation. Where most commercial off-the-shelf microservices can only be used “as delivered” by the vendor, the extensible version uses open-source technologies that can be modified and customized to suit the unique requirements of a business or project. The same tech stack can be used to build bespoke microservices to handle ultra-innovative requirements.

This flexible foundation will ensure that the commerce system is future-proof and can evolve in step with business objectives and consumer expectations. New capabilities can work seamlessly with existing APIs and be deployed anywhere. Keeping API customizations separate from core layers will ensure that organizations are on a seamless upgrade path. This means customizations never need to be rebuilt to stay on the latest version of any microservice.

This is important for long-term IT efficiency, as the cost to redo any work always comes at the expense of new delivery, consuming resources that would otherwise be applied to continuous innovation.

Digital commerce as a ‘team sport’

This ethos of continuous innovation and continuous delivery supports both IT and business objectives, but customer-facing leadership makes a difference in business outcomes. The study found that companies organized around value streams are 50 percent more likely to be among the fastest to bring innovation to market.

This means a company is more likely to lead the market if digital commerce is owned by the CMO, CRO or CSO (marketing, revenue, or sales, respectively). However, the best-performing companies recognize that digital commerce is a team sport and favor a decentralized organizational model where specialized digital commerce roles are deeply integrated across other business functions.

Decentralization makes digital commerce part of an organization’s DNA, increasing its visibility and impact internally and externally. Undoubtedly, technology leaders play a key role in building the ecosystem containing everything that matters — architecture, capabilities, analytics, system integrations, and payments. It’s critical for organizations to have both technology units and revenue leaders work in harmony toward a common vision, enabled by flexible architecture that brings the vision to market, fast.

About the Author

 Amit Kalley, Chief Executive Officer (CEO), Infosys Equinox

Amit Kalley is the Chief Executive Officer (CEO) of Infosys Equinox, a human-centric digital commerce and digital marketing platform. Amit has successfully driven digital transformations for over a hundred G2K enterprises across the globe for over 2 decades. His experience spans a wide range of industries including retail, CPG, high-tech, manufacturing, financial services, telecom, energy, and media. 

With a strong foundation in technology, Amit has created and taken to market several industry-leading products, solutions, and practices. Prior to his current role, he has held leadership positions in the other Infosys products portfolios and at Infosys Labs. He has also been the Global Head of Innovation at Infosys for multiple industry verticals. Amit has an MBA from The University of Chicago Booth School of Business, and a B Tech in Aerospace Engineering from IIT, Kharagpur.

Amazon India recently announced a series of initiatives aimed at boosting India's digital economy and exports, aligning with its commitments to the country. In a move that deepens its longstanding partnership with India Post and Indian Railways, which form the backbone of India's logistics and supply chain infrastructure, the company has signed a Memorandum of Understanding (MoU) with India Post. This MoU paves the way for an integrated cross-border logistics solution that promises to significantly expand the e-commerce export opportunities available to micro, small, and medium-sized enterprises (MSMEs) across India.

“Amazon India's recent collaboration with India Post marks a noteworthy development. Currently, over 125,000 sellers participate in the global selling program, allowing for easy registration online. The partnership with India Post offers significant advantages for exporters. They can conveniently drop off their shipments at the nearest post office, eliminating the hassles of logistics and paperwork. This simplification enables exporters to concentrate on their core expertise—developing high-quality products—without the burden of handling intricate logistics. While Amazon already manages much of the paperwork, this partnership further streamlines the process by integrating it with the extensive postal network,” said Manish Tiwary, Country Manager India Consumer Business, Amazon India.

As a testament to their decade-long partnership, India Post and Amazon unveiled a commemorative postal stamp. This stamp not only celebrates the enduring collaboration between Amazon and India Post but also underscores their joint effort to reach customers in 100 percent serviceable pin codes throughout India. It creatively showcases the various transportation modes that Amazon employs to efficiently deliver products from sellers on its marketplace to customers across the country.

Dr. Jitendra Singh, Minister of State (I/C), MoS in the Prime Minister's office, Ministry of Personnel, Public Grievances & Pensions, Department of Atomic Energy, Department of Space, Government of India, lauded Amazon's commitment to digitize 10 million MSMEs, create 2 million jobs, and drive $20 billion in e-commerce exports from India by 2025. He emphasized the transformative potential of digitization for small businesses, including economic growth, broader customer reach, reduced marketing and distribution costs, and access to international markets.

The collaboration between Amazon and India Post promises to be a game-changer. By harnessing India Post's extensive nationwide reach, including their Dak Niryat Kendras, and combining it with Amazon's substantial investments in technology, logistics, and infrastructure, this partnership aims to lower the entry barriers for Indian entrepreneurs looking to capitalize on the burgeoning export market. It will simplify cross-border logistics and compliance for Indian exporters, enabling them to ship their products directly to customers worldwide with ease.

Under this collaboration, Indian exporters participating in Amazon's Global Selling program will have the convenience of booking shipments, printing shipping labels, and paying for shipping directly from their seller central accounts. They can then drop off these shipments at over 100 Dak Niryat Kendras located across India. From there, these consignments will be efficiently exported to overseas customers.

Shri. Vineet Pandey, Secretary, Department of Posts, and Chairperson, Postal Services Board, expressed his enthusiasm for this collaboration, emphasizing that “India Post's Dak Niryat Kendras have been specifically designed to empower small businesses across India and enhance their contribution to India's overall exports. This partnership with Amazon is a significant step in lowering entry barriers for countless Indian small businesses, enabling them to seize the e-commerce export opportunity.”

The pioneering initiative, the Open Network for Digital Commerce (ONDC), spearheaded by the Government of India, seeks to democratize the e-commerce landscape in the nation. At present, e-commerce contributes just about 4.3 percent to the retail commerce sector in India.

To enable and educate India Inc. about the numerous benefits of ONDC, Deloitte released a whitepaper titled “Commerce@Bharat: Redefining business models and supply chain.”

By fostering an inclusive, competitive, and open network, the initiative aims to amplify its impact across the business spectrum. ONDC is dedicated to establishing an interoperable marketplace that seamlessly accommodates sellers of all scales − from small and medium-sized enterprises to larger entities.

Through this comprehensive whitepaper, Deloitte intends to guide, handhold, and enable stakeholders toward the next phase of transformative growth.

"ONDC is a remarkable opportunity for India's economy spanning diverse industries," remarked Sathish Gopalaiah, President, Consulting, Deloitte South Asia.

"I'm optimistic about India's forthcoming growth phase, where empowerment shifts to consumers and SMEs, aligning with ONDC's mission of illuminating Bharat. At Deloitte our aim is to help customers navigate various challenges whilst leveraging the opportunities that technology and digital commerce bring together with open network.

With a unique proposition built around agility, security, and profitability at the same time, ONDC streamlines value chains, bridges gaps, and endorses innovation, paving the way for the next generation to explore novel paths.”

Four important industry trends emerge in this context:

• Empowering financial institutions through ONDC: The network presents a unique opportunity for Financial Institutions to engage with both “buy and sell” sides of a transaction. As ONDC's adoption increases, FIs stand to explore untapped segments and geographies. Regional banks' dominance over certain segments could be disrupted by forward-thinking financial institutions, bridging gaps for MSMEs to access services that were previously out of reach.

• ONDC empowering brands and retailers: With the launch of B2B on ONDC, brands can establish connections with retailers or facilitate their distributors' entry into new markets. With “plug and play” capabilities (such as real-time ordering, swift delivery, and credit management) offered by eco-system participants, ONDC will enhance the experience for both brands and retailers.

• Direct access for farmers through ONDC: The network champions technological utilization, enabling direct access for farmers to inputs, services, and buyers. This transformative shift holds the potential to modernize Indian agriculture and streamline the value chain, ushering in greater efficiency and profitability. Farmers gain direct access to buyers, while the Farmers Producer Organisation (FPO) can establish direct connections with potential clients, bypassing intermediaries. This integration optimizes the value chain, facilitating trade amongst stakeholders (such as mandis, corporations, traders, hospitality establishments, and farm-to-table start-ups).

• Optimizing cost to serve manufacturers: The availability of suppliers, logistic providers, and other ancillary service providers on a single network enables manufacturers to respond to sudden disruption in the supply chain. ONDC will also enable manufacturers, especially small and medium scale, to access demand in markets beyond their immediate reach. Thus, ONDC has the capability to create an integrated manufacturing value chain, thereby improving operational efficiencies and effectiveness by 5–10 percent.

The ONDC network is poised to disrupt the following four key industries within the economy:

• Financial services: The industry envisions redefining offerings for digitally native banking clients using transaction data, fintech, and account aggregators. By digitizing SME data and expanding banks' customer experience horizons, the ONDC ecosystem opens new avenues of commerce.

• Manufacturing: ONDC can support India's aspiration to elevate the manufacturing sector's GDP share from 16−17 percent to 25 percent. This initiative empowers the Indian manufacturing segment to realize opportunities and tackle challenges along the value chain.

• Retail and e-commerce: The network will bring a transformative shift in how brands, retailers, and MSMEs procure goods and services. With the increasing significance of online sales, the retail ecosystem can use ONDC for streamlined interactions within the supply chain and with end users.

• Agriculture: With the potential to revolutionize technology adoption in the agricultural landscape, ONDC can unite buyers and sellers across the network.