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Cross-Tab: Research Studies

The Great Online Bazaar

Perhaps one of the best things about the Internet is the amazing convenience it's brought into our lives. Take for instance online shopping. Today, you can shop for any product from online stores across the world without leaving your living room. A couple of clicks on the mouse, and you have what you want delivered right to your doorstep.

The range of products offered on the Internet is enormous. From books to used cars, flowers to airplanes, you can virtually buy anything online. Obviously, however, some products are especially suited to buying online.
 
Popular Product Categories
 
Products & Services bought Online Bought Online
Books 41%
Electronic gadgets 40%
Tickets - Railway 39%
Apparel Accessories 36%
Apparel 36%
Gifts 35%
Computers and Peripherals 33%
Tickets - Airlines 29%
Music 24%
Movies 21%
Base 1493
 
Products & Services likely to buy online in the future Likely to buy in future
Electronic gadgets 53%
Tickets - Railway 48%
Tickets - Airlines 46%
Books 44%
Computers and Peripherals 42%
Apparel 38%
Gifts 34%
Music 33%
Apparel Accessories 31%
Hotel Bookings 31%
Base 1493
 
In March-April 2005, the Internet & Online Association of India (IOAI) did an online survey of 3,099 Internet users to find out more about their shopping habits. 55% of the respondents have adopted the Internet as a shopping medium. Of the 55% of online shoppers [Base 1716] - 87% [1493] of shoppers had shopped for more than once have been termed 'as regular shoppers'. They formed the 'base' for this report of users who have transacted online to buy products & services 'more than once'. The survey found that some of the most popular shopping categories were books, electronic gadgets, railway tickets, apparel, gifts etc.
 
Showcasing some Popular Categories:

Electronic gadgets are poised to give books a run for their money, with as many as 53% indicating that they were likely to buy such products online in the future. The reason again is not hard to find. Products in this category - cameras, handy cams, mobile phones -- are becoming increasingly popular, especially among the younger set. And since it's the younger people who are the most enthusiastic users of the Internet, they will buy such products online.

Railway Tickets: A success story. And it's going to be even more popular; while 39% of respondents said they had bought railway tickets online, 48% indicated that they would do so in the future.

Airline Tickets share a similar success story. The percentage of people buying them is expected to go up from the present 29% to 46%. Low-cost airlines - which rely on online sales to cut costs and offer cheap tickets - are expected to fuel an increase in online buying.

Books: 41% of respondents saying that they had brought them online with 44% likely to buy them in the future. This isn't all that surprising, since people who buy books are generally well-educated, more receptive to new technology and value convenience.

Computers and Peripherals falls into the category of big-ticket items. The survey found that 33% had bought such items online, and, even more telling, 42% said they would do so in the future.

Music marketers who have ignored the Internet will do well to increase their online spending. The percentage of online music shoppers is expected to go up from the present 24% to 33% in the future, figuring among the popular online shopping categories.

Online hotel booking too is catching on, with 31% expected to make reservations in the future, up from the present 20%. As the online shopping trend gathers momentum and people begin to feel more comfortable with spending on the Internet, they will buy more and more big-ticket items.

As the number of Internet users touches the 100 million mark by the year 2007 coupled with changing lifestyles and shopping habits will mean a dramatic increase in the number of online shoppers.
 

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