Advertising moves people towards goods, merchandising moves goods towards people – Morris Hite, Former Chairman, President & CEO of Tracy-Locke
Considering the developments in the last months, the e-Commerce segment has been garnering a lot of attention. The online shopping segment has been at the center of all the action to say the least. Flipkart, Amazon and other portals have engaged in an e-Commerce war lately. And, if online shopping trends are anything to go by, m-Commerce seems to be the new buzz word. E-Commerce and m-Commerce will be witnessing new innovations and a lot of new entrants in the field.
Talking about the recent development, Myntra within a year of launching their Android app went ‘app only’ a few days back. It can be mentioned as a bold step in the eCommerce segment. But it is a move that only Flipkart/Myntra could have even taken and we have to recognize and applaud the management for daring to take such a step. With online shopping platforms witnessing an impressive growth in the number of transactions executed through desktop and mobile, e-Commerce and m-Commerce players will be happily smiling their way to the bank. It was earlier predicted that other major e-Commerce portals may soon follow in the footsteps of Myntra to focus solely on the mobile platform. However, major big players have negated this move and is still looking forward to reap benefits out of their desktop website selling.
The e-Commerce companies in India currently seem to be locked in“Nash equilibrium” of sorts. Everyone competing on the same dimensions and striving towards the same things – cheaper price, larger discounts and louder marketing spends. Various surveys indicate that a major lifestyle e-Commerce company draws close to 80 percent of its traffic and 60 percent of its sales through its mobile app. By the mid of 2016, this number is expected to reach 90 percent. Source www.abplive.in. However, many portals are still earning a lot of revenue through their e-Commerce websites via the introduction of innovative sales and cash-infused media campaigns. These developments indicate that e-Commerce and m-Commerce will co-exist for a good run in the near future.
The other development that would be garnering eyeballs this year would be the process of retargeting. Retargeting will play a huge role in targeting users who have earlier visited the company’s e-Commerce website or mobile app. With the help of dynamic remarketing and real-time advertising, advertisers will be now flashing products and service ads across several platforms by adding custom parameters. This will result in customized product visibility and high performing ads. The way algorithms are getting smarter with each passing day, companies can now remind customers about their pending products in shopping carts abandoned on various e-Commerce sites. It can be said that e-Commerce and m-Commerce are simply two sides of the same coin. But, with so much to look forward to in 2015 and 2016, eCommerce is far from extinction and it will surely continue to rake in the moolah.