Online shopping gains momentum

Credit card is the most common method of payment for Indians with 84 per cent opting for that mode over others

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Online shopping has opened up new avenues, especially in the realm of travelling where Internet has made it convenient to book tickets, says survey.

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A CLICK AWAY: Net users engrossed in selecting the shopping site. Notwithstanding the growing shopping mall culture in the country, more and more net savvy Indians are now shifting towards online shopping. A staggering 78 per cent of the Indian respondents (those accessing Internet) have used the Internet to make a purchase, while more than 55 per cent of the respondents have made at least one online purchase in the past one month, says the “Nielsen Global Online Survey on Internet Shopping Habits”.

“The Internet is no longer a niche technology as far as socio-economic class A and perhaps even B is concerned; it is more powerful than mass media as it is interactive and it is an utterly integral part of modern life. Almost no aspect of life remains untouched by the online media. As our lives become busier and cluttered, it is not surprising that consumers turn to the unrivalled convenience of the Internet when it comes to researching and buying products,” says The Nielsen Company’s India Director (Online Research), N. S. Muthukumaran.

The survey reveals that online shopping has opened up new avenues, especially in the realm of travelling where Internet has made it convenient to book tickets. As many as 73 per cent Indians have purchased airline tickets/reservations in the past three months, this percentage being the highest for any country in Asia Pacific. Globally, travel is the fourth most popular shopping category on the web.

“The accessibility to a wide range of comparable information online makes travelling a category that is extremely suited to the Internet and is a lucrative investment option for marketers,” says Mr. Muthukumaran.

For Indians, other popular items for Internet shopping include books (46 per cent), electronic equipment (29 per cent), tours and hotel reservations (24 per cent), videos/DVDs/games (23 per cent), event tickets (23 per cent), clothing/accessories/shoes (21 per cent), and music (20 per cent).

For Internet shopping, credit card is the most common method of payment for Indians with 84 per cent opting for that payment option over others. Interestingly, it is also the highest percentage for any country in Asia Pacific for payments made through credit cards for online purchases.

The majority of Indian online shoppers are loyal to the sites that they shop from, with 54 per cent of them saying they buy from the same site while making an online purchase, while 48 per cent of the online Indians get influenced by special offers on sites.

“Online shoppers tend to stick to the shopping sites they are familiar with. Capturing the online shoppers early and creating a positive shopping experience for them would prove beneficial in the long-run for marketers. India is a promotion-oriented country and for an Indian consumer special offers enhance the value of their shopping,” Mr. Muthukumaran adds.