Around 55-60 million online buyers are expected to participate in the festive month that might see 34 per cent growth in online retail spending from $4.8 billion during last year’s festive month.
Out of the 6.5 billion dollars sales, 34 per cent is likely to come from smartphone category.
As Amazon and Flipkart claim great responses from customers for their ongoing Great Indian Festival and The Big Billion Days sales, the overall e-commerce sales generated by different e-retailers in India is likely to be worth around $6.5 billion between October 15 and November 15, according to forecast data from Forrester. In fact, around $4.8 billion worth sale — 75 per cent will take place in the first week itself (October 15-21). While Flipkart’s sale was scheduled from October 16 to October 21, Amazon’s month-long sale began October 17. Moreover, around 55-60 million online buyers are expected to participate in the festive month that might see 34 per cent growth in online retail spending from $4.8 billion during last year’s festive month from September 25 to October 29.
Out of the $6.5 billion sales, 34 per cent is likely to come from smartphone category followed by 17 per cent from consumer electronics and computers, 16 per cent from fashion, 14 per cent from appliances, and 6 per cent each from homeware/furniture and grocery. “Since its launch in 2014, Flipkart has led spending during the festive month due to its strength in the smartphone and fashion categories, which account for around 50 per cent of total online retail sales in India. This year, Flipkart has also launched 22 smartphone models since mid-September to maintain the lead,” said Satish Meena, Senior Forecast Analyst, Forrester said in a company blog post. Flipkart, on Sunday, had said that over 70 of its sellers became crorepatis and around 10,000 turned lakhpatis through early access and the three days of its sale.
Amazon, on the other hand, will rely on its Prime members to buy in more categories and buy more frequently during this month, according to Meena. “During festive month 2020, smartphone and fashion will account for 50 per cent of total sales, allowing Flipkart to maintain the lead,” he added. Amazon had claimed on Sunday that over 1.1 lakh sellers received orders during the 48 hours of its sale, beginning with Prime early access on October 16 while over 5,000 sellers registered sales worth Rs 10 lakh.
Smartphones and consumer electronics will grow at 26 per cent and 43 per cent, respectively as consumers typically wait for the festive season to upgrade their devices to coincide with new phone launches in India. Grocery, which has multiple players including BigBasket, Grofers, JioMart, and more, will emerge as the fastest-growing category, as most of the festive-themed categories within grocery move online, aided by the increase in basket size during this period, as well as the buzz created by JioMart, said Meena. Fashion, according to the forecast data being the third-largest category, is likely to decline by 9 per cent vis-à-vis last year festive season as occasion-based apparel shopping will be subdued as customers avoid going out.