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Online sales takes a positive leap in Northeast; Growth seen in tier 2 & above cities

BNE News Desk


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Guwahati: India had a phenomenal increase in online sales of Rs. 76,000 crores from September 22 to October 23, representing a 25% year-over-year rise, according to a report by Redseer Strategy Consultants, a Bengaluru-based company.

According to the research, tier two and above cities are the ones driving development. Guwahati, Agra, Ajmer, Aligarh, Bhopal, Bhubaneshwar, Chandigarh, Faridabad, Gaziabad, Patna, Noida, Srinagar, Solapur, Ranchi, Rourkela, Kanpur, etc. are a few significant Tier 2 cities. Delhi, Mumbai, Ahmedabad, Hyderabad, Bengaluru, Pune, etc. are among the Tier 1 cities.

These cities contributed 57 percent of the festive gross merchandise value, which fueled this development (GMV).

Mobile devices and gadgets continue to dominate the category share, according to Redseer Strategy Consultants Associate Partner Sanjay Kothari. However, the fastest expanding categories were food, beauty and personal care, and home and kitchen. In addition to all of this, grocery sales increased nearly double from the previous holiday season.

According to the firm's partner Ujjawal Choudhury, the overall performance of the electronic (e) commerce enterprises during the first week of the holiday sale was consistent with the company's results. In terms of overall sales, Flipkart topped the first week sale.

During the first week of the holiday sale, the business forecasts that e-commerce groups like Flipkart, Myntra, Shopsy, etc., are dominating with a 62 percent share of Rs 40.000 crore GMV. Amazon came in second with a 26 percent market share.

In terms of category performance, the fashion sector rose by 32% on an annual basis, followed by mobile phones at 7%, electronics, including appliances, at 13%, and other categories at 86%.

On October 1, 3, and 4 in the Northeast, however, alcohol sales set a record at 29 crores. Only in Guwahati was alcohol sold for Rs 17 crore. On October 1 it was Rs 6.75 crore, on October 3 it was Rs 5 crore, and on October 4 it was Rs 5.25 crore. There are no reports of Guwahati locals purchasing booze from stores in Jorabat, Meghalaya, which is outside of the city yet offers cheaper prices.

Due to the slow sales during Dhanteras in Guwahati, several jewellers were dissatisfied. Only 10% of the jewellery sellers had seen development. Sellers claim that customers have been reluctant to empty their wallets at festivals due to price increases.
However, ahead of the Christmas season, e-commerce platforms like Amazon and Flipkart are expanding their network throughout Northeast India.

Amazon's delivery service partner programme includes partnerships with regional business owners. With a delivery network of 1700 stations around the nation for the holiday season, the business revealed in October the status of over 200 Amazon managed and delivery service partner stations.

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BNE News Desk