Consumer confidence in e-commerce soars amid pandemic

Since the country entered a nationwide lockdown from March 2020 with the Covid-19 outbreak, e-commerce sites and apps have become the preferred mode of purchase, a LocalCircles survey reveals .

According to the survey which received over 130,000 responses from over 42,000 unique consumers located in 358 districts of India, 49% said they preferred e-commerce sites and apps for shopping during the past 12 months; 18% said they called local retail stores and have it delivered to their doorstep, 31% visited malls, local retailers and markets to shop, while 2% couldn’t tell. Forty-eight percent of study participants were from level 1 districts, while 31 percent were from level 2 districts and 21 percent from level 3, level 4 and rural districts.

The point to note here is that while online shopping for the most part was inevitable during the lockdown, consumers continue to use e-commerce sites and apps from June 2020 to date, despite the full opening of the lockdowns. local markets, retail stores and malls.

Eighty-six percent said “safe deliveries and no reason to go out” was the reason they trusted or turned to e-commerce. When asked why they continued to use e-commerce sites and apps to shop regularly over the past 12 months, the main reason given was “standards of personal safety or social distancing due to Covid -19 ”, followed by convenience, ease of return and refund. , and better value.

The e-commerce industry has seen new and existing online shoppers buy more essentials and groceries, high value discretionary items, medium value items as it offered faster deliveries, product selection expanded, increased product information and relevant reviews, with competitive pricing and ease of return.

According to Forrester Research, e-commerce sales in India are estimated to have increased by 7-8% in 2020. Another report from fintech Razorpay in January 2021, said online transactions increased by 80% in 2020 by compared to previous years, suggesting a huge uptake of digital payments by consumers and businesses. The same report adds that e-commerce has experienced significant growth of 148%. A March 2021 FIS report says the e-commerce market is expected to grow 84% to $ 111 billion by 2024, thanks to the accelerated adoption of digital technologies. Even the Confederation of Indian Traders (CAIT) has announced the launch of its own Made in India Bharat Ecommerce e-commerce platform, which aims to have 7 lakh merchants on board by the end of 2021.

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