Amazon, Flipkart, and other e-commerce players could hit $7 billion in Diwali sales this year
- According to a Redseer report, e-commerce gross merchandising volume could hit $7 billion this year during the festive season, a big jump from last year’s $3.8 billion.
- With the festive season coming up, consumers are expected to splurge in a ‘revenge buying’ spree.
- With over 160 million online shoppers, the report also expects total e-commerce sales for 2020 to hit $38 billion.
And with people's preference to stay home due to the rising number of coronavirus cases, e-commerce is going to win big this year.
According to a Redseer report, e-commerce gross merchandising volume could hit $7 billion this year during the festive season, a big jump from $3.8 billion last year. With
Due to the coronavirus pandemic, India’s retail industry has been adversely affected, and the majority of the shopping has been for the ‘essentials’ category, but with the festive season coming up, consumers are likely to splurge in a ‘revenge buying’ spree.
A rise in e-commerce sales was noticeable when the non-essential category opened up during the unlock phases. Earlier, in its earnings report, Walmart has said that since the reopening of lockdown, GMV (Gross Merchandising Volume) at Flipkart has exceeded pre-COVID-19 levels.
The Redseer report lists five reasons for the doubling sales for online players this year:
- COVID driven massive online adoption of Bharat customers
- Rise of new shopping models owing to changing customer demographic
- Strong nationalist sentiment
- Massively hit organized retail
- Rise of Jio
Almost every other e-commerce player from Amazon, Flipkart to Snapdeal, has been betting on Tier II and III markets - as the next growth boost will come from the ‘Bharat’ users. From vernacular offerings to set up last-mile delivery hubs, e-tailers have been stepping up their presence in small towns. And during this Diwali, that’s what could factor in for the rise in numbers.
With over 160 million online shoppers, the report also expects total e-commerce sales for 2020 to hit $38 billion.
IKEA’s push to reach 100 million customers in India will see the Swedish retail giant bet on online and smaller stores
Apple Store Online to launch in India on September 23, weeks ahead of Diwali
Popular on BI
- RANKED: The world's 20 strongest militaries
- I quit buying from Amazon 4 years ago. I get better deals on products elsewhere but still have to use their services.
- Gen Z faces more pressure at work than previous generations because technology has eliminated work-life boundaries, a psychology professor says
- Mohammed Shami ruled out of IPL, to undergo ankle surgery
- Here are the 8 eating habits that could upset your stomach
- ED upgrades Look out Circular against BYJU's promoter Byju Raveendran
- 10 Fun things to do in Azerbaijan
- Our priority is to first stabilise Go First, says Sky One chairman