Tips & Predictions for E-commerce for the 2nd half of 2024

The Indian e-commerce market is very strong, and  it’s important to stay ahead. To help you succeed in the second half of 2024,we’ll look at specific trends and predictions supported by data.

Shopping Spree Calendar

 
  • Decoding the Monsoon Season (June-September)
The monsoon season presents unique buying patterns that, when leveraged strategically, can significantly boost your sales. Here’s a comprehensive guide to what you can expect and how to make the most of it:
  1. Rise in Demand for Rainwear: Remember to stock up on umbrellas, raincoats, and waterproof footwear. Sales of these items can increase by over 100% during the monsoon (Source: India Today—Monsoon Shopping Trends in India). Partner with reliable suppliers to ensure you have enough inventory to meet this surge in demand.
  2. Cozy Comfort Needs: Remember to promote blankets, throws, and homeware products that create a cozy ambiance. According to The Economic Times, these items’ sales rise 20-30% during the monsoon months. Consider featuring mood lighting, scented candles, and indoor gardening supplies to cater to customers seeking a comfortable and relaxing environment during the rainy season.
  3. Healthy Essentials: As humidity levels increase daily, people prioritize their health more than ever. There is an increased demand for immunity boosters, vitamin supplements, and herbal products (source: Statista—Wellness Market in India). Consider stocking up on these items and partnering with reputable health brands to offer bundled deals or special promotions.
  • Festival Frenzy: Diwali reigns supreme, with a projected growth of 35% in online sales compared to 2023 [source: Inc42—State Of Indian Ecommerce Report Q1 2024, InFocus: Fashion Ecommerce]. Other festivals are major players, too. Expect surges during Dussehra (October), Independence Day (August), Navratri (September/October), and Ganesh Chaturthi (August/September). These festivals are known for high consumer spending, making them ideal for running promotions and boosting sales.
  • Western Sale: Western shopping holidays like Black Friday and Cyber Monday are gaining traction in India. Black Friday sales are expected to jump by 20% year-on-year [source: Business Today – Black Friday Sales in India Set to Jump 20% This Year]. Be prepared with targeted promotions and ample inventory.
  • Weekend Warriors: According to a report by a leading e-commerce plugin titled ‘The State of E-commerce in India 2023’, Saturdays and Sundays are the peak online shopping days in India, contributing to almost 50% of weekly sales. This trend presents a significant sales opportunity for your business. It is important to optimize marketing campaigns and ensure that customer service is well-staffed during these high-traffic weekends. The popular items purchased during this time include T-shirts, merchandise, toys, and tech products.
  • The Weekday Rush: Weekdays are becoming increasingly important for online shopping, especially in tier 2 and 3 cities where internet penetration is rising. According to a study by InMobi, mobile shopping during weekdays increased 37% in 2023. This trend is particularly noticeable during lunch breaks and after work hours.
 

Payment Powerhouses

  • UPI Reigns Supreme: The Unified Payments Interface, more commonly known as UPI, has had a transformative impact on online transactions in India since 2015. A remarkable 821 million Indians currently use UPI as their preferred payment method due to its convenience and security. This data is from the National Payments Corporation of India (NPCI), a trusted source in the industry. According to the NPCI, this number is projected to exceed 1 billion by the end of 2024, as reported by The Financial Express.
  • Mobile Wallets on the Rise: Mobile wallets such as Paytm and PhonePe are becoming increasingly popular, especially for smaller transactions. According to a report by eMarketer, mobile wallet transactions in India are projected to reach ₹8.5 trillion by 2025. This highlights the growing significance of incorporating these options into your platform.
  • Cards and Google Pay Hold Value: When making larger purchases, it’s best to use debit, credit, or Google Pay, as they offer secure payment gateways. Google Pay has a substantial user base of over 250 million users in India. To attract budget-conscious customers, consider offering EMI options. Some still use cash on delivery (COD), but its usage is declining, with a reported 15% year-on-year drop in 2023.
 

Challenge: The Return Riddle

Returns can be beneficial but also misused. Here’s how to manage it:
  • Detailed Product Descriptions: Invest in high-quality product photos, clear descriptions, and size charts to minimize size or feature mismatches that lead to returns.
  • Customer Reviews and Ratings: Encourage authentic customer reviews and ratings to help buyers make informed decisions and reduce the likelihood of returns.
  • Transparent Return Policy: Clearly outline your return policy on your website. Specify timelines, acceptable reasons for return, and any restocking fees. This helps manage customer expectations and discourages unnecessary returns.
  • Offer Exchanges: Provide a seamless exchange process, allowing customers to correct sizing issues or choose a different product without the hassle of a full return.
To thrive in the Indian e-commerce market, it’s imperative to implement strategies that not only minimize unnecessary returns but also prioritize a seamless and personalized shopping experience. Understanding your audience, catering to their preferences, and building trust throughout the shopping journey are the cornerstones of success.
 

Capitalizing on Opportunities

For Instagram Sellers: The rise of social media has created a valuable opportunity for Instagram sellers to boost sales using the platform. Aasaan Smart Forms, a tool that allows you to create secure, one-click order forms directly within your Instagram posts, plays a crucial role in this process. These forms streamline the purchase process, leading to higher conversion rates and increased sales.
  • Frictionless Purchases: Aasaan Smart Forms allow you to create secure, one-click order forms directly within your Instagram posts. This tool simplifies the purchase process for your customers, leading to a higher conversion rate and increased sales. Customers simply fill in their details and checkout instantly, eliminating the need to switch between platforms. This convenience can significantly improve the customer experience and encourage repeat purchases.
  • Targeted Promotions: Create customized forms for specific monsoon-related products or promotions, allowing you to capture relevant customer data for future marketing campaigns.
  • Boost Conversions: Shorten the sales funnel by streamlining the purchase process. Aasaan Smart Forms provide a seamless buying experience, leading to higher conversion rates.
For e-commerce businesses, Managing multiple sales channels and data streams can be overwhelming. Aasaan’s Consolidated Dashboard offers a solution:
  • Unified View: Gain a centralized view of all your sales data across different platforms (including Instagram sales through Aasaan Smart Forms) in a single, easy-to-understand dashboard.
  • Data-Driven Decisions: Track key metrics like sales performance, customer behavior, and inventory levels for monsoon-related products. Use these insights to optimize your marketing campaigns, product offerings, and overall business strategy.
  • Improved Efficiency: Manage all your e-commerce operations from one place to save time and resources. Aasaan’s Consolidated Dashboard empowers you to make informed decisions quickly and efficiently.

Decoding What’s Next: 2024’s Big Predictions for E-commerce and Insta Sellers

Here’s a table summarizing the key trends and predictions for the rest of 2024:
Trend Description Impact on Ecommerce Businesses
Festival Frenzy Diwali remains king, but Black Friday and Cyber Monday gain traction. Prepare targeted promotions & manage inventory effectively.
Weekend Warriors & Weekday Rush Focus on both weekend highs and weekday growth. Optimize marketing campaigns for different times.
UPI Reigns Supreme UPI is the dominant payment method. Ensure seamless UPI integration.
Mobile Wallets on the Rise Mobile wallets like Paytm &PhonePe are growing. Integrate these wallets for a smooth checkout experience with Aasaan Checkout as it is payment gateway agnostic
Rise of Social Commerce Social media platforms like Instagram, Whatsapp, etc. offer significant sales potential. Leverage platforms on Instagram, Whatsapp, etc. with tools like Aasaan Smart Forms.
Focus on Sustainability Consumers are increasingly eco-conscious. Offer sustainable products & packaging.
Data-Driven Personalization Leverage data to personalize the customer journey. Provide targeted recommendations & promotions.
The Metaverse Emerges The metaverse may offer new shopping experiences. Stay informed about potential metaverse integration.
By understanding these trends and predictions, you can position your e-commerce business for success in the dynamic Indian market. Remember, the key to success lies in offering a seamless and personalized shopping experience that caters to your customers’ evolving needs. With Aasaan Checkout’s Merchant Portal, you can access detailed insights into the product, geography, and time levels across various marketing and marketplace platforms. These insights will help you implement effective strategies to boost sales growth in the second half of 2024. Prepare to significantly impact the market and elevate your business to new heights!