The advent of e-commerce has changed the way business is done in India.
By now it is pretty evident that e-commerce is the future of retail, taking giant steps in terms of technology with each year.
At present, India is the world’s fifth-largest global destination in retail space. The Indian retail market is estimated to be reaching around Rs 1,08,58,000 crore i.e US $1,672 billion by 2027.
Digital innovation, rising globalization, and changes in consumer spending habits have catapulted the fashion industry into the midst of seismic shifts.
Let’s look at the statistics, trends & strategies adopted by the e-commerce fashion industry in 2019!
What are some of the factors to drive fashion e-commerce in India?
India has a lot of factors that are driving it to be one of the front runners in the fashion eCommerce segment.
Growth of the digital industry:
India is in the midst of a digital revolution. The number of Internet users is likely to cross 650 million by 2020 and it is expected that half of the Indian population will be online in the next 3 years.
Everybody owns a mobile phone now & with such an easy internet access, the alluring world of e-commerce is bound to rise in terms of customers.
Increase in fashion demands in small towns & cities:
With growing media exposure rising awareness, growing aspirations and increasing share of disposable income, Indian consumers are looking to get access to global fashion brands. Heavy discounts and promotions, availability of exclusive products, customized experience, availability of global brands, etc have made it easier for Tier II & Tier III cities to get access to e-commerce sites like Myntra, Amazon, Flipkart.
Enhancement in supply chain & delivery procedures:
Ecommerce has a lot to depend on delivery & supply chain management.
With the improvement of supply chain management activities like production, operation & transportation made it much more seamless. Customized shopping experience by giving conveniences like various payment options, mode of delivery, point of delivery, etc made fashion platform for e-commerce a viable option.
Growth of privately-owned labels:
With increasing acceptability of private labels among Indian consumers, e-retailers are entering into this emerging segment.
Just tell me how many ads do you see on Instagram or Facebook of apparels, shoes, accessories & whatnot. Also, big brands like Ajio or Myntra has been extremely active in promoting or selling these smaller brands through their portals.
What is the role of marketing in the e-commerce fashion industry?
Marketing plays a very important role in the fashion e-commerce industry.
Now, fashion is a broad concept, right? It includes clothes, shoes, accessories, handbags, jewelry, at times health & beauty, etc.
So one of the primary things marketing does to any industry is segmentation.
The fashion industry is touted to be a 1.3 trillion USD globally, so without segregating the industry vitals, you cannot work.
In India, the division is pretty simple with mainly focusing on clothes (52%).
The Rise on Mobile Commerce
In India with the digital boom especially with Reliance Jio, consumer behavior changed to M-commerce (Mobile Commerce).
According to Google, every third query on Google is related to Fashion and this trend increases at 65% annually.
Also, 75% of mobile users say they reach a retailer website or app on their smart device to address their needs. The rise in m-commerce has definitely increased sales transactions through wireless electronic handheld devices such as mobile phones, laptops & smartphones, etc.
Audience Engagement through Content & Discounts
Successful content is anything but boring. Great content helps with customer acquisition.
Fashion eCommerce brands use a lot of social media for audience engagement.
Think “End of Season Sale” or “The Big Billion Days” or “The Independence Day Sale”.
The traffic on these sales on websites like Amazon, Myntra, Ajio, Shein can be skyrocketing!
Look at this data here:
In 2018, Flipkart sold the maximum products during the Diwali season.
Indian smartphone users most likely to buy products over the holiday season in which, electronics, fashion are the top two categories.
This discounting program has to be promoted quite carefully before the arrival and during the season through all major social media platforms like Twitter, Facebook, Instagram, Pinterest, Email marketing and also through blogging.
The total number of online transactors was 200 million in 2017 and they are expected to increase by 65% by 2020.
Recently, Myntra said the brand is witnessing a change in consumer profile.
The changing online consumer profile is evident from a significant shift in numbers, such as 50% of consumers reside in rural areas as opposed to the earlier 30%.
Some segments are seeing the surprising spike, like activewear.
According to the report by Myntra, activewear is growing at 2X of casual and formal apparel on the platform. Out of this 60% of this growth is being contributed by Tier 2+ markets.
Not only apparel, but there has also been a rise in athleisure sportswear accessories as well. Millennials over 30 years of age are driving the growth of the category & about a 4X rise in the area.
Currently the fashion market in India, according to reports in around $70Bn.
In the current shopper-centric era, the Indian fashion industry is joining hands with technological advancements. Retailers are progressively accepting innovative ideas and tactics to create a memorable and personalized shopping experience.
Branding & marketing are the two most crucial pillars of fashion e-commerce. Without proper marketing, it is impossible to make a mark in this competitive field.
So, if you own or planning to start a fashion e-commerce platform, you need a solid marketing strategy.
Want some help? Contact us at Skyram Technologies. Our experts will help you design a comprehensive marketing strategy that would be perfect for your business profile & target audience.
Also, for our other blogs on marketing read here!
