Indian e-tailing and e-service space has been witnessing a slowdown, with leading websites taking up cost effective ways in the absence of growth capital. Amid all the apprehensions about the services of portals being affected and traction decreasing, a report by the Internet & Mobile association of India (IAMAI) offers hope and shows that the industry has managed to grow by significant numbers.
According to the Internet Economy Watch Report for June 2013, published by IAMAI and IMRB, there has been tremendous increase in e-service websites in the jobs, matrimonial and online travel space.
Jobs portals reported a y-o-y growth of 205 per cent in June 2013, when compared with the number of resume uploads in corresponding month last year. Profile uploads on matrimonial sites increased to 2.16 million in June 2013, as compared to 0.75 million in 2012.
The online job space had seen a drop in the tracking executed in April 2013, with the number of resumes uploaded decreasing to 1.06 million (as compared to same time last year). However, the number of resumes uploaded in June 2013 increased to 2.93 million from 0.96 million in June 2012. Similarly, the number of matrimonial uploaded increased to 2.16 million from 0.75 million in 2012.
Travel arrangement through digital is another sector that showcased significant growth. A y-o-y growth of 17 per cent is witnessed in the online booking of railway tickets, with the tickets booked online in June 2013 reaching 6.81 million, as compared to 5.83 million in June 2012. The online bookings of air tickets witnessed an increase of 1.45 million bookings in 2012 to 1.70 million bookings in 2013.
“With 130 million people online, virtually everybody accesses internet while travelling. It is easier and faster. Also, booking online earns rewards, discounts and variety in inventory, which attract users more,” said Sharad Dhall, President, Yatra Online.
The user reach for job and matrimonial websites is 22.56 million and 20.01 million, respectively, with 1237.91 million and 611.19 million, respective, page views. Online travel segment has a reach of 21.72 million and 11132.50 million page views.
Changing e-tailing trends
The e-tailing sector also exhibited new trends in this period. According to the data, online visit to branded apparels increased by 96 per cent and to designer labels segments increased by 27 per cent.
“The e-tailing segment has proved to be the prime fueling factor of the digital commerce industry. The e-tailing category has grown from Rs 1,550 crores in the year 2009 to Rs 6,454 crores in year 2012. This category is estimated to grow by 55 per cent and cross Rs 10,000 crore by the end of 2013,” shared Subho Ray, President, IAMAI.
Visits to branded apparels increased to 10.55 million from 5.39 million in June 2012, while visits to designer labels increased from 1.73 million in June 2012 to 2.19 million in June 2013.
“The top categories in e-tailing are travel, fashion and lifestyle; this has been the fastest growing category. The overall e-tailing in India is just 0.1 per cent so there is clearly a potential in this segment and our company is growing 100 per cent every year. This emerging India will comprise consumers who will have desire, need and conviction to use the internet for reasons like shopping,” said Nikhil Rungta, CBO, Yebhi.
Praveen Sinha, Co-founder, Jabong shared, “On our website, apparel amongst the other categories, particularly drew maximum picks closely. followed by shoes and accessories. The kind of services and convenience shopping websites offer these days are impeccable and the customers are offered with wide variety of products and brands to choose from.”
Online users’ visit to spa jewellery segment increased from 1.72 million in June 2012 to 4.03 million in June 2013, signifying a y-o-y growth of 134 per cent.
Mobiles and books have been the pioneers in the e-tailing space and have always seen good traction in terms of visits and sales. Visits to mobile as a category increased to 11.61 million in June 2013, as compared to 4.91 million in June 2012. Visits to books as a category increased from 1.84 million in June 2012 to 4.61 million in June 2013.
A significant increase was registered in the online users visit to mobile segment. The number of visits increased to 11.61 million in June 2013 from 4.91 million in June 2012, implying a 136 per cent y-o-y growth.