The next big market to invest in as e-commerce goes global
E-commerce (electric commerce) has grown a lot in recent years with China being the leader in sales projections. China was responsible for revenue of nearly USD 370 billion followed by the USA with over USD 340 billion in sales. These are well-developed markets for e-commerce, but the untapped markets are the ones where there is a lot of potential given the right infrastructure and education to the people about your products. New markets are the next big thing for e-commerce businesses to expand given the right amount of funding for maximum market penetration.
In India, buying flight tickets used to be the only online transaction credit card and debit card holders would resort to fearing online fraud and hacking. It was believed that airline websites had a very high level of security invoking confidence of the customer to go for an online transaction rather than use a travel agent. Before the age of cash on delivery (COD), online payments were considered to be very risky. The success of Flipkart, which started operations from 2007, opened the gates for other online traders to tap the Indian market with over a billion people. Tradus.com, one of the top e-commerce websites in India today was established in 1997 but buying anything online before the millennium in India was not a popular option for customers.
Indian e-commerce websites along with foreign traders like Amazon and eBay cater to Indian customers according to seasons and festivities. Diwali and other festivals are a great time for customers as well as e-commerce websites. Sales work well for the customers who get more for their money while traders can sell products in bulk by giving discounts. Festive offers are a tried and tested method to tap a market like India.
Internet penetration is a mere 15 percent of the total population according to the World Bank with over 60 percent of users utilizing mobile devices ranging from smartphones to tablets and phablets to access the internet. Streamlining your websites by hiring SEO Consultants to appear on most internet search engines is vital fo the e-commerce trade. Financial planning with the help of business consultants and adequate advertising promotes your e-commerce website to a point where people start talking about it on social media. Once that happens, you can cut down on advertising because satisfied customers will become your advertisers.
The Indian market accounts for less than one percent of the global sales in 2015. It makes India a ripe market that is ready to be the next big thing for e-commerce. If you want to tap a market in the Western Hemisphere, then Brazil is your safest bet.The South American country had a booming market at one point, but the unstable political scenario reduced the speed at which the market deserved to grow. Asian market leader China has recognized that potential for Brazil and they are going to invest a large sum of money in promoting the market. Their investment will work wonders in Brazil because they have a ready base of internet users to give. The Chinese investment in the Brazilian market will bring an unprecedented boom and bump their sales figures as well.
Advertising is also a major factor is bringing the customers to your e-commerce website. Newspapers to social media are an excellent medium for marketing e-commerce in markets like India and Brazil along with Pakistan and Nepal. The Indian subcontinent is an excellent option for investors to spend money on infrastructure to give a nudge in the right direction while being instrumental in bringing a positive change in the region's economy. Trust is not easily earned, but potential customers will tend to choose a company they trust for quality even if other websites may offer a better price on products.
Every market is different due to their ethnicity, region, customs, traditions and the people. What works in USA and China may not work as well in India. So, effective research about your target audience is the most relevant aspect of trying to create a new market or tap a market with potential. India seems to be the next big market for investors for a variety of fields and e-commerce will be a major player in boosting our economy in the next decade.
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