This year’s festive sales and increased shopping from Tier II and Tier III cities have contributed to the growth in online retail sales in India, which is expected to grow from $46.2 billion in 2020 to $53.8 billion in 2021, which is about 16 percent growth.
According to GlobalData, electronics and mobiles were among the most popular purchases over the Navratri Sale (during October 2-15, 2021), according to leading data and analytics company GlobalData. Most contributive factors for increased sales were massive discounts offered by retailers, attractive EMI and BNPL (Buy Now And Pay Later) schemes, etc.
“Shoppers from the rural areas have started to explore online channels, and retailers like Snapdeal and Meesho have done their part to encourage sales from these areas. Such initiatives will lead to an increase in the overall online sales penetration and contribute towards a much-pronounced digital economy,” said Ankita Roy, Retail Analyst, GlobalData.
Flipkart reported record sales in its ‘Big Billion' days 2021 with a lot of demand from the consumers looking for bargains. The company also witnessed a 1.3 times increase in the number of Kirana stores and other sellers on the platform for the week-long sale. Similarly, Snapdeal reported sales nearly doubling during its first festive sale of the year ‘Toofani’.
Amazon doubled its fulfillment network, especially for big-ticket items and furniture. Observing the growing popularity of online channels in India, Amazon delivers 100 percent serviceable pin codes, out of which 97 percent of the pin codes are eligible for receiving deliveries within two days of placing orders.
Roy further said, “Flipkart and Amazon will be the clear winners during this period as both companies have forecasted this massive demand before and the sellers on these platforms stocked their supplies well in advance. As India recently administered 100 billion vaccination doses, there has been a sense of optimism among the shoppers. This along with festive offers will bode well for the Indian retail industry in 2021.”