A lower price of smart phones has increased their penetration into middle class families. This growing trend has ultimately impacted e- commerce business in kormangla which witnessed more than 100 percent growth in local. Ecommerce portal managers stated that sixty percent of the business is being generated from mobile internet which could happen only because of smart phones and internet.
The chairman of e- commerce committee stated that mobile apps are very helpful in the future because half of the internet search takes place through mobile internet. Smart phones have paved a new way for marketing through easy download of the online portal made marketing apps. Lowering prices of smart phones remain a big reason for the increase in online home search.
On the other hand VP of paytm said that they receive 60-65 percent of traffic from the mobile internet and lowering prices of smart phone can be one big reason for this. A common man can afford to by smart phone by paying 10000 and this was not the case earlier. He also stated that this big change has helped e commerce players to penetrate into middle class segment. This growth is solely due to rise in the users of internet through mobile. Ecommerce players in the local market are doubling their volume quarterly while well established players are doubling their volume annually. About seventy five percent of middle class segments are available through smart phone online merchandise domain.
Founder of Power2 SME stated that, the emergence of internet in the middle class segment will enable B2B marketers to evolve and grow further. All this is happening due to the emergence of e- commence and changing consumer behavior. Smart phones will allow large number of customers to get accesses to wide assortment of merchandise available apart from giving accesses to the best deals round the clock when they are on move.
Most of the smart phone users’ fall in the age group of 18-35 and this group forms more than two thirds of online shoppers in this region. Fundamental value addition of convince and explosive growth of smart phone had led to increase of sales in the mobile platform. The co founder of Shopclues.com stated that forty five percent of their order volume comes through mobile. Even the big ticket purchases are also happening through mobiles said co founder of shopclues.com
This surge in ecommerce market is due people shifting from desktop internet to mobile internet. 20 to 25% of business in the local area is coming from mobile internet. Ecommerce portals are getting business from tire-2 and tire-3 cities around Bangalore because the penetration of these smart phones already happened in these regions in last two years. Around 30 percent of business is being generated from these tire-2 and tire-3 cities located around kormangla.