1. Consumer’s buying behaviour
In India, currently consumers have become more knowledgeable and perform a thorough research. Consumers of 3 tier city are not an exception to this.
So what has changed?
Consumers first decide which product to buy and then they do a thorough research. Once they are done with the research they start establishing criteria and based on these criteria they compare the products in that range. After this step the consumer decides on which product s/he would like to buy.
As a Retailer, Do you make your presence felt at any stage during this cycle?. If consumer doesn’t came to know about you at any of the above stages, then how s/he will purchase it from you. At present, 40% of consumers perform all the above activities over internet. The number of consumers researching and comparing products over the internet is continuously increasing. Which means you are losing on these 40% potential customers.
In order to not to lose these consumers you should be able to present yourself during the customers buying cycle and have to consistently be present there. These stages are as follows.
3. Establishing the Criteria
5. Buying Decision
2. Increase in Internet Users
By the end of 2017, India will have around 530 million Internet users out which around 250 million internet users will be from rural area. Smart Phones with good specification are now available at quite lower prices and the prices are going to reduce in the coming years. Also the penetration of 2G and 3G internet service has reached to small villages. With the launch of 4G internet service the cost of basic internet service will come down.
By 2020 India will have the highest work population in the world and by 2017 India will have the highest number of users who will be using internet for the first time and the maximum increase of population will be from rural area. This means the number of e-commerce users will be increasing and you have to be ready to tap them.
4. Mobile Banking
Telecom Companies like Idea, Vodafone and Airtel has received the Payment banking license. If market readers are to be believed, these Telecom operators will transform mobile numbers into the bank account numbers and all these mobile users will be empowered with mobile banking. This will automatically increase the e-commerce in the country.
Now comes the main question, how you as a retailer are going to benefit from this or I would say what are the changes a retailer has to do in order to stay ahead in the business.
The answer is simple, Starting early always have that edge but just having a website or online presence is not going to do magic. The way you retailers have grown your business, customer base over the years in the same way you have to increase your business over the internet.
If you think that you will build a website and within a month’s time you will start receiving good amount of sales is not going to happen. You will have to work hard but with a strategy and in a different way.
In order to start your own shop on the internet, you will have to build your website first. So start thinking and take action. It’s a high time now and we should start changing according to the change in our consumers.