India Fashion Ecommerce Industry - Enabling Access To Latest Trends

Ben Stiller

posted on 1 week ago — updated on 1 second ago

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India Fashion Ecommerce Industry - Enabling Access To Latest Trends

The fashion ecommerce industry in India has seen tremendous growth over the past few years. Once confined to just metros and tier 1 cities, online fashion shopping is now accessible to customers across the country thanks to rapid growth of internet and smartphones. In this article, we take a look at how the fashion ecommerce sector has evolved and the opportunities it presents.

Rise of Fashion Ecommerce

In the early 2010s, large ecommerce players like Flipkart and Snapdeal started including fashion as a category on their platforms. However, dedicated fashion focused startups like Myntra and Jabong were the ones who led the growth of this segment. They offered exclusive deals and sales which attracted many first time online shoppers. The convenient return policies also boosted confidence of customers in online shopping for apparel which was earlier considered risky without the option to try before buying.

By 2015, fashion had emerged as one of the top selling categories online overtaking electronics. This caught the eye of investors and new fashion focused startups came up with differentiated models. For example, Nykaa focused only on beauty and personal care products while Ajio catered exclusively to brands. limeRoad took the community selling model global with a social marketplace for fashion. Investments poured in from venture capitalists believing in the potential of this sunrise sector.

Expanded Reach And Greater Selection

Today India Fashion Ecommerce has spread far beyond the metros. Customers in tier 2 cities like Jaipur, Lucknow and Patna and deep into tier 3 towns actively shop online. Platforms have also diversified their inventory to cater to varied customer preferences. Regional and street fashion brands have found a captive audience online. International brands and designers too realized the lucrative Indian market and started selling directly as well as through marketplace models.

Customers now have access to tens of thousands of styles, designs, fits and looks at the click of a button compared to what was available in physical stores earlier which continue to face real estate issues. Niche segments like plus size, ethnic wear, kids apparel find dedicated selection and recognition online unlike offline retail where there focus was limited. Live streaming, visual search etc have made discovery and shopping even more seamless.

Empowering Emerging Designers

The fashion ecommerce boom is empowering many emerging designers, artisans and weavers across the country. Platforms are providing them global market access through exhibition space and assisted selling. For example, ajio.com, limeRoad and craftsvilla mentor young talents and help promote their collections online. This fosters sustainable livelihoods in smaller clusters while giving customers an exciting array of locally inspired designs which may not have reached mass audience otherwise given limited production capabilities of such brands.

The government too is working to harness the potential of e-marketplaces to uplift traditional industries and support 'Make in India' initiative. Several virtual trade fairs and exhibitions are organised online to bring them on global map. Many have succeeded in attaining loyal patronage and scaling up production through this digital outreach. Overall, the self-reliant spirit of local entrepreneurs complements the expanding purview of ecommerce fashion business.

Challenges And Future Outlook

While the future prospects seem bright, there are certain challenges as well that the industry will have to overcome. Counterfeiting remains a key concern as some suppliers indulge in unethical practices to make quick money off popular styles. Ensuring seamless returns processing, quicker deliveries in smaller cities and leveraging emerging technologies like virtual trial, VR, AI powered recommendations are also areas that require continued focus.

As more and more people embrace online shopping, fashion ecommerce is projected to become a $35 billion industry by 2025 growing at 25% annually according to various reports. Wider selection covering head to toe needs, personalized discovery, social experiences, collaborative ideation, live seller interactions and hyper-localized delivery promises to further propel this dynamic sector towards being one of the largest employment generators in the country. With innovative brands, accessible prices and a discerning young population, India's fashion future is indeed exciting as conventional definitions of retail evolve on digital platforms.