Retail businesses underestimated Indian consumers

Dec 12, 2015 0

BENGALURU– Retail businesses and brands have underestimated the Indian consumer so far and have only concentrated on profits and expansion, said a top industry executive on Thursday.

“I think brands and businesses have underestimated (consumers) so far. Every company wants some topline growth. I believe the focus is shifted only to numbers and not in what the product should mean for them and what is the value that consumer gets of that product,” said Reliance Ecommerce head Chandrima Pareek said at the South India Retail Summit 2015.

In the long run, Pareek said, sustainability should be the focus than mere numbers.

A galaxy of top Indian retail executives gathered at summito deliberate on the state of retail industry and touched upon various factors influencing the industry.

PriceWaterHouseCoopers (PwC) associate director Rashmi Nair highlighted Indian consumers are reluctant to share their credit information online.

“Security of online transaction continues to be a concern, with reluctance to share financial information online,” she said.

Stressing upon the importance of interactive shopping experience, AT Kearney principal Siddarth Jain called upon retailers to deliver a dynamic and interactive shopping experience.

“India is on the cusp of a digital revolution with 45 percent of urban Indian youngsters shopping online monthly,” he said.

However, senior vice president Gautam Kotamraju pointed out that infrastructure is a huge challenge in India for retail industry.

“Infrastructure is a huge problem in India which will stem the growth and expansion of market. Government should understand that as ecommerce players expand, we bring in more liquidity in the market,” he said.

He said 4G service being rolled out across India is not satisfactory while digitalization remain a challenge.

Kotamraju said ecommerce players should be excluded from the ambit of Goods and Services Tax (GST) as they were only service providers.

According to Pareek, share of ecommerce in retail industry is only 0.4 percent in India compared to 12 percent in the US.

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Wayfair Reports Record Sales for Peak Five-Day Holiday Shopping Weekend

Dec 3, 2015 0

BOSTON– Wayfair Inc., one of the largest online destinations for home furnishings and décor, reported a 109 percent increase in overall gross sales, defined as dollars of order intake, and a 130 percent increase in Direct Retail gross sales for the five-day peak shopping period of Thanksgiving Day through Cyber Monday. Cyber Monday was the biggest sales day of the period with peak order volume in the evening between 9 p.m. and 11 p.m. ET.

Niraj Shah

Niraj Shah

“The Thanksgiving holiday weekend is typically a busy, high volume period for Wayfair,” said Niraj Shah, CEO, co-founder and co-chairman of Wayfair. “We are continuing to see an industry-wide shift to ecommerce that is especially evident during the peak retail season. Wayfair is benefiting from that shift and from our ongoing success in building a trusted, online destination for everything home. We are excited to welcome new customers while also seeing strong purchasing from repeat customers. We believe our unparalleled selection, top notch service and compelling prices make Wayfair the ideal online destination for holiday and for purchases all year round.”

For the 2015 holiday season, Wayfair is offering exceptional deals on its selection of more than 7 million products for the home. Wayfair customers took advantage of discounts over the long holiday weekend to stock up on items for entertaining and hosting friends and family. Sofas and sectionals were big sellers throughout the five-day period and shoppers purchased Wayfair’s single most popular recliner once every 80 seconds on Black Friday. Top sellers for sprucing up the home included flannel sheets, down comforters, upholstered headboards, bar stools and area rugs.

Shoppers also snapped up seasonal décor, selecting from more than 28,000 distinct holiday items including wreaths, garlands, stockings, ornaments and artificial trees. For gifting items, best sellers included play kitchens for children and bean bag chairs and jewelry organizers for tweens and teens. New items on the top seller list for the 2015 holiday season included faux fur pillows and throws.

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