At a time when the local retailers are reeling with the effects of an economic slowdown, giant e-commerce houses are soaring high.
The pre-Diwali period is the time when retailers expect maximum sales. This year, however, the average sales have gone down by almost 50%.
On the other hand, Amazon and Flipkart combined recorded sales of over 19000 crores in just four days during the pre-Diwali weekend. Traders across the nation are concerned about this development and believe that it is due to these America based e-commerce forums that they are suffering from a slowdown.
Over the last decade, e-commerce has established itself as one of the major forms of trading across the world. However, America-based businesses like Amazon have a monopoly over this form of commerce. Flipkart was the most successful online platform based in India before 2018 when it was bought by Walmart, another American business house.
A dim festival of lights for Indian retailers
Statistically speaking, the pre-Diwali weekend is the best time for offline retailers across the nation. During this period, the market would be jam-packed with people looking to buy products for the festival. This year, though, most markets were almost deserted, leaving the retailers stunned.
Offline retailers are devastated due to these developments. The prediction of a 50% drop in sales over Diwali has added to their miseries.
We are addicted to the convenience
The Indian customers have been accustomed to getting their products delivered to their houses. The e-commerce convenience long with predatory pricing and acquisition tactics is so deep-rooted in the Indian consumption market that today they are in a position to manipulate the entire India retail segment. And due to this, our local offline retailers are suffering.
Offline retailers are bearing the brunt of the behavioral change in Indian customers’ purchasing habits.
To revive the Indian economy, it is necessary that the offline retailers’ sales spike up. As of now, however, it seems only a miracle can save the dwindling sales of these retailers.
