Online Consumer Electronics market in India will continue to grow at a considerable pace in the next few years with increasing number of internet and smartphone users in the country. Additionally, ease of shopping products without visiting the stores and heavy discounts offered by online retailers on electronic products will continue to drive the market growth. The market is predicted to grow at a CAGR of ~% from FY;2016-FY;2020 and is expected to cross INR 630 billion by FY;2020.
The market will further witness greater demand from Tier II and Tier III cities, where consumers wish to buy technologically advanced products at high discounts. The industry would be driven by increasing internet penetration, rising personal disposable income, lower prices relative to brick and mortar stores and presence of a large number of online retailers.
The companies operating in the online consumer electronics segment follow discounting strategies to build customer loyalty. Companies in the Indian online electronics market incur heavy losses to offer electronic products at discounted rates as Indian consumers make decisions based on prices. Most of the consumers in India purchase electronics online only because they get better deals and discounts online in comparison to traditional retail shops and electronic stores. Additionally, increasing competition in the market has put more pressure on online retailers to offer aggressive discounts and offers to acquire new customers. Thus, price has emerged as the biggest factor driving more and more consumers to shop online. Flash sales have also helped companies in generating massive sales volume as they this helps them to create a sense of urgency among consumers by offering discounts for a limited period of time.
As India moves forward on the path of development by creating more jobs, increasing the banked population and providing easy access to the internet, growth of the online consumer electronics market would coincide with the growth of the Indian economy. Indian consumers will be seen looking ahead to stay in touch with the rapidly developing technology. Buyers are likely to look for the latest versions of high speed internet phones, high end laptops with supreme graphics or extensive storage capacities and more portable tablets.
The online consumer electronics market is of significant importance in the e-commerce market. It is one of the fastest growing segments in the Indian online retailing segment with the rising consumption of electronic appliances in India. However, the market is still facing a number of challenges which have the major hindrances in the growth. Low broadband speed and poor internet connectivity across most cities is a matter of concern. Additionally, low penetration of credit and debit cards as well as the reluctance to use such payment methods while purchasing electronics leads to losses for e-commerce firms. High failure rate of online transactions also restrains users to make high value transactions over the internet., according to the Research Analyst, Ken Research.
The report titled India Online Consumer Electronics Market Outlook to 2020 provides detailed overview on the Online Electronics Market and helps readers to identify the ongoing trends in the industry and anticipated growth in future depending upon changing industry dynamics in coming years. The report will help industry consultants, electronic products manufacturers, online retailers and suppliers as well as other stakeholders to align their market centric strategies according to ongoing and expected trends in the future.
Key Topics Covered in the Report:
Online Consumer Electronics
– Market Size by GMV
– Market Segmentation by
— Product Categories
— Demand from Major Cities
— Preferred Mode of Making Payment
— Seasonal Demand
— Mode of Distribution
— Mode of Making Purchase
— Marketplace and Company Website
– Consumer Profile
– Growth Drivers
– Trends and Development
– External Environment
– Issues and Challenges
– Porter Five Forces Analysis
– Competition and Market Share
– Recent Mergers, Acquisitions and Investments
– Future Outlook
– Analyst Recommendations
– Macro Economic Parameters
Key Product Mentioned in the Report
Mobile Phone and Accessories
Home and Kitchen Appliances
Computers and Peripherals
Photographic Equipment and Accessories
Companies Covered in the Report
Flipkart Online Services Pvt Ltd
Jasper Infotech Pvt Ltd.
Amazon Seller Services Pvt Ltd.
One97 Communications Limited (Paytm)
EBay India Pvt Ltd.
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