Indian consumers has inflated expectations !!!

Indian consumers has inflated expectations

Indian consumers have very high expectation from the retail industry on the other hand retailers in India are doing whatever is necessary to drive consumers to shop online.  Consumers want to see good deals backed by free or very low cost shipping along with flexible payment methods like COD, EMI etc.  E-Commerce business must understand local E-Commerce trends like localized payment & fulfillment options are particularly essential in India.


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To attract consumers to shop online majority of E-Commerce companies offer COD (cash on delivery). Now this comes with big problems

  • High rejection rate (30 – 45%)
  • COD service costs & High commitment with the logistics partners leads to major capital investments

Due to aforementioned reasons, COD is extremely costly and unsustainable proposition for sellers. However, considering the low penetration and growing competition, COD is here to stay at least for another few years. Indian consumers are spoilt for choices and it is going to be very difficult to change their habit.