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The information superhigh-way was never this smooth for the urban Indian
population. Mutliple players, flexible tariff plans, and good speed in most
areas of the metros, and top tier-2 and 3 cities put together have breathed new
life into the countrys broadband growth. This growth has manifested into an
unregimented usage of the Internet by even the average income Indian. From being
used merely as a mode of communication and an information tool, the Internet has
evolved to cater to the most personal and, in many cases, essential needs of
individuals like shopping, networking, sharing thoughts, booking tickets, and
even finding soul mates. So as a brother orders Rakhi gifts for his sister
through e-shopping or the girl next door sets out to find her ideal match
through a matrimony site, today there is a marked change in the Internet usage,
specifically in the growth of the e-biz market in India, as reflected in the
numbers.
When we talk about the growth of the e-biz market in India, the Internet
usage pattern is an important consideration. According to a report by research
firm JuxtConsult, total Internet users in India stand at 49 mn, with 40 mn
constituting urban users and the rest rural. The report indicates a healthy
growth by over 33% in all urban users over the last year, while there is a
substantial growth by close to 19% in the regular urban users. Out of these
the number of daily users stands at 25 mn.
Revenue-wise too the growth of B2C e-commerce industry in India has been in
line with IAMAIs e-commerce report in 2006-07 that computed it to be around Rs
9,210 crore for the year 2007-08. The overall e-commerce market is growing at
30% y-o-y.
Out of this, the online travel industry is the largest contributor to the B2C
e-commerce industry, accounting for almost 70% of the total e-commerce market.
e-Tailing or online shopping is next, followed by other categories under online
classifieds including job, matrimonial, and real estate portals, and digital
downloads like mobile ringtones, etc.
Interestingly, the growth has been both in the class and mass of online users
in India. The JuxtConsult report points out that 77% of all online users belong
to the 19 to 35 age-group category, while 70% of the total users belong to the
SEC A, B, and C towns. Also English is the most preferred language of reading
for only 28% of Internet users, indicating the huge potential for vernacular
language content.
Online Travel
Around the World in Seconds
With low cost, no frills airlines crowding the Indian sky, the airlines
market boomed like never before and so did the Indian online travel market.
Venture capitals, aggressive online marketing campaigns, and even several
international players considering a foray into the market have made the online
travel market more exciting.
Under the e-biz market, the Indian online travel is the fastest growing. Some
of the biggest travel sites include Yatra, MakeMyTrip, ClearTrip, TravelGuru,
TravelMartIndia, Flightraja, among others. Most travel portals obtain revenue
from service fee levied on the customer, and the backend commission that they
get from airlines and hotels. A marginal amount also comes from online
advertising.
As far as Internet advertising is concerned, a FICCI and PWC report pegs it
at Rs 160 crore and is projected to grow to Rs 950 crore by 2011.
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Most Popular Websites for Specific Online
Activities |
| Activities |
Top Website |
Used Most |
Activities |
Top Website |
Used Most |
| Emailing |
Yahoo |
51% |
Matrimony |
Bharatmatrimony |
36% |
| Instant Messaging |
Yahoo |
53% |
Friendship/Dating |
Orkut |
54%
|
| Job Search |
Naukri |
42% |
Picture Sharing |
Orkut |
38% |
| Online News |
Yahoo |
16% |
Social Networking |
Orkut |
66% |
| Info SearchEnglish |
Google |
81% |
Professional Networking |
Orkut |
44% |
| Info SearchLocal language |
Google |
65% |
Video Sharing |
Youtube |
43% |
| Online Travel |
Yatra |
18% |
Sports |
Cricinfo |
19% |
| Games |
Zapak |
32% |
Astrology |
Yahoo |
25% |
| Online Shopping (non-travel) |
Ebay |
33% |
Cinema |
Yahoo |
14% |
| Real Estate |
Google |
23% |
Music |
Raaga |
17% |
| Financial News/Info |
Moneycontrol |
18% |
Online Learning/Education |
Google |
32% |
| Online Share Trading |
ICICIdirect |
31% |
Buy/Rent Movie CD |
Rediff |
19% | Page(s) 1 2
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