With smartphone penetration outpacing PC sales, higher internet penetration, clubbed with rising demand for on-the-go convenience services, made the ubiquitous mobile a prominent retail destination for one and all in 2015.
There are just under a billion cellphone connections in India, and every month, there is an addition of around six million new cellphones in usage. Now, compare this with the PC market, which in July 2015, declined to 10.6 million units, falling over 10 per cent. Desktop and notebook market cumulatively had stood at 11.8 million units in 2013-14, as per MAIT-IMRB.
First-mover Myntra took the bold decision to go app-only, prompting surprise and even negative comments. But Myntra chief Sachin Bansal believed he was simply taking a lead in what the future would be about.
Soon, others appeared to be acknowledging the wisdom of Myntra’s move.Amazon,
Shoplclues, Paytm, among others, talked about mobile-first strategies and even offered lucrative discounts and offers on mobile applications, generating millions of first-time buyers. Some even recorded 60% of their transactions as coming from mobile devices, signalling a trend that is to look forward this year.
Payments also went mobile, in fact even surpassing credit cards in terms of the number of users. Paytm alone now has 20 million active users, a number higher than the cumulative number of credit cards in India.
At present, there are 10-12 mobile wallet companies operate in India. The fact that these wallets, along with online solutions, forayed into the offline space highlights a trend that could be yet another disruptor in the modern Indian retail sector.