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GROWTH OF E-COMMERCE INDUSTRY:
COMPARATIVE STUDY OF INDIA
WITH OTHER COUNTRIES
Presented By :
What is E-Commerce.?
E-commerce (electronic commerce or EC) is the
buying and selling of goods and services, or
the transmitting of funds or data, over an
electronic network, primarily the Internet.
2
COMPARISON BETWEEN E-
COMMERCE & E-BUSINESS
E-COMMERCE E-BUSINESS
 Ecommerce involves commercial
transactions over the internet.
 Ecommerce is subset of E-
business.
 Ecommerce is use of electronic
transmission medium that caters
for buying and selling of products
and services.
 Thus,Those activities which
essentially involve monetary
transactions are termed as “e-
commerce”
 E-business is conduct of business
processes on the internet.
 E-business is superset of
Ecommerce.
 In addition, E-business also
includes the exchange of
information directly related to
buying and selling of products.
 In addition it includes activities like
procurement of raw materials or
goods, customer education,
looking for suppliers etc.
3
Types Of E-Commerce
There are 4 basic types of e-commerce:
 Business-to-Business (B2B)
 Business-to-Consumer (B2C)
 Consumer-to-Consumer (C2C)
 Consumer-to-Business (C2B).
 GovernmentTo Business(G2B)
 GovernmentTo Government(G2G)
4
E-COMMERCE MODELS
Storefront
Model
Auction Model
Portal Model
Dynamic
Pricing Models
Subscription
Model
5
Classification
E-Tail
(Flipkart , Jabong ,
Snapdeal)
Travel
(Make MyTrip, IRCTC)
Classifieds
(Bharat Matrimony,
Zomato)
Other
(Mydala , DTDC)
E-Commerce
6
Overview of the World
Scenario
7
E-Commerce in India
 Ecommerce in India is still in growing stage, but
even the most-pessimistic projections indicate a
boom. It is believed that low cost of personal
computers, a growing installed base for Internet
use, and an increasingly competitive Internet
Service Provider (ISP) market will help fuel e-
commerce growth in Asia’s second most
populous nation.The first e-commerce site in
India was rediff.com. It was one of the most
trafficked portals for both Indian and
nonresidents Indians. It provided a wealth of
Indian-related business news a reach engine,
ecommerce and web solution services.
8
9
Factors Contributing to
Indian E-Commerce
Although the trend of e-Commerce has been making
rounds in India for 15 years, the appropriate
ecosystem has now started to fall in place. The e-
Commerce market in India has enjoyed phenomenal
growth of almost 50% in the last five years.
Key factors driving the growth story of e-Commerce in
India include:
 Considerable rise in the number of internet users
 Growing acceptability of online payments
 Proliferation of internet-enabled devices
 Favorable demographics
10
Forecasted Growth Sales
11
E-Commerce in USA
E-commerce has been seen as a boon to the people
of USA since the time it has been evolved ,but
according to the recent trends the us e-
commerce industry has seen a remarkable
growth.
Reasons for growth:
 Faster Diffusion Of InnovationTheory.
 Trustworthiness on web marketers.
 Better Infrastructure.
 Enforceability Of Laws.
12
E-Commerce IN USA (Contd..)
13
E-Commerce in India VS USA
INDIAN E-COMMERCE USA E-COMMERCE
 Preference of Cash on
Delivery(COD) over plastic
money.
 Customers are easily
influenced with seasonal
discounts and offers.
 Categories of products
offered online(including
property and automobiles.)
 Poor logistics and site crashes
are often.
 Users believe in making pre
payment of goods ordered.
 Huge discounts and offers fail
to impress a huge population.
 Categories so offered
generally include apparels
and electronics.
 On time delivery of goods
with proper maintenance of
sites.
14
E-COMMERCE IN UK
 The United Kingdom had the largest e-commerce market in Europe
and accounted for roughly 32 percent of European e-commerce
sales.The most recent UK governmental figures placed the value of
UK e-commerce sales at 492 billion British pounds . Estimates from
various sources valued B2C e-commerce sales in the United
Kingdom at roughly 101 billion euro . Meanwhile, B2B e-commerce
sales (via website) came to roughly 69.8 billion British pounds in
2015. E-commerce accounted for an 18.2 percent share of total
business turnover in the United Kingdom .And, roughly 80 percent
of UK internet users accessed online shopping, the highest online
shopping penetration in Europe.
15
Forecasted E-COMMERCE GROWTH
IN UK
GBP=BRITISH
POUND
16
FACTORS CONTRIBUTING IN UK
E-COMMERCE GROWTH
 There is less Geographical area in UK which
makes it favorable for faster delivery of goods
in less time and lower costs.
 The consumers or the customers are more
comfortable in using plastic money as
compared to any other country.
 High rates of technology adoption and low
costs of internet services add to the positive
factors.
17
E-COMMERCE GROWTH IN CHINA
The growth of Chinese e-commerce have a seen a
tremendous growth from time it has evolved to the
present times i.e., from a mere total of 2.1 million
internet users to a huge 6 million user width and
generating a 70% revenue as compared to INDIA &
USA.
Moreover , the responsiveness towards customer’s
demand is adding to there positive points in growth.
The major player which changed the perspective of
Chinese e-business market is ALIBABA(Taobao &T-
MALL) which consist of more than 500 million
registered customers on its portal.
18
Forecasted E-Commerce Growth
in China
19
FACTORS CONTRIBUTING IN
CHINESE E-COMMERCE GROWTH
 Disposable income is on the rise.
 Physical retailers can lack quality, consistency
and customer service.
 China’s leading B2C sites have a deep grasp of
what their consumer base demands.
 Online marketplaces can have greater
integrity(morals and are honest) than offline
outlets.
 Smart phones are prevalent and have become
the channel of choice for Internet shoppers.
20
Conclusion
The future of E-Commerce is difficult to predict. There are
various segments that would grow in the future like: Travel
and Tourism, electronic appliances, hardware products and
apparel. There are also some essential factors which will
significantly contribute to the boom of the E-Commerce
industry in India i.e. replacement guarantee, M-Commerce
services, location based services ,dedicated 24/7 customer
care centre etc.
The e-Commerce industry in India may currently be behind
its-counterparts in a number of developed countries and
even some emerging markets. However, with India’s GDP
growth pegged at6.4% by the International Monetary Fund
and theWorld Bank, it is expected to grow.
21

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Growth of e commerce industry

  • 1. GROWTH OF E-COMMERCE INDUSTRY: COMPARATIVE STUDY OF INDIA WITH OTHER COUNTRIES Presented By :
  • 2. What is E-Commerce.? E-commerce (electronic commerce or EC) is the buying and selling of goods and services, or the transmitting of funds or data, over an electronic network, primarily the Internet. 2
  • 3. COMPARISON BETWEEN E- COMMERCE & E-BUSINESS E-COMMERCE E-BUSINESS  Ecommerce involves commercial transactions over the internet.  Ecommerce is subset of E- business.  Ecommerce is use of electronic transmission medium that caters for buying and selling of products and services.  Thus,Those activities which essentially involve monetary transactions are termed as “e- commerce”  E-business is conduct of business processes on the internet.  E-business is superset of Ecommerce.  In addition, E-business also includes the exchange of information directly related to buying and selling of products.  In addition it includes activities like procurement of raw materials or goods, customer education, looking for suppliers etc. 3
  • 4. Types Of E-Commerce There are 4 basic types of e-commerce:  Business-to-Business (B2B)  Business-to-Consumer (B2C)  Consumer-to-Consumer (C2C)  Consumer-to-Business (C2B).  GovernmentTo Business(G2B)  GovernmentTo Government(G2G) 4
  • 5. E-COMMERCE MODELS Storefront Model Auction Model Portal Model Dynamic Pricing Models Subscription Model 5
  • 6. Classification E-Tail (Flipkart , Jabong , Snapdeal) Travel (Make MyTrip, IRCTC) Classifieds (Bharat Matrimony, Zomato) Other (Mydala , DTDC) E-Commerce 6
  • 7. Overview of the World Scenario 7
  • 8. E-Commerce in India  Ecommerce in India is still in growing stage, but even the most-pessimistic projections indicate a boom. It is believed that low cost of personal computers, a growing installed base for Internet use, and an increasingly competitive Internet Service Provider (ISP) market will help fuel e- commerce growth in Asia’s second most populous nation.The first e-commerce site in India was rediff.com. It was one of the most trafficked portals for both Indian and nonresidents Indians. It provided a wealth of Indian-related business news a reach engine, ecommerce and web solution services. 8
  • 9. 9
  • 10. Factors Contributing to Indian E-Commerce Although the trend of e-Commerce has been making rounds in India for 15 years, the appropriate ecosystem has now started to fall in place. The e- Commerce market in India has enjoyed phenomenal growth of almost 50% in the last five years. Key factors driving the growth story of e-Commerce in India include:  Considerable rise in the number of internet users  Growing acceptability of online payments  Proliferation of internet-enabled devices  Favorable demographics 10
  • 12. E-Commerce in USA E-commerce has been seen as a boon to the people of USA since the time it has been evolved ,but according to the recent trends the us e- commerce industry has seen a remarkable growth. Reasons for growth:  Faster Diffusion Of InnovationTheory.  Trustworthiness on web marketers.  Better Infrastructure.  Enforceability Of Laws. 12
  • 13. E-Commerce IN USA (Contd..) 13
  • 14. E-Commerce in India VS USA INDIAN E-COMMERCE USA E-COMMERCE  Preference of Cash on Delivery(COD) over plastic money.  Customers are easily influenced with seasonal discounts and offers.  Categories of products offered online(including property and automobiles.)  Poor logistics and site crashes are often.  Users believe in making pre payment of goods ordered.  Huge discounts and offers fail to impress a huge population.  Categories so offered generally include apparels and electronics.  On time delivery of goods with proper maintenance of sites. 14
  • 15. E-COMMERCE IN UK  The United Kingdom had the largest e-commerce market in Europe and accounted for roughly 32 percent of European e-commerce sales.The most recent UK governmental figures placed the value of UK e-commerce sales at 492 billion British pounds . Estimates from various sources valued B2C e-commerce sales in the United Kingdom at roughly 101 billion euro . Meanwhile, B2B e-commerce sales (via website) came to roughly 69.8 billion British pounds in 2015. E-commerce accounted for an 18.2 percent share of total business turnover in the United Kingdom .And, roughly 80 percent of UK internet users accessed online shopping, the highest online shopping penetration in Europe. 15
  • 16. Forecasted E-COMMERCE GROWTH IN UK GBP=BRITISH POUND 16
  • 17. FACTORS CONTRIBUTING IN UK E-COMMERCE GROWTH  There is less Geographical area in UK which makes it favorable for faster delivery of goods in less time and lower costs.  The consumers or the customers are more comfortable in using plastic money as compared to any other country.  High rates of technology adoption and low costs of internet services add to the positive factors. 17
  • 18. E-COMMERCE GROWTH IN CHINA The growth of Chinese e-commerce have a seen a tremendous growth from time it has evolved to the present times i.e., from a mere total of 2.1 million internet users to a huge 6 million user width and generating a 70% revenue as compared to INDIA & USA. Moreover , the responsiveness towards customer’s demand is adding to there positive points in growth. The major player which changed the perspective of Chinese e-business market is ALIBABA(Taobao &T- MALL) which consist of more than 500 million registered customers on its portal. 18
  • 20. FACTORS CONTRIBUTING IN CHINESE E-COMMERCE GROWTH  Disposable income is on the rise.  Physical retailers can lack quality, consistency and customer service.  China’s leading B2C sites have a deep grasp of what their consumer base demands.  Online marketplaces can have greater integrity(morals and are honest) than offline outlets.  Smart phones are prevalent and have become the channel of choice for Internet shoppers. 20
  • 21. Conclusion The future of E-Commerce is difficult to predict. There are various segments that would grow in the future like: Travel and Tourism, electronic appliances, hardware products and apparel. There are also some essential factors which will significantly contribute to the boom of the E-Commerce industry in India i.e. replacement guarantee, M-Commerce services, location based services ,dedicated 24/7 customer care centre etc. The e-Commerce industry in India may currently be behind its-counterparts in a number of developed countries and even some emerging markets. However, with India’s GDP growth pegged at6.4% by the International Monetary Fund and theWorld Bank, it is expected to grow. 21