While the pandemic rages on and its effects continue to be felt across the board, a semblance of normalcy seems to be returning to the society as well. With the unlocking mechanisms now well into the final stages, the markets look for signs of relief after months of downturn. “The festive season and the numerous sales both in online and offline retail will give us an idea if the demand appetite has returned in the market”, says Praveen Sinha Jabong Co-Founder. A CAIT report had earlier stated that Indian Retail lost as much as Rs. 15 Lakh Crores by Mid July putting many retailers out of business and many others are waiting for a miracle.
E-Retail to close the gap on offline markets this quarter
“Traditionally, the festive season which begins in August, sees a major uptick in demand in comparison to previous quarters. We are witnessing some sectors reap the benefits of this such as the automobile industry which has seen a trend reversal over the last couple of months. Online behemoths Flipkart and Amazon have already started promoting their upcoming bonanza sales and these could see a significant uptick this year considering that many could prefer to shop online instead of venturing out into the crowded markets”, adds Praveen Sinha. Flipkart expects their upcoming ‘Big Billion Day’ sales event to generate up to 70,000 seasonal jobs as sellers, artisans and brands begin to prepare themselves for a surge in demand.
“This festive event continues to focus on Flipkart’s commitment to providing value for consumers, opportunities for growth for MSMEs and sellers, and employment generation through e-commerce. Through strong partnerships with brands and sellers we have tapped into the power of interconnected businesses and technology to bring consumers a wide range of products at great prices at their doorsteps this festive season,” said Kalyan Krishnamurthy, CEO – Flipkart Group.
What can consumers expect?
Consumers will be in for a treat when the sales start as sellers will leave no stone unturned to attract the attention of consumers. “I am expecting deep discounts, launch of several new products, attractive financing options and various partner offers to make the festive season even more exciting for the end consumer”, Says Praveen sinha, Co-founder, Jabong in a conversation with Indian People Times. The offline markets will also offer the above and try creating a safe shopping environment in physical spaces. While this can be a possibility in high end malls, the efficacy of the same in a marketplace like Lajpat Nagar remains to be seen. This could force many traditional sellers to setup online stores for the first time, in order to not miss out on the festive rush and will in turn strengthen the e-commerce players in the country.
“How we end the last quarter of 2020 will have an overbearing effect on how we begin 2021. This means that the next couple of months could well be the most crucial 2 months for Indian retail in the last couple of decades and positive numbers at the end of it, will go a long way in eradicating the negative sentiment from the economy. Personally, I expect demand to return in full force this quarter as consumers become more budget conscious and appreciative of a good deal in the market.”, concluded Praveen Sinha.