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Retail & Supply Chain Professionals

 
Started by : Shailena Varma, Logistics Manager, Target   07 31 2009 10:56:50 +0000
Industry : Retail Chain/LogisticsFunctional Area : India(Markets)
Activity:  152 views;  last activity : 07 06 2010 20:18:09 +0000

I saw many debates on the platform on: Will online retail be successful? It a got good response favoring yes side. But still E-tailing in India is in nascent stages, it has not able to achieve that kind of success.

The online retail scenario in India clearly states that “Indian’s do not buy online”. People use just to compare prices online and mostly they gather information on their options through internet. Rarely will you find someone choosing the online mode before the various formats of retail India offers.

How to change this trend, please share your valuable insights.....
How Online Retail can be successful?

 
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1 2 3 4 5
1 Depends on the type of product
2 Incentive & Security
3 it depends on product
4 Depends on penetration and endorsement by established retailers
5 Take the Product to Cusomers' Desktop
6 Creating Loyal customer base Online
7 Internet Security and Consumer Protection

Depends on the type of product

idea posted by C Nijagunaradhya Planning engineer, Aarvee associates

Eventhough we have online retail such ebay.in , still people do not prefer shopping online. Its because few products cant be purchased just by watching on PC. Majority of the people in our country still prefer to see the product directly ,to get a perfect feel of both quality and quantity.

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by prashant jalgi, Merchandising, Spencers  | 07 31 2009 15:54:42 +0000

I do agree that Indians are more into physically handling & buying, however it should be played smart by the E- tailing companies to put forward the categories where people think very less & are loyal to a brand. By increasing the offerings like daily used items for which a customer doesn't want to go to a shop will bring in volumes and will increase the loyalty to the website.

Since the average price of these items are lesser than the electronics, home care items,garments etc, and these items are ones whose prices are known to people, they will not think much to spend the amount & trust.

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by Ajit Khan, Sales/BD Manager, Future Group  | 07 31 2009 11:29:55 +0000

You are right Nijagunaradhya, Indians normally prefer to feel the product than merely just seeing its picture online and buying it.

Add your argument:

Incentive & Security

idea posted by Makrand Bhave Marketing & MICE, WIZCRAFT International

If the offerings are good and have quality written on them the buying process, particularly online, would not be an issue at all. In fat ebay india is doing quite well where books and some such other things are concerned. Now if these online stores offer an incentive on buying like discounts on buying, or discounts on minimum value of buying or soemthing that has value added benefits then it becomes even more interesting. The product offerings have to be good, period!

The buying neeeds to have security interms of delivery and transaction. The delivery has to concluded within given period of time and parameters and there has to be a respite to the buyer if the delivery is not affected at all for some reasons. Money transaction needs to be secured as I think the biggest fear of a consumer making an online purchase is Delivery of product pruchased and if not delivered what happens to the money paid?? If there is enough clarity to keep the consumer safe I think online retail would not have to worry too much!

Thanks for the referral Shailena

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by Ramdas Pawar, Sales/BD Manager, Flex  | 08 03 2009 11:56:47 +0000

You are right Kiran,retailers should ensure that whatever they are promising is delivered in terms of product quality ,delivery timing and delivering it to the right person and Company should take extra care in providing safety related to credit card frauds to increase the online marketing in India

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Hi All,

Most of the indians percieve that whatever is available online are cheap replicas of things that are available in stores. few online slling companies are promoting this by promising something and actually selling a inferior replica of what was promised. Thats why most of the people shy away from purchasing online. Books and some other stuff are fool proof so there the sales are good.

For this to change retailers should ensure that whatever they are promising is delivered in terms of product quality ,delivery timing and delivering it to the right person. Company should take extra care in providing safety related to credit card frauds.

As the company will not have any store representing it in the physical format so we need to market it agressively in order to reach our end customer. And more over our offer should be such that the customer is happy to buy from us. We can give them a better discount as we will have less operationalexpenses compared to any brick and mortar model.

if all these things are taken care i think online retailers will start to boom in the coming days wiht increase in internet usage in India.

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it depends on product

idea posted by pramod Suresh Vishwakarma An Indivisual with passion, vision and belief

Online Retailing is in nascent stage in india, As few yrs back people were hesitant in buying goods from malls and shopping centre, still retailing is devloping, but in metros ppl tends to go shopping in malls, have the experince and there are ppl who wants to touch, feel and want  physical experience of product. at most online retailing is preferred by very few ppl. also kinds of product decides most

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by Jyoti Rath, Sr. Associate, Barclays  | 08 03 2009 14:59:12 +0000

Yes Pramod, you are right....people in today's date prefer to feel the product more than just giving an order on-line. That is why in spite of so much advancement in online shopping, still people prefer prefer going to malls and buying things.

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Depends on penetration and endorsement by established retailers

idea posted by Tarun Salyan Sales/BD Manager, CIE Ltd.

Online Retail vs Real Time shopping is like watching a movie against living your on life.The confidence in online trading has to be reinforced thru endorsement by locally available but nationally/intrenationally renowned Retail players and when a customer physically visits the outlet s/he should be given the brief about the 'convenience' of trading the product-line on line against getting hassled by physically visiting the place when same thing is available at the click of a button.Initially the payment options need to be kept flexible like the person delivering the goods would collect the payments after letting the customer be assured about product features.It's a long time and detailed process and needs perseverence with patience but before anything we need to have -

+ Access and availability to maximum customers where they can be educated and assured about their obvious fears of online trading. 

+ Penetration of internet connections to maximum households to do on line trading coz it should not be confined to the upper creed.

+ Collaboration of big brands with locally present stores can expand the product-line available.

It may sound demeaning for some top end brands but to win such confidence they have to touch the base otherwise people would keep shying away from online puchases for longer then expected.

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Take the Product to Cusomers' Desktop

idea posted by DrBaskar DIRECTOR, C G Institute of Mangement Studies
Let the product reach the customers'private communication device desktop,laptop,PDA as swift and fast it can minimising the inforamtion search retreival time
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Creating Loyal customer base Online

idea posted by Shailena Varma Logistics Manager, Target

I think Online penetration is the key (most of the people will say) which will also increase due to worsening traffic conditions. To my belief one has to build a loyal customer base & should attract new visitors. And in turn these visitors should spread the message like viral, then only we can see good traction. And should also promote this sites via regular stores.

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Internet Security and Consumer Protection

idea posted by Sanjay Chaudhary Former GM-Global Business, Reliance Communications Limited

Security is key since people do not get their banking and credit/debit card info. get in wrong hands. Similarly, the consumer protection rights have to be detailed so as to avoid frauds.

Rest shall take care as internet penetration increases and the service provider plus retailers roll out the advertising  and promotion juggernaut.

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